EU food industry supports principles of farm reform
The European Confederation of Food and Drink Industries (CIAA) said it condoned the principles behind the Fischler reform.
The CIAA reaffirmed its backing for further decoupling, saying it was essential for the food and drink industry to improve the competitiveness of community agriculture, while taking care to preserve the different production sectors which provide necessary supplies to processing companies.
However, the Confederation has questioned the changes in its proposals forced on the Commission by the CAP budget limits set by EU leaders last October.
By reducing proposed transfers to rural development measures, the Commission may not be able to achieve sustainable development, says the CIAA.
In response, Commissioner Franz Fischler said, “It is a first step. I trust that member states live up to their commitment in the Brussels Summit to further beef up support for rural development.”
There is also some food industry disappointment at proposals to retain milk quotas as they are until 2014/2015. “We would look to an early abolition of milk quotas and would welcome a speedy and managed move to a more world market based economy for dairy”, said Martin Paterson, deputy director general of the UK’s FDF food industry grouping.
Here in Ireland, IBEC’s Food and Drink Federation said it was very difficult to understand how the European Commission can arrive at a sensible reform of the CAP before knowing the outcome of the world trade talks.
FDF Assistant Director Pat Ivory said additional reductions in import tariffs may leave the EU market having to cope with higher imports of certain dairy and meat products.
As a result, it was almost impossible to have a sensible reform of the CAP, before the final outcome of trade talks on import tariffs.
“The danger is that if the CAP reform is out of line with the world trade agreement, it will almost certainly damage the competitiveness of the Irish food and drink sector”.
