Tuesday, 6 January 2009

EU agrees on big changes in agriculture, ČR doesn't back them

ČTK /
November 21, 2008

Brussels, Nov 20 (CTK) - The Czech Republic, as well as other member states including Slovakia, did not back the biggest changes in the EU agricultural policy in the last five years, approved by EU agricultural ministers after long talks Thursday morning.

"The proposal was passed without our support," said Czech Agriculture Minister Petr Gandalovic but admitted that the result is a significant progress against the original proposals.

According to the final compromise, farmers who gain over EUR5,000 (Kc125,000) in direct support see the payments cut by 5 percent and this amount is transferred to the state budget for countryside development.

By 2012, the share should gradually be raised up to 10 percent.

Farms getting subsidies higher than EUR300,000 (Kc7.5m) annually should lose some 4 percent. This applies to around 850 farms in the Czech Republic, according to Czech data, and some 300 farms in Slovakia, Slovak minister Stanislav Becik said.

"We have managed to negotiate a significant cut in the rate concerning the size of farms: 4 percent have been left there out of the original 9 percent in the band above EUR300,000, and the lower bands were cancelled altogether. This is good new for Czech farmers who will thus not lose as much money as they would by the original proposals," Gandalovic said.

"I believe we cannot say this is a victory but it certainly is a shift in a very positive direction," Gandalovic said.

"Czech farmers will have to fight for an equal position with their rival from the original EU member countries for a long time," he added.

Regarding original proposals, the approved proposal is a certain compromise, Agricultural Chamber head Jan Veleba said at a seminar called Agricultural Policy 2009 Thursday. Gandalovic did the utmost for the Czech Repbulic and has done a goob job, Veleba said.

Czechs and Slovaks also wanted help which new EU members will be getting to improve their position vis-a-vis the old EU members to be raised.

By 2012, the newcomers will in the end get EUR90m annually, the Czech Republic over EUR9m (Kc230m) and Slovakia EUR3.85m (Kc99m) of this.

"We think this is insufficient... But this is some extra money against what has been agreed in accession agreements," Gandalovic noted.