EU warned that unfolding agri crisis could result in escalating protests

THE European Union was warned yesterday that an unfolding crisis in agriculture across member states could result in escalating protests.

Farmers and agri co-operatives across Europe said they are increasingly concerned with the current crisis in agricultural markets.

Producer prices for many agricultural products have fallen substantially over recent months while the cost of production has risen sharply.

Jean Michel Lemétayer, president of Copa, the European umbrella farmers body, said: “We are seeing a crisis in European agriculture unfold before our eyes.

“A sharp drop in the price of agricultural products combined with a rise in production costs led to an almost 5% decline in farmers’ incomes in 2008.”

Cogeca, the body that represents European agri- co-ops, said they have repeatedly drawn attention to the fact that global food markets have become much more volatile.

They said: “If food security in Europe is to be maintained and supplies of sustainably produced high-quality European food are to be assured, policymakers must urgently introduce measures to help prevent the most extreme market fluctuations and make sure that the remaining market managing tools are used.”

Cogeca president Gert van Dijk said the EC should also urgently step up its efforts and take action against the imbalances of power in the food chain.

“How can consumers be expected to pay the same for food in supermarkets, while farmers are being paid less? We clearly need more transparency in the food chain.

“The EC should investigate the mechanisms of price transmission. Measures are needed to support and encourage farmers to fully use their co-ops’ potential.

“This will contribute to the smoother running of the food chain and fairer competition thus enabling farmers to obtain a larger proportion of the added value,” he said.

Mr Van Dijk, said agri co-ops play a role in shaping the future of farming in the EU whilst focusing on customers and consumers.