Ministers discuss enlargement, animal transport and more technical issues - Problems with Poland

Brussels, 17/05/2000 (Agence Europe) - As reported in yesterday's bulletin (see page 11), one of the shortest sittings in the history of the common agriculture policy was brought to conclusion without Ministers having adopted any decisions on the two main issues on the agenda: the price package and reform of the flax and hemp sector. The Agriculture Council nevertheless approved the amendment to the regulation on milk and dairy products which transfers decision-making on export refunds from the Council to the European Commission, as is already the case for cereals, sugar, rice and eggs.

Ministers had an exchange of views on the agricultural negotiations related to enlargement. Commissioner Franz Fischler brought up three strategically important questions: transitional measures, production quotas and direct aid. The Commissioner expressed the view that there is no justification for maintaining border controls following accession, though many Ministers voiced concerns about food safety and the level of sanitary controls in certain Central and Eastern European countries. He argued for the establishment of production quotas based on recent reference periods. Concerning trade during the pre-accession phase, Mr Fischler recalled that technical agreements have been concluded with Estonia, Hungary, Czech Republic, Slovakia and Latvia and that similar accords are foreseen for Bulgaria, Romania and Lithuania. Progress is not satisfactory with Slovenia and Poland, he said, going on to reiterate: "The Commission is endeavouring to break the deadlock in negotiations with Poland. But it is clear that negotiations on liberalisation cannot be concluded with a country that has decided to move in the opposite direction, raising its customs duties rather than reducing them." Ministers lent their support to the Commission's negotiating strategy but did express some diverging views, particularly concerning the choice of the reference period (which will have to be after 1990) for the calculation of production quotas. Spanish Minister Miguel Arias Canete said he did not understand why transitional periods would be foreseen for the countries in question when Spain was not given the luxury of such a measure when it joined the Community. During debate on direct aid, the British Minister requested that the EU make use of the possibility of revising the milk quota system in 2002. Sooner or later, "we will be resuming debate on the gradual reduction in aid", added Nick Brown. EUROPE has reason to believe that this comment brought a smile to a few faces.

Ministers discussed several other issues.

• Swine fever. The Netherlands' Minister Jan Brinkhorst challenged the European Commission's decision to cut by 25% Community co-financing of Dutch measures to combat swine fever. Commissioner Fischler pointed out that five inspection missions, a study by a university in the Netherlands and a Court of Auditors report have criticised the measures. The correction therefore appears to be justified and in line with Community legislation, he explained. Noting that the problems that have emerged are linked to the vagueness of this legislation, Mr Brinkhorst called for revision of the regulation. The Belgian and Spanish Ministers lent their support to this view.
• Decrease in export refunds for beef and veal. This question was raised by Irish Minister Joe Walsh, who pointed out that his country is the Community's number one exporter of beef and veal; it exports around 75% of its production. He observed that last week's decision by the Management Committee reducing these refunds represents discrimination against Ireland. Mr Fischler said the reduction seemed justified given recent developments on exchange markets, the agenda 2000 reforms and the increase in direct aid paid to bovine producers. Were the reduction to be considered a discriminatory measure, then any increase in refunds would have to be seen as favouritism.
• Animal transport. Swedish Minister Margareta Winberg gave fellow Ministers copies of a documentary filmed by an NGO showing that existing regulations are ineffective. "Your voters will see this film", she commented, urging Ministers to watch the cassette. Mrs Winberg had the support of the new Italian Minister, who insisted on the particularly disastrous conditions for the transport of animals from Central and Eastern Europe.

Several delegations reiterated requests concerning: i) the extension of aid for nuts (Spain), ii) national schemes for sugar (Italy), iii) the Commission's forthcoming presentation of its report on the functioning of the new system for fruit and vegetables (Italy and Portugal).