EU - "No Question" Of Suspending 10% Biofuel Mandate - But They'll "Develop Criteria" - Forbes

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BRUSSELS (Thomson Financial) - The European Commission said there is 'no question' of suspending its biofuel objective, amid fresh criticism of escalating food prices.

'There is no question of suspending (our) objective. We are aware of problems but we are taking them into account and are in the process of developing criteria,' a spokesperson told reporters here.

The European Council set an objective of a 10 percent share of biofuels in transport fuel by 2020, which was included in the commission's January climate change and renewable energy package. The spokesperson said it is possible to attain this objective but 'precise criteria' are required, which are currently being assessed.

The head of the International Monetary Fund (IMF) warned on Saturday that if food prices remain high, there will be dire consequences for people in many developing countries, especially in Africa.

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http://www.forbes.com/markets/feeds/afx/2008/04/14/afx4884949.html