Brussels, 13/07/2015 (Agence Europe) - European Agriculture Commissioner Phil Hogan told EU farm ministers on Monday 13 July that he was preparing new exceptional measures to assist the fruit and vegetable sector that has been hard hit by the Russian embargo (extended to 2016) on the import of European agri-food products “in order to mitigate the risk of market disturbance”.
“However, it is clear that for certain sectors and specific member states and regions, the situation has been and still is difficult”, he acknowledged.
The Commissioner admitted there were problems, particularly with regard to peaches and nectarines, with prices falling in Italy, Spain and Greece. Tomato prices, too, are dropping. Between September 2014 and June 2015, a scheme worth €150 million was put in place, withdrawing some 760,000 tonnes of fruit and vegetables from the market.
Milk: extension of private storage and public intervention. In addition, Hogan informed the Council that he was proposing to the Commission that both public intervention and private storage aid periods be extended beyond their expiry date of 30 September.
Several member states call for an increase in the intervention price. Bulgaria, the Czech Republic, Hungary, Poland, Romania, Slovakia and Slovenia called for measures to help the dairy sector: a rise in the intervention price, temporary export refunds and possible new targeted measures. France supported the call for higher intervention prices for milk, arguing that there was a risk of a further spiral of crises. Belgium also backed this call. Germany agreed with the proposal to extend the intervention period (but not the price).
Sugar. Italy raised the issue of the future of the sugar sector which is facing a difficult economic situation at present. Italy wants a smooth transition ensured when the (sugar) quota system ends in 2017. It called for the tax on producers (sugar levy) rules to be eased. Austria gave its backing to Italian calls. Germany expressed concern at the coupled premiums paid to beet growers (competition distortion) and, with regard to non-quota sugar, wondered if measures could be envisaged to ease over-supply of the market.
The Commission opposes introducing any extraordinary measures or new restructuring schemes.
Pig meat. Austria raised the situation on the pig meat market. In its view, private storage aid (lasting eight weeks and involving 60,000 tonnes of pig meat) have not been of use as prices are lower now that during the time when the produce was being stored. Austria called for longer private storage. Hungary, France and Belgium backed the concerns of the Austrian minister. Germany spoke to say that the storage measures had not brought the expected effects on prices. Hogan replied that it was impossible to extend the length of private storage contracts.
Beef meat. France said that, even though the situation was not as serious as on the pig meat sector, a number of measures (such as long-term private storage) had to be considered for the beef meat sector. The Commission did not find this necessary, however.
Rice. Italy, backed by Spain, said that it was not happy with the import (possibly duty-free, depending on the outcome of the trade talks) of rice from Vietnam and Cambodia. (Lionel Changeur)