The dispute started thirteen years ago, when the Ministry of Finance and Taxes claimed the payment of 8.3 million Euro to the Federation of Horticultural Exporters of the province of Las Palmas (FEDEX), which had been granted for direct aid to tomato transportation. The rest of the money, 3.5 million Euro, was said to correspond to the interest generated by the alleged debt.
FEDEX appealed against the Ministry's decision to the High Court of the Canary Islands (TSJC). During the trial, the expert who defended the Ministry's position explained that his study was based on the prices set by the consulting firm Edei for the transportation of tomatoes to the European Union. This rate was of 6.68 cents per kilo, compared with the 15.56 cents claimed by FEDEX to the State.
For its part, the Federation argued that the market analysis had not taken into account the dry transport of goods, or the need to use reefers to ship the tomatoes, cucumbers and avocados to the Peninsula. The shipping prices of the carriers that normally work with FEDEX were also not taken into account.
Given the negative ruling of the TSJC, which forced them to repay 11.8 million Euro in aid which, according to this ruling, were not intended to cover the shipping costs of tomatoes and cucumbers to Europe in the period between 2002 and 2003, FEDEX made an appeal.
Now, four years later, the Third Section of the Contentious-Administrative of the Spanish Supreme Court has ruled in favour of the Federation.
FEDEX President José Juan Bonny expressed his satisfaction with a ruling that confirms that exporters are not guilty of fraud, of overcharging, or of any of the accusations raised by the Delegation back then.
Mr Bonny also pointed out that the impact of the dispute has been decisive in the crisis of the sector, also caused by the Administration's lack of adherence to its promises, the international situation and the proliferation of pests.
However, José Juan Bonny concluded that this ruling was a reason for great joy for the sector because, besides doing justice, "it has restored our honour, with the acknowledgement that we are not breaking any laws or failing to adhere to any regulations."