Massive subsidy boost not enough

10 September 1999

Massive subsidy boost ‘not enough’

FARMERS organisations in Portugal are unhappy despite getting a 90% increase in the countrys share of European Union farm aid.

Portugal achieved a much bigger increase than other member states in securing an average $211m for 2000-2006, compared with $110m year for 1994-99.

The increase for most other countries was less than 40%.

But Portuguese farmers organisations said they had been led to believe they would get more.

They are also unhappy that the funds would have to be shared with other sectors because they were granted for rural development as a whole.

Portuguese farmers are the poorest in the European Union (EU) but have benefited least from the Common Agricultural Policy

This is because funds were channelled mainly to milk, dairy and cereal production, which are not prominent in Portugal.

Portugal won agreement at the EUs Berlin summit in March for the countrys special conditions of agriculture to be taken into account.

  • Financial Times 10/09/99 page 32

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