Brussels, 15/02/2005 (Agence Europe) - Although controversial subjects will be negotiated over the next few months at the Ministers for Agriculture from EU Member States, progress was achieved at a technical level in certain areas of the European Commission proposal (presented in July 2004) on rural development programmes for 2007-2013. The Commission envisages three principal axes of intervention: improving the competitiveness of agricultural and forestry sectors, rejuvenations and diversification of the rural economy and quality of life in rural areas. The Special Agriculture Committee agriculture (SAC) brings together experts from Member States and made progress in the following field:
Improved competitiveness: the Luxembourg Presidency agreed to increase the number of aid recipients with increases in added value of agricultural and forest primary production. This was a request made by Finland, Denmark, Greece, Hungary and the Czech Republic. Limited initially (according to the Commission proposal) to SMEs (Small and Medium-sized Enterprises) and then to companies in general. Area rejuvenation: under pressure from a majority of Member States, the Commission ceased attempting to impose compulsory measures in rural development programmes supporting animal welfare. According to the draft, only agro-environmental measures remain obligatory, while measures on animal welfare would be optional. During the debate, Germany was alone in regretting that modification of the original proposal had been made. Intense discussions took place in connection with the zones eligible for payment. The definition given by the Commission for underprivileged zones is very controversial and disputed by Finland, Greece, Hungary and Cyprus. These countries wanted the EU Agriculture Ministers to tackle this question as soon as possible. Poland favours a broader reflex ion on the least favoured zones. Certain elements of the proposal on new the rural European Development Funds will be discussed on February 28 by the Agriculture Council. The Presidency wants the main political question dividing Member States, namely that of minimum funding rates be set out on a thematic basis as proposed by the Commission (15% of competitiveness funding for agricultural and forestry sectors, 25% for the area rejuvenation and 15% for diversifying the rural economy and 7% for the Leader project), to be tackled at the Agriculture Council on March 14.