Rafaello Garofalo, Secretary General of the European Biodiesel Board made it clear today that the trade dispute with the USA over the dumping of biodiesel will be pursued further. Speaking at the World Biofuels Markets event in Brussels Garofalo said; "The EU biodiesel industry is finalizing a legal complaint to the European Commission, which we hope to present in the next few weeks, if not days.

In starting the legal ball rolling the EBB is hoping that it will clear the path for import duties to be imposed on the heavily subsidized B99 biodiesel blends that are coming into europe. The problem with the imports, says the EBB, is that effectively they get a subsidiy in the US and then get a second subsidy in Europe undercutting european biodiesel. What was meant to be an encouragment to produce biodiesel in the USA is now being misused as a cash cow.

While the present US tax credit system, which is at the heart of the problem, is due to end at the end of this year, Rafaello Garofalo says that he has indications that an extension of the system will be sought. He also dismissed the idea that the the anomoly was an oversight or loophole in the draft of the original legislation. "The B99 tax credit is deliberate poilcy by the US to flood the EU market." Concluding he stressed that; "We don't need trade barriers or import tax, what we need is fair trade.

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