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Europe Daily Bulletin No. 9760
Contents Publication in full By article 23 / 36
GENERAL NEWS / (eu) eu/agriculture

Industry wants current aid system for dried fodder to be kept until 2013

Brussels, 13/10/2008 (Agence Europe) - In a letter sent to EU Agriculture Commissioner Mariann Fischer Boel in early October 2008, the European Dehydrators Association (CIDE) agrees with the full de-coupling of aid for dried fodder after the 2013 harvest rather than after the 2010 harvest. In proposals on the health check of the common agricultural policy (CAP), the agriculture commissioner's department recommend scrapping the €33 a tonne of end product aid paid to processors of dried fodder as of the 2011 harvest and incorporating the corresponding budget into the single payment scheme mechanism. This deadline would allow companies active in the dried fodder sector (mainly farm cooperatives) to continue their investment programmes to reduce the use of fossil fuel and develop high value-added products that are more resilient to competition.

A study by the Common Market Organisation for Dried Fodder commissioned by DG Agriculture (http://www.ec.europa.eu/agriculture/eval/reports/fourrage/sum_en.pdf ) suggests that “the direct consequences of putting an end to coupled support will be: a) a drastic reduction of around 80% of the volumes produced; losses in terms of jobs, income, manufacturing staff and knowhow. The opportunity to re-deploy affected staff is low in 30% of cases, in the least-dense rural areas; and c) local environmental benefits will be lost.” In its letter, CIDE says it is certain that the Commission and Council could provide this breathing space, warning that if not, there is the danger of serious social, economic and environmental damages in many regions. (L.C./trans.fl)

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