Subsidies in EU

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Franz Fischler, Commissioner responsible for Agriculture, Rural Development and Fisheries, was in Spain to discuss the Commissions proposals on the mid-term review of the common agricultural policy (CAP). He explained why it is in Spanish farmers interest to adapt farm policy now Why not wait until after 006? With EUR 6 billion in farm subsidies, Spain is the second-largest beneficiary of the CAP after France and clearly a net recipient. So Spanish farmers in particular have a major stake in the continuance of a strong, coherent and credible common agricultural policy. But this is precisely what we stand to lose if we do not act now and make the necessary changes. The CAP lacks credibility with European taxpayers, as recent opinion polls have shown. Sitting and waiting would be the worst possible solution for our farmers if we do not introduce reforms now, but choose to wait until the EU budget for the post-007 period is up for discussion, the farm budget will be the first in line for cuts. What is more, if we cannot go on the offensive in the WTO negotiations on the basis of a less trade-distorting farm policy, it is obvious that, come the end of the Doha Round in 004, the EU will be facing the prospect of severe cuts in its controversial direct payments without the possibility of farmers being compensated. This cannot be in the interests of Spanish farmers, he said.Franz Fischler, Commissioner responsible for Agriculture, Rural Development and Fisheries, was in Spain to discuss the Commissions proposals on the mid-term review of the common agricultural policy (CAP). He explained why it is in Spanish farmers interest to adapt farm policy now Why not wait until after 006? With EUR 6 billion in farm subsidies, Spain is the second-largest beneficiary of the CAP after France and clearly a net recipient. So Spanish farmers in particular have a major stake in the continuance of a strong, coherent and credible common agricultural policy. But this is precisely what we stand to lose if we do not act now and make the necessary changes. The CAP lacks credibility with European taxpayers, as recent opinion polls have shown. Sitting and waiting would be the worst possible solution for our farmers if we do not introduce reforms now, but choose to wait until the EU budget for the post-007 period is up for discussion, the farm budget will be the first in line for cuts. What is more, if we cannot go on the offensive in the WTO negotiations on the basis of a less trade-distorting farm policy, it is obvious that, come the end of the Doha Round in 004, the EU will be facing the prospect of severe cuts in its controversial direct payments without the possibility of farmers being compensated. This cannot be in the interests of Spanish farmers, he said.

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