Brussels, 30/09/2008 (Agence Europe) - Ruling by unanimity, the EU Council of Ministers reached a political agreement on Monday 29 September in favour of emergency state aid being granted by the Cypriot authorities to attenuate the consequences of the 2007-2008 drought on the agricultural sector. The aid, of up to €67.5 million, is considered “compatible with the common market”. It will benefit 34 000 farmers and 3 000 livestock farmers.
Two years running, Cyprus has experienced the longest and most severe drought since 1990 (with one exception). Rainfall in 2008 (until the end of August) reached only 50% of usual precipitation levels. According to data available, there was zero output on 95% of the land used for cereal crops, and fodder production fell so drastically that it did not even cover the minimum feed requirements of ruminants. The network of dams and reservoirs in Cyprus currently only holds 11 million cubic metres, i.e. 4% of total capacity, compared to about 150 million cubic metres, i.e. 54.7% of its capacity at the end of 2005. It was therefore necessary for the authorities to impose, at the beginning of 2007, strict rationing of water supply for irrigation purposes, and to reduce it to zero in 2008.
Such damage must be considered as all the more serious and exceptional as Cyprus has set effective means in place to manage risks and crises (more effective irrigation techniques on nearly 95% of irrigated land, water pricing policies as well as sanctions to contain excessive consumption). Also, the country has promoted the setting in place of water recycling systems in housing.
Given that the income of Cypriot farmers affected by the drought has fallen considerably, there is the risk that they will not have sufficient financial means to meet the immediate needs of their family and to start up a new harvest cycle, which means there is the imminent risk of their giving up land, of soil erosion and desertification, the draft decision explains. The latter has still to be formally adopted during a forthcoming Council. (L.C./transl.jl)