State aid package for Italy agreed by European Commission

The European Commission has given the green light to the state aid package for the development of the dairy sector in South Tyrol and the local economy, according to Eunews (www.eunews.it). After assessing the case, the EU executive concluded that there were no issues regarding competition or compliance with state aid procedures, and approved the €18.2 million measure in the form of a direct grant for the Centro Latte Bressanone Società Agricola Cooperativa, a dairy farmers’ cooperative in the Bolzano province.

The goal of the investment project is to expand the cooperative’s existing production lines for mozzarella and ricotta, introduce new products such as burrata, and optimise the production cycle while maintaining high quality and environmental sustainability standards. According to the EU executive, the state aid will have “a two-fold positive effect.” On the one hand, it will strengthen the dairy sector in Alto Adige by increasing demand for milk from local farmers. On the other hand, it will enhance the use of the by-product whey, thereby contributing to the circular economy and sustainable production.