The European Commissioner for Agriculture, Janusz Wojciechowski, said on Wednesday 15 April that he would authorise EU aid for the storage of dairy products due to the negative effects of the Coronavirus crisis, but would take into account “budgetary constraints” in 2020.
MEPs on the EU agriculture committee were of the opinion that the new measures announced by the commissioner are largely insufficient.
At a meeting with the members of this committee, Mr Wojciechowski acknowledged that the fall in milk prices would lead the Commission to “intervene in the market”. He announced aid for the storage of dairy products (milk powder, cheese, etc.) as well as various initiatives benefiting the meat sector.
The problem is that: “we have used up the funds”, the Commissioner acknowledged. There is no agreement over the next Multiannual Financial Framework (MFF) or on the 2021 budget, so the situation is “very delicate”, he acknowledged. “We don't have sufficient funds to intervene in the markets” he added. The only solution is to make use of unused funds in the second pillar of the Common Agricultural Policy (CAP), which is rural development.
According to the Commissioner, about €6 billion remains available in those countries who have not used all their funds. This money could be used, according to the Commission, to help those farmers hardest hit by the crisis.
“Much more needs to be done and the funds need to follow”, said Norbert Lins (EPP, Germany), who is the Chair of the European Parliament Agriculture Committee.
Herbert Dorfmann (EPP, Italy) welcomed the fact that the agricultural sector had responded to the crisis by ensuring food security. “What is being proposed is not enough”, he said. He urged the Commissioner to ensure that the necessary budgets are made available to agriculture. Like others, he also expressed concern that the CAP would lose out in future debates in the next MFF.
Paolo De Castro (S&D, Italy) called for the €460 million in the agricultural crisis reserve to be mobilised, and for exceptional measures contained within the common market organisation regulation to be activated. Martin Häusling (Greens/EFA, Germany) also called for emergency aid.
Measures requested by MEPs include: aid for horticulture; support for private storage; "green harvesting"; crisis distillation for wine; exceptional CAP measures.
In response to MEPs, Mr Wojciechowski emphasised that “we should not point fingers at those who spent the money and those who did not”. He noted that funds implemented under the second pillar total, for example, 82% in France, 86% in Germany and 85% in Spain. Therefore, there are significant funds available, according to the Commissioner.
He has promised to do everything possible to safeguard the post-2020 CAP budget.
The French Minister of Agriculture, Didier Guillaume, noted the request made by “several Member States” to trigger: - private storage in the dairy sector as well as the lamb, goat and veal sectors; - market measures for the fruit and vegetable sector. He also noted the very serious situation facing the horticultural profession as well as that of the wine sector.
German Agriculture Minister Julia Klöckner wrote to the Commission on Wednesday to ask the EU to financially support the storage costs of milk powder.
The ‘Wine, Spirits and Quality Products’ intergroup of the European Parliament will meet on 20 April to discuss the consequences of the pandemic for the wine and spirits sectors.
On Wednesday 15 April, Irene Tolleret (Renew Europe, France) and Juan Ignacio Zoido (EPP, Spain) sent a letter to Commissioner Wojciechowski signed by a total of 72 MEPs, calling for several measures to be put in place to support the wine sector (see EUROPE 12466/17). To view the letter: https://bit.ly/2xmZg2U (Original version in French by Lionel Changeur)