Export refunds days numbered

THE end of export refunds was signalled by European Farm Commissioner Marian Fischer Boel at a seminar in Brussels yesterday.

“Don’t bank on these staying around forever,” she told dairy sector stakeholders at the seminar on the Common Agricultural Policy (CAP) health check now underway.

Ms Fischer Boel said the EU has conditionally agreed within the Doha Round of WTO talks to phase these out by the end of 2013.

“But whatever happens in the Doha Round, I think we should assume that the days of export refunds are numbered.

“It’s hard to see how they can contribute to the competitive, market-oriented agriculture that we want.

“And they draw criticism from around the world again and again, especially with regard to development issues.

“This doesn’t mean that we should abolish them tomorrow.

“For the time being, we should keep the right to start paying refunds again if need be. But they should not be part of our long-term vision,” she said.

Ms Fischer Boel said the wind of change could also be blowing for intervention.

Ms Fischer Boel said there is now a dominant view among EU member states that quotas should be allowed to expire in 2015, as agreed in the 2003 reform. Predictability will be a key.