European Commission

The original article can be found on the DG GROWTH website.

The European Commission convened a first meeting with Member States as part of the new Single Market Enforcement Task Force (SMET) to discuss the urgent need to allow the free flow of goods such as face masks, medical supplies and food across the EU.

Commissioner for Internal Market, Thierry Breton, said: “The coronavirus outbreak has made it crystal clear that no country can fight this virus alone. Europe needs to act together with solidarity. Restrictions endanger this solidarity and prevent essential goods from reaching those who need them most. The Single Market is the backbone of our joint response and we need decisive action to lift any restrictions undermining it.” 

The creation of SMET was announced in the Commission’s Single Market Enforcement Action Plan on 10 March in the context of the industrial strategy. The Task Force was envisaged as a platform for Member States and the Commission to work together to ensure better compliance with Single Market rules.

This first meeting kick-started the work of the new Task Force in light of the urgency of issues hampering the correct functioning of the Single Market, mainly intra-EU export restrictions of vital protective, medical and medicinal supplies, border controls and the need to increase production of essential equipment. This also aims at implementing the clear guidance of Europe’s leaders given at the European Council of 26 March to remove all internal bans or restrictions to the free movement of goods. The task force will be convened on a regular basis to discuss issues concerning enforcement issues in the Single Market.

The European Commission has developed an industrial policy package to help Europe’s industry lead the twin transitions towards climate neutrality and digital leadership. The package aims to drive Europe’s competitiveness and its strategic autonomy at a time of moving geopolitical plates and increasing global competition.

The package of initiatives outlines a new approach to European industrial policy that is firmly rooted in European values and social market traditions. It sets out a range of actions to support all players of European industry, including big and small companies, innovative start-ups, research centres, service providers, suppliers and social partners. A dedicated strategy for small and medium-sized enterprises (SMEs) aims to reduce red tape and help Europe’s numerous SMEs to do business across the single market and beyond, access financing and help lead the way on the digital and green transitions. Today’s initiatives also include concrete steps to address barriers to a well-functioning single market, Europe’s strongest asset to allow all our businesses to grow and compete in Europe and beyond.

The industrial policy package includes the following initiatives:

• A new industrial strategy
• A new SME strategy
• A single market that delivers for our businesses and consumers

For more information read the full announcement and consult the factsheet.

Today the European Commission published the 2019 edition of the Single Market Scoreboard.

The scoreboard provides a detailed overview of how EU single market rules were applied in the European Economic Area (EEA) in 2018; how open and integrated certain markets are; and how much EU countries contributed to a number of EU tools to make the single market function better.

Depending on their performance in 2018, EU countries were given 153 green, 137 yellow and 59 red cards indicating excellent (green), average (yellow) or below average (red) performance.

The overview shows that, despite further expansion of trade in goods and services, the situation has worsened in certain policy areas since 2017. EU countries improved the functioning of some single market tools, such as the Your Europe portal and the Internal Market Information System (IMI). However, countries received more red cards on a number of policy areas than last year. For instance, on the fairness of public procurement systems and the recognition of professional qualifications. The same happened with regard to the cooperation in EU pilots.

In general, the best performing countries were Portugal, Slovakia, Finland, Sweden and Lithuania, while the most red and yellow cards were given to Spain, Italy, Greece and Luxembourg.

Read the full article on the DG GROW website.

Businesses across Europe already benefit from the European Single Market, but there are still challenges to tackle before SMEs and start-ups can fully gain from it. This was discussed during the final Single Market Forum, held in Amsterdam in June. Start-ups, SMEs, experts and government officials all agreed that it should be easier for businesses to start-up, hire talent, comply with administrative issues, win public tenders, scale-up and trade cross-border in Europe.

These were the main takeaways for start-ups and SMEs:

Strengthen cross-border trade in the EU

A services passport will be created to harmonise and unify procedures, in particular for business services such as accounting, architecture and engineering, ensuring they only need to complete them once and can cross-borders. This will make it easier for service providers who want to offer their activities in other Member States. There is also an ongoing plan to tackle VAT in E-commerce. This means business owners will have an easier time selling online with less paperwork. Additionally this means customers will receive a better service and lower prices when shopping online. A double win!

Start-ups and SMEs to have an easier access to public tenders

Public contracts and tenders offer many opportunities for SMEs to grow, yet many SMEs rule themselves out due to burdensome and diverging national rules on public procurement. This should not be the case! SMEs and start-ups’ participation in public tenders means that public money is better spent, but also results in better competition for public contracts, which essentially boosts growth, transparency and accountability.

A single information info point for all businesses

How do businesses find the information they need to navigate cross-borders? A single digital gateway is being developed to allow for business owners to access all the information they need to benefit from cross-border trade in a one-stop-shop. In order to know what information is needed, a collaborative discussion needs to take place. We need you on board to help us develop it.

Better education and access to finances are needed

Finally, how to support entrepreneurs and provide them with the tools they need to grow in the Single Market? Let’s talk about lifelong learning. In today’s economy it is clear that learning skills by itself is no longer enough for a successful career, and entrepreneurs need to hire staff that are adaptable. Additionally, we should support capital markets, making it easier for investors to invest in businesses cross-borders, and for start-ups to get more cross-border funding opportunities.

Let’s not stop here. Let’s continue debating and finding the right solutions for start-ups and SMEs. What more do you think can be done to support start-ups, SMEs and entrepreneurs trade cross-border? Join the discussion in LinkedIn Group or tell the Commission what you think.

More photos from the event on Flickr.