Agrimoney on aid agenda?
9 March 2000
Agrimoney on aid agenda?
FARMERS may be offered short-term aid from the government to tackle the ongoing crisis in the industry, reports the Radio 4 Farming Today programme.
But it has yet to be decided whether a package would include agrimoney, cash EU compensation for the strength of sterling, for which farmers leaders have been lobbying.
Some £360m agrimoney is available, but £270m will be forfeited unless a formal request is made to Brussels soon.
On Wednesday (8 March) it was announced that Tony Blair will host an emergency Downing Street summit for farmers leaders on March 30.
The summit date is one day before the deadline for Britain to submit a claim to the EU for agrimoney, says Farming Today .
The summit announcement came as dairy farmers poured away their milk in protest at low prices and pig farmers picketed Iceland stores.
Junior farming minister Elliot Morley told Farming Todaythat a whole range of compensation options were currently being considered.
“In terms of the money put into agriculture in any short-term package, we need to look at the results.
“We want to address some of the underlying structural problems that agriculture may have.
“Therefore youve got to decide what is the best package, what is the most effective package, and what will be most helpful to the whole of the agricultural sector.
Mr Morley did not rule out claiming agrimoney, but said it would not help the most depressed farming sectors which are not eligible.
“Nothing is being ruled out at this stage though I would say agrimonetary aid would do nothing for the pig and poultry sector, which are two of the most hard-pressed sectors at this time.
He insisted that MAFF could get together an application for agrimoney at very short notice if that was felt to be appropriate.
It is known the Treasury is opposed to claiming agrimoney as it would have to foot most of the bill under EU budgetary rebate arrangements.
And a recent announcement by the European Commission seemed to indicate that its agrimoney contribution had been earmarked for aid to war-hit Kosovo.
Meanwhile, farm minister Nick Brown is expected to announce on Thursday (9 March) that farmers who are kind to their animals could receive extra subsidies.
The scheme would use the EU Rural Development Regulation to provide extra funds to compensate producers for the higher costs of high standards of animal welfare, reportsThe Daily Telegraph.
According to The Times, payments could be between £2000 and £3000.
These special payments would help the pig industry, which has faced higher welfare costs since the stall-and-tether ban was introduced.
It would also compensate poultry farmers who must phase out battery caged production under EU regulations.
Mr Brown will also tell an Outlook 2000 conference that it is vital to secure public confidence in the regulatory framework in biotechnology.
- The Daily telegraph 09/03/2000 page 1
- The Times 09/03/2000 page 9