Brussels, 26/02/2016 (Agence Europe) - EU Agriculture Commissioner Phil Hogan said in Paris on Thursday 25 February that “The Commission is determined to find solutions commensurate to the seriousness of the current difficulties” on the agriculture markets.
Hogan is one of the bugbears of angry French farmers. During his visit to Paris on Thursday, where he held brief meetings with the French prime minister, Manuel Valls, and the French farm minister, Stéphane Le Foll, he tried to provide reassurance to the French farming world.
“We acknowledged the serious difficulties being experienced by French and European farmers across a number of sectors and agreed on the need to take all appropriate steps to alleviate the current situation, characterized by an increased imbalance between supply and demand and the duration of this imbalance,” explains a statement issued by Hogan following his meeting with Valls and Le Foll.
“In anticipation of the Council of Agricultural Ministers on 14 March, we discussed a number of proposals made by France which the European Commission is evaluating. The Commission (…) will respond formally at the Council.”
Hogan said: “Both the French Government and the European Commission have a shared commitment to ensure that European farmers are supported as far as possible,” although the Commission has little room for manoeuvre on the budget front and many of the measures suggested by France are subject to debate at the Council.
Strong announcements desired
Before his meeting with Phil Hogan, the French prime minister, Manuel Valls, said the Commission must take all its responsibilities seriously; make use of its power of initiative and make strong announcements, take decisions and not waste any time. It must be able to do so at the Council meeting on 14 March, he said. The prime minister mentioned the need to launch crisis management tools. France repeated its proposals to the Commissioner, particularly restricting the supply of milk and re-opening markets.
Stéphane Le Foll said that at the 14 March Council meeting, the Commission should propose solutions to the crisis and that the terms of the debate was the over-supply and therefore a signal was needed for the market to say 'stop,' we can't keep increasing production in Europe.
The French minister said the Commission had put articles 219, 221 and 222 of the common market organisation (CMO) back on the agenda. These are the derogation clauses to European competition law in the event of an emergency, explained the agriculture minister. Also on the menu, according to Le Foll, is extending the private storage aid for pork and diplomacy to get the Russian embargo on European pork lifted. Le Foll said that Phil Hogan backs the idea of the labelling of where meat comes from.
In a press release, Hogan did not commit to crisis management or market regulation measures and for good reason. He is well aware that their utility is challenged at the Commission and Council. It should be noted that due to delays, only 25% of the €420 million aid package announced in September, targeted on the dairy and pork sectors and divided up among the member states (including €69.2 million for Germany and €62.9 million for France), has so far been paid out by national authorities. The member states have until the end of June to pay out the aid and up to 30 September to inform the Commission of the total amount paid and the number and type of beneficiaries.
Trade agreements. Hogan said: “We (Hogan, Valls and Le Foll, Ed.) also discussed forthcoming bilateral trade agreements, such as TTIP and Mercosur, which we acknowledged are of great importance for European agriculture, and must remain comprehensive and balanced for both Parties.” He added: “In particular, we agreed that any final outcome on TTIP must reflect our key offensive interests, such as a better protection for Geographical Indications and a reduction of non-tariff barriers. We also agreed that, while sensitivities on both sides have to be respected, the European Union will ensure that sensitive sectors for European agriculture are protected.”
Pork. The Russian health embargo on EU pork exports is still in place and causing problems. The Commissioner explained: “We reiterated the Commission's willingness to discuss with Russia a rapid resumption of exports from Europe. I reiterated the Commission's commitment to find an urgent solution for the long list of sanitary and phytosanitary barriers to trade with third countries.”
The fifty-third Salon de l'Agriculture opens in Paris on Saturday 27 February and runs until 6 March, against the backdrop of heightened tension between the government and farmers. Hogan will hold a further meeting with Le Foll during the event. (Original version in French by Lionel Changeur)