The French pressure finally paid. Meeting in Brussels on Monday afternoon for a crisis summit devoted to overproduction in the dairy and hog sectors, the agriculture ministers of the 28 have agreed on a regulation at least, but no financial incentive mechanism to foster a recovery in prices. Their plan, which has received approval from the European Commission paves the way for a temporary limitation of milk production to reduce supply and raise prices that have collapsed since the liberalization of the market and the end quotas in April 2015. “This is an important point that has been marked in the analysis of the situation and the measures that have been decided,” welcomed Stéphane Le Foll, french Minister of Agriculture who has multiplied in recent days with his European counterparts to convince them to act without delay.
It was decided for the first time enable a measurement of the CAP reform in 2013. It allows for producer organizations and to unions to agree on a production line to keep prices in case of serious market imbalance. Milk producers will thus be able to temporarily suspend the sacrosanct rules of European competition by constituting a cartel. Section 222 of the CAP allowing “establish voluntary agreements on their offer” will be activated for a period of six months, renewable once. “A real signal to industry players” , Stéphane Le Foll. Just before the opening of the summit, he had warned about very serious consequences for farmers in case of failure. “If we are not able together at European level to coordinate better and better to consult [...] we will go to even more serious situations than we know” he explained
read also:. In Brussels, the milk on the fire
the measure not really convinced yet the FNSEA President Xavier Beulin that ‘s ‘ there is no funding, reduction of production on the basis of Article 222 has no ‘interest”. It must be said that a month ago, the French government also suspected him of the effectiveness of this measure if it was not accompanied by a financial mechanism. But the situation has changed, argues the minister, that a “overwhelming majority of countries,” including the giant dairy What Ireland, there are now favorable. A mechanism that, according to a French source, may also be extended to the pork industry.
Brussels also gave the green light to a doubling of levels of storage for skimmed milk powder and butter, respectively 218 000 and 100 000 tonnes, a level higher than that claimed by France, to temporarily limit production. The ceiling of aid authorized by operating, currently 15 000, may be increased to 20 000. Several Member States wanted to double his, and see it at 30 000. In the field of pork, the Commission agreed with the voice of Agriculture Commissioner Philip Hogan at the launch of a new support mechanism private carcasses. And a European export support system is put to the study
Read also:. Phil Hogan, so far from France
While a hundred Belgian farmers demonstrating in full the European quarter, some came with cows, lambs or piglets, the Brussels Commission also authorized France to experiment during the year labeling of the origin of meat and milk in processed products. A victory for the hexagon which sees it as a way to promote his livestock in crisis. The European Commissioner for Health and Food Safety, vytenis andriukaitis, approved “the principle of an experiment for a year [...] is very important because if we want to take action in France must whether it conforms to European level, otherwise the State Council we retoquerait “ said Minister of Agriculture Stéphane Le Foll, following the board. According to him, Spain, Italy, Portugal and the United Kingdom take this point of origin labeling of products. Germany on the other hand wishes to specify that the country of slaughter.
The Commission had warned before the meeting that did not intend to accept new spending financed by “fresh money”, and she was reluctant to use “crisis reserve” European, “because it is money farmers’ . Launched just six months ago, the European emergency plan included 500 million euros, mainly in the form of national envelopes of direct aid to farmers in the most affected sectors, Member States may double with national funds . the Commission claims that unblocked aid does not have all been used by Member States.