El Pozo Alimentacion may have to repay EUR15.1m (US$23.8m) in government aid it received for improving its manufacturing plants in Spain, the EU has warned.

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The Spanish firm, which makes ham, sausages, paté and other meat products, is now the focus of a European Commission investigation.


Brussels fears the Spanish government’s subsidies were not attached to any strings demanding El Pozo also secured or made its own parallel investments.


If the Commission proves this, it could order the repayment of the money, because it would break EU state aid rules by giving the company an unfair advantage in the EU marketplace.

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