No legal basis for EU bailout

NATIONAL state aid for each farmer affected by the pork crisis, of up to €7,500 over three years, or up to 100% compensation — if it can be establish the crisis is an exceptional occurrence — was all the EU could offer Tuesday.

On the day when the pork crisis escalated, with potential contamination found in three cattle herds, EU spokesman Michael Mann said there was no legal basis for a Brussels compensation pay out, but the EU would allow state-aid, depending on the circumstances.

Taoiseach Brian Cowen had said he might seek “co-funding” from the EU to help the pig industry cover its recall costs.

On cattle contamination, Mr Cowen said the levels found Tuesday did not represent a risk to the public, and due to the tiny proportion of cattle affected, there was no need for recalls.

Whereas dioxin levels found in pork were 80 to 200 times the legal levels, in beef, they were two to three times the limit. Meat Industry Ireland Director Cormac Healy said: “The industry’s priority now is to communicate this positive message to customers of Irish beef at home and internationally.” The affected cattle herds were to be slaughtered. Government sources also said better traceability in the beef sector than the pork sector would make isolating any affected meat easier.