Brussels, 02/10/2015 (Agence Europe) - The European Commission has begun adopting the first acts implementing the €500 million package of measures to support the livestock sector (milk and pigmeat) in these times of severe difficulty.
As part of its package of emergency measures for the livestock sector, the Commission proposed that the member states be allowed to provide additional national aid equivalent to the amount that comes from the EU. Under the terms of the draft delegated act, countries will be able to grant a national top-up that may be as much as 100% of the amount they receive from the €420 million aid package for the livestock sectors, especially the dairy sector, hard hit by the recent price fall. In theory, then, up to €840 million could be made available to EU milk and meat producers, though not all member states will take up this option. The Commission acknowledges in the draft delegated act that the aid granted to each member state will only be able to compensate a small part of the real losses suffered by farmers. To release the new funding, member states will have to distribute the aid according to the same allocation criteria as the European aid. The focus will necessarily have to be on the milk and livestock sectors. The text states that member states must ensure that, in cases where the farmers are not the direct recipients of these payments, they nonetheless enjoy the full economic benefit of the aid. The member states will have until 31 December to inform the Commission of their criteria for allocating the European funding. They will then have until 31 March 2016 to pay out the aid and until 20 June to inform the Commission of the sums paid and the number and type of recipients.
The delegated regulation on targeted aid was discussed by member state experts on 1 October and will be adopted by the Commission in the next few days. It will come into force immediately (even though, in theory, the Council and Parliament have two months to oppose it).
Derogations on early payment of direct aid. The Commission published the implementing regulation in the Official Journal of the EU on 1 October permitting member states to make early payment, between 16 October and 30 November, of up to 70% of direct aid (rather than 50%) and up to 85% of rural development measures (rather than 75%). In view of the difficulties experienced by member states in the practical implementation of the new direct aid schemes, and to avoid late payment, early payments may be made, exceptionally, once the administrative checks have been completed and without having to await on-site checks. However, any member states taking advantage of this derogation will be responsible for taking all necessary steps to avoid excessive payments and to recover, swiftly and effectively, any improper payments. These exceptional arrangements are justified, the Commission says, by the seriousness of the economic situation in certain agricultural sectors and, especially, on the dairy products market, which has caused severe financial difficulties and cash-flow problems for recipients.
Adjustment of cheese storage quantities. The Commission has somewhat amended the draft regulation on the private storage of cheese. The new draft delegated regulation has made adjustments to the quantities allocated to each member state. Germany, for example, has seen its allocation fall slightly to 23,626 tonnes, down 1,749 tonnes, Italy has had its share increased by 342 tonnes to 12,015 tonnes, as has Spain to 3,635 tonnes, an increase of 1,779 tonnes. The total quantity for storage is 100,000 tonnes. The text was discussed by EU experts on 1 October. The Commission will adopt the regulation in the next few days. The Council and European Parliament have two months to reject these texts if they so wish.
Private storage of skimmed milk powder. Member state experts on the management committee gave their backing on 1 October to the implementing regulation of the new skimmed milk powder storage programme. Aid will be increased from 16 cents to 36 cents per tonne per day for a period of nine to twelve months (compared with three to seven months at present). The text states that quantities being stored by operators under the previous arrangements cannot be transferred to the enhanced system. The Commission will formally adopt this text in the coming days and the measure will come into force immediately thereafter.
In addition, the Commission is continuing to keep a close eye on the pigmeat market and is ready to activate an enhanced private storage aid scheme for pigmeat.
The Commission also increased funding for promotion especially on non-EU markets by €30 million in 2016.
Finally, as part of a separate initiative, run by DG ECHO, the Commission will take the necessary steps to allocate aid of €30 million for the nutritional needs of refugees within the EU (in milk and dairy products). (Original version in French by Lionel Changeur)