In the case of sugar, targeted EU financial assistance has emerged relatively recently - within the context of reforms to the EU’s sugar regime and the introduction of the Everything But Arms duty-free regime for LDCs - with the creation of a €1.25 billion envelope in addition to normal European Development Fund flows. The assistance provided to sugar producers has explicitly sought to avoid repeating the mistakes of the SFA and SPA in bananas, in part by emphasising adjustment/diversification measures for countries deemed uncompetitive in the long run. The EU’s STABEX facility was established in 1975 under the Lome Convention, the mechanism was envisaged as a compensatory finance scheme to stabilise earnings from ACP exports of agricultural commodities, and operated until abolished under the 2000 Cotonou Agreement. In 1998, the EU undertook a major review of the STABEX regime (CERDI et al.