Luxembourg, 23/10/2000 (Agence Europe) - The Agriculture Council that began in Luxembourg on Monday enabled ministers to identify points on which a compromise should be found so that a decision may be taken on the reform of the Cmo of fruit and vegetables at the next session, in November. Council President Jean Glavany observed that a large majority of delegations welcomed the structure of the Commission's proposal and backed the idea of a rapid decision. It being the question of the ceiling to apply for operational funds, a very large majority of delegations consider that 3% is too low a rate. Most refer to a rate of between 3.5 and 4.5%. the southern producer countries pleaded in favour of increased aid (with particular sensitivity for processed tomatoes on the part of Italy and Spain) and regarded as inadequate the threshold level for processing tomatoes, fisheries and citrus fruit. The abolition of the minimum price also raises problems for certain producer countries. The southern countries recalled that spending on the fruit and vegetables sector bears to relation to the weight of that sector in agriculture.. Italian Minister Alfonso Pecoraro Scanio thus stressed that fruit and vegetables made up for 16% of farm production, whereas they only receive 4% of European aid to agriculture. Commissioner Franz Fischler replied that aid had not necessarily to reflect the share of the sector in farming but meet real needs. While accepting a certain amount of flexibility on the level of the thresholds and amounts, the northern countries placed emphasis on the respect of the principle of budgetary neutrality in relation to decisions taken at the European Council of Berlin on Agenda 2000. Mr. Glavany concluded by setting himself as goal to wrapping up this issue in November. Meanwhile, he and Mr. Fischler will examine how to "reconcile the legitimate demands of producer countries and the necessary budgetary constraints".
The Council also adopted conclusions on the protection of names of origin of wine, in the framework of relations with third countries (see EUROPE of 21 October, p.13). the meeting went on into the evening and will continue Tuesday.