Ms Hegedűs, the recently appointed Committee of the Regions (CoR) rapporteur for the opinion on "Supporting SMEs in regional value chains – fostering the proximity economy " presented her working document to the Commission for Economic Policy (ECON) today, noting that "proximity enterprises demonstrate special features which distinguish them within the SME landscape, yet they also face unique challenges".

The proximity economy is a term gaining increasing attention – proximity enterprises are characterized by local and short value chains within a closer geographical area, encompassing activities of local industry actors and small businesses working across different economic sectors. They often include family businesses with a multigenerational perspective. 

Studies have shown that proximity enterprises place a unique strategic focus on stability, resilience, and a long-term vision, instead of seeking to maximize short-term gains, which makes them key to ensuring territorial cohesion in regions, and preserving regional demography by offering stable work opportunities to local residents. To this end, the rapporteur calls on the EU to recognise their "unique added value and offer the policy and funding support they deserve on an EU level". 

On 16 September Ms Hegedűs will hold a stakeholder consultation, bringing together representatives from various organisations, including representatives of regions, industry, and civil society groups. The opinion will next be voted in the ECON commission meeting on 11 December, before going to the CoR plenary session in April 2025.