Brussels, 22/10/2014 (Agence Europe) - During the Special Committee on Agriculture (SCA) on Monday 20 October, Finland and Baltic countries requested that their milk and milk products producers affected by the Russian embargo should be allowed to benefit from targeted measures soon. The modalities for this aid, will take time to establish, however, particularly because of budgetary restrictions. It will be up to the new Commission to decide in this respect.
During the most recent Agriculture Council, the European Commission mentioned the possibility of introducing targeted measures for milk producers from the countries most affected by the Russian embargo on EU agricultural products. Nonetheless, it has still not clearly defined what the possible measures envisaged would be, particularly because the amending letter that has arrived in the meantime, confirmed the budgetary restrictions.
The only details known involve the criteria for the countries benefiting from this targeted support: more than 15% of milk products exported to Russia before the embargo (Estonia, Lithuania, Latvia and Finland); a sharp fall in milk prices since the embargo: this sharp fall in prices was observed in August for Baltic countries but for Finland, the main cooperative regrouping 85% of producers initially absorbed the falls in prices without it falling on producers. September statistics are expected to confirm the falling prices, including the fall in Finland.
During the SCA, some countries (France, Spain, Denmark and Hungary etc.) highlighted the fact that although EU solidarity was required, it would also need a rethink in the new budgetary context. Spain, France, Denmark and Poland believe that first of all they should look at market measures that have a more reasonable cost. Greece and Bulgaria have called for solidarity to be extended to all countries directly or indirectly affected by the embargo, whilst the Netherlands and Cyprus called for targeted measures to be extended to other sectors, such as fruit and vegetables. (LC)