Brussels, 24/01/2011 (Agence Europe) - With the necessary urgency, the EU will soon be introducing market measures to aid pig farmers and will announce EU pork storage measures (public and private). The EU pork industry is facing problems due to the hike in animal feed costs and the slump in the price of pork last week (particularly in Germany because of the dioxin crisis and in neighbouring countries - Poland, the Netherlands, Belgium and France).
At the Monday 24 January Agriculture Council, EU Agriculture Commissioner Dacian Cioloº said he was prepared to take very rapid action in the next few days if the current slump in pork prices were to continue. He is prepared to start organising EU aid for private storage of pork this week or at next week's management committee meeting if there is any danger of a deterioration in the pork industry.
Moreover, on 8 February a meeting will be held, upon Dacian Cioloº' request, of the advisory group (extended to member states) to assess the current situation and examine the planned reform of the common agricultural policy (CAP) that might be changed for the pig-farming and pork industry. The Commission wants to take a three-pronged approach: - applying the suggestion of mutual funds and income insurance set out in the report on the future of the CAP; - promoting EU pork products; and - the future of EU market measures in times of crisis.
The aid for private pork stock-piling will start under certain conditions because the pork will need to be sold at some point. The Commission has ruled out the idea of providing export aid because prices at the moment in Europe are pretty competitive on the world market. Moreover, that would open the door for complaints from countries arguing the EU is using export refunds for inappropriate ends.
The French farm minister, Bruno Le Maire, said he was pleased with the short-term measures announced by the Commission and the decision to set up an extended advisory group. Several countries asked the Commission at the Agriculture Council to take action to save pig-farmers. (L.C./transl.fl)