The European commission yesterday announced long-awaited proposals to reform some of the most criticised aspects of the its subsidy-laden average agricultural policy.
The commission outlined three options to upkeep the way European coalition aid is handed out to the sugar and cotton industries. option single is to maintain the accepted regime beyond 2006; alternative two is open reform, chill guaranteed homely eu prices and slashing production quotas, and alternative three is complete liberalisation.
Oxfam said the plans fell far brief of what was needed, saved some of the worst subsidies mastery area again did little for the world’s poor. A unique chance to fix some of the damage led to by the recent breakdown of world trade talks connections Mexico had been squandered.
Kevin Watkins of Oxfam said: “The EU places the defence of the indefensible CAP above any commitment to reduce necessity … and when it comes to cultivation the right of big farms to ensue large subsidy cheques comes before Europe’s obligations to the multilateral trading system and its commitment to reducing world poverty.
“It is high juncture that the EU makes the installation also branch lift of the CAP that’s needed.”
The commission countered that it had no longer climactically decided which alternative to plump for.
The EU’s sugar regime is controversial in the extreme. Its subsidies swallow €1.4bn (£1bn) every year and the artificially guaranteed EU price for muzzle is more than three times higher than the world market price now a result.
France and Germany are the EU’s leading kiss producers, followed by Italy and Britain.
Gregor Kreuzhuber, a commission spokesman, said Franz Fischler, the european cultivation commissioner, become the first person to try to reform the sugar regime in that its inception effect 1968 and was committed to real change.
Complete liberalisation was not necessarily the answer, he added, because it might hurt African, Caribbean further Pacific countries which are allowed to export their sugar to the EU at zero duty.
The proposals will now sell for haggled over by EU farm ministers.