EC activates 'exceptional' measures to further support EU farmers in crisis

The European Commission has announced an additional package of what it called exceptional measures using all the tools made available in the Common Agricultural Policy (CAP) to support EU farmers while safeguarding the EU internal market.

The measures, activated on Monday, March 14, are highly adjustable so that member states can use them to the best of their capacities depending on their specific national situation. Dairy and pigmeat, as well as the fruit and vegetable sectors, are the main focus of the support package.

"This is a package of measures which can have a material and positive impact on European agricultural markets and it should now be given the chance to succeed", the EC said.

The Commission will activate, for a limited period of time, the possibility to enable producer organisations, interbranch organisations and cooperatives in the dairy sector to establish voluntary agreements on their production and supply. This is the so-called Article 222 from the Common Market Organisation (CMO), which is specific to the agricultural sector and can be applied in case of severe imbalance in the market.

The EC has concluded that the strict conditions for the application of this article to the dairy sector are fulfilled in the current circumstances. "This is an exceptional measure, which must also safeguard the EU internal market and was included by the legislators in the 2013 CAP reform but never used before", the EC said.

Earlier in September 2015, the EC adopted a special aid package for EU farmers worth €500 million.

The EC will give its full consideration to a temporary acceptance of state aid that would allow member states to provide up to €15,000 per farmer per year and no national ceiling would apply. This can be done immediately and much more quickly than an increase in de minimis ceilings.

The EC will increase the quantity ceilings for skimmed milk powder and butter put into intervention from 109,000 tonnes and 60,000 tonnes respectively to 218, 000 tonnes and 100,000 tonnes. This way, the EC said, "we clearly commit to supporting the fixed intervention price".

In response to the proposals for the reopening of the private storage aid scheme for pigmeat, Commissioner for Agriculture and Rural Development Phil Hogan said they would consider the introduction of a new scheme. The details of the scheme, including the timing of its introduction, will have to be confirmed, he added.