EU-DIGEST

EU asks refund for over 400 MN Euro inadequately spent in agriculture - by de Radu Rizea

Several states in the European Union will have to pay back to the European Commission some 410.3 unduly spent on illegal agriculture subsidies, BBC and Forbes announced on Thursday. The largest amount to be refunded is due by Italy - 145 million euro, because it didn't check the surface eligible for EU subsidies. The EU also announced that signs of fraud were found, as well as problems with citric fruits processing.

Labels: Agriculture, EU

Most EU member states defend common agricultural policy

The majority of the European Union (EU)'s member states are defending the the bloc's common agriculture policy which the UK recently accused of being partly responsible for price increases and global food crises. A diplomatic source told Agence France-Press on the fringes of a meeting in Brussels that most agriculture ministers have rejected the suggestion that the common agriculture policy is responsible for an increase in prices.

Labels: Agriculture, EU

Spain: due to bad weather potato exports from Mallorca decreased 20%

Potato exports from Mallorca decreased 20.27% (20,500 tons) in the first semester of this year due to the adverse climate conditions between March and April. In addition value of exports also decreased to 10.3 mln. euros, that is 36.09% less than the same period in 2006. UK and Denmark are the main destinations of potatoes and had different trends during the same period. UK decreased -24.33% in volume and -46.71% in value. Denmark represented an increase of 11.62 in volume and 25.03 in value.

Labels: Agriculture, EU, Majorca, Potatoes, Spain

EU treads carefully in reforming agriculture policy - by Matthys Nieuwehuis

Around one third of the entire European budget goes on agriculture, in total some 40 billion euros. For years, there have been discussions about plans to get this under control, and reduce the spiralling costs of agriculture. It's clear that the European Commission hasn't dared to do anything radical, and has chosen instead to proceed with careful steps, as EC Commissioner Fischer Boel explained: "We must take the faults out of the system that have been there since the very beginning. Then we must adapt the sector to the changes that are taking place at a rapid rate in agriculture."

It looks as Europe's farmers are not going to protest too loudly. At least, no French farmer has emptied his slurry tank against the wall of the EU Commission building. Dutch farmers are also positive. Albert Jan Maat, Chairman of the Dutch Agricultural and Horticultural Organisation, says: "As farmers and market gardeners we're not afraid of reforms. It's essential that you make sure the farmer can produce as much as possible under good conditions. If you look at the environment and animal welfare, then Dutch farmers are already doing well. At the same time, we think there's never a good time to reduce subsidies. The demands in the areas of animal welfare and the environment are very high, and we want to satisfy them, but there mustn't be a shortfall in support."

Labels: Agriculture, EU

UK gov. lab suspected in foot-and-mouth outbreak in Britain

British officials said late Saturday that they suspect the strain of food-and-mouth disease recently discovered in cattle in southern England may have escaped from a nearby government laboratory studying the disease.
According to the Associated Press, U.K. agriculture officials told reporters that the strain, which had not been seen for some time in living animals, is identical to one being studied at the government's Institute for Animal Health laboratory.
The strain was discovered in cattle on a farm outside of Wanborough, London, about four miles from the facility. Wanborough is approximately 30 miles southwest of London.

Labels: Agriculture, EU

Global Warming and Agriculture: Impact Estimates by Country -- by William R. Cline

Unabated global warming will reduce global agricultural capacity at least modestly by late in this century, contrary to some estimates that it will benefit global agriculture over that period. The damages will be the most severe and begin the soonest where they can least be afforded: in the developing countries. The losses will be much larger if carbon fertilization1 benefits fail to materialize, especially if water scarcity limits irrigation.

Temperatures in developing countries, which are predominantly located in lower latitudes, are already closer to or beyond thresholds at which further warming will reduce rather than increase agricultural capacity, and these countries tend to have less capacity to adapt. Moreover, agriculture accounts for a much larger share of GDP in developing countries than in industrial countries, so a given percentage loss in agricultural potential would impose a larger income loss in a developing country than in an industrial country. This study starkly confirms the asymmetry between potentially severe agricultural damages in many poor countries and milder effects in rich countries. A small amount of warming through, say, the next two or three decades might benefit global agriculture (with some countries gaining more than others). But it would be a serious mistake to do nothing about global warming on grounds that some studies have estimated global agricultural gains rather than losses for the first few degrees of warming.

Labels: Agriculture, Global warming

EU: banana imports from ACP countries increased

This week the dispute settlement body of the WTO will meet to discuss the import figures of bananas for the EU. From recent information it appears that banana imports from ACP countries during the first 11 months of 2006 have increased with 20%, while imports from dollar countries increased with 10%. When November 2006 is compared with the same month in the previous year, it appears that banana imports from ACP countries increased with 48,8%.

Xavier San Martín of the association of banana growers from El Oro in Ecuador reports that the grower price of bananas has presently decreased to less than 1 dollar per box.

Labels: Agriculture