Farm ministers tackle BSE panic
29 January 2001
Farm ministers tackle BSE panic
By Philip Clarke, Europe editor
BEEF quotas, a calf processing scheme, and lower stocking rates for extensification premium are being considered in Brussels to tackle the BSE crisis.
These are seen as ways of avoiding a massive stock build-up in the wake of the panic on the Continent following higher than expected incidences of BSE.
Addressing agriculture ministers over lunch on Monday (29 January), EU Farm Commissioner Franz Fischler admitted that the situation was far worse than anticipated.
“The latest market indications are alarming,” he said.
Initial estimates for 2001 were based on a 10% drop in consumption with no loss of exports.
This would have given rise to a 625,000t beef surplus of which 500,000t would go into the purchase for destruction scheme and 125,000t into public intervention.
“But, up to now, we have seen an EU-wide drop in consumption of 27%,” said Mr Fischler. Exports have also fallen to just 60% of normal.
Revised estimates suggest that surplus this year will amount to 800,000t – 1,000,000t even after purchase for destruction, putting severe pressure on the budget.
“In this context we have to reflect on a possible set of measures such as an early marketing premium for calves, or a reduction in the density condition for premia payments to boost extensive farming”, said Mr Fischler.
Discussion on these and other BSE measures were expected to continue late into Monday night.