Phil HoganThis package of measures can have a significant and positive impact on the European agricultural markets.

The European Commission has announced an additional package of exceptional measures for the agricultural sectors in crisis, using all the tools placed at the disposal of the common agricultural policy (PAC), in order to support farmers in the EU, at the same time safeguarding the Community internal market.

The Commission acknowledges the depth and duration of the current agricultural crisis, as well as the considerable efforts made in Member States to support its farmers and, for this reason, It now responds with a new package of measures that considered significant.

The Commissioner of agriculture, Phil Hogan, European Union Agriculture Ministers outlined a series of measures that complements the earlier aid package of 500 M€, adopted in September.

In the interest of Community farmers, Hogan was prepared to use all the instruments that the legislators have placed "at our disposal, both in the short term, in the medium and long term".

We need to use, added the Commissioner, instruments and measures to enable farmers to resist and cope with the volatility of prices and markets. The current answer is integral, taking into account that many of the proposals that can be, within the existing legal and budgetary constraints.

For Hogan is a package of measures to, added to the total of the set of measures last September application, “they can have a significant and positive impact on European agricultural markets".

Hogan also said at the meeting of the Council of Ministers of agriculture to, in times of many crises and budgetary constraints, as the current, the Commission has mobilised more than 1.000 M€ in two years, including the package of support of 500 M€ in September of 2015.

The measures proposed by Hogan are very flexible so that States members can use them to the extent of their abilities and based on the specific situation in your country.

The fruit and vegetables sectors, dairy and pig meat are the main focus of this support package.

The following is a summary of these measures:

The voluntary application of supply management.

The Commission will activate during a limited period of time, the possibility of allowing producer organizations (OPs), interbranch organisations and cooperatives in the dairy sector to establish voluntary agreements to reduce their production and supply of milk.

This is the so-called 222 of the common organisation of the market (COM), that is specific to the agricultural sector and can be applied in the event of a serious imbalance in the market.

The Commission has come to the conclusion that met strict conditions for the application of this article in the dairy sector in the present circumstances. This is an exceptional measure, It should also safeguard the internal EU market and it was included by lawmakers in the reform of the cap of 2013, but it has never before been used.

Temporary increase in State aid

The Commission shall give its full support to accept that it applies the State aid 'de minimis', allowing States members that provide a maximum of 15.000 euros per farmer or rancher per year and no national maximum limit.

This can be done immediately and much more quickly than an increase in the de minimis ceilings, that called for some countries to the 20.000 o 30.000 €, and that it would need six or seven months.

Duplicate the roofs of intervention for the skimmed milk powder and butter

The Commission will increase the limits of the quantity of skimmed-milk powder and butter that intervention can be, Since the 109.000 tonnes and 60.000 tons, respectively, to 218.000 tonnes and 100.000 tons, but keeping the established intervention price. I.e., does not increase it, even temporarily, as they had requested some States.

The strengthening of the producer in the supply chain

The role and position of producers in the food supply chain is still of great concern. The agricultural markets working group launched, as part of the package of support of 500 M€ from September of 2015, It will deliver in autumn its findings and legislative recommendations to improve the balance of the chain.

It was decided this 14 March of high-level national representatives to meet with this working group so that it focuses specifically on the dairy sector.

The pig sector support

In response to the proposals on a new aid scheme for the private storage of pigmeat, Hogan was prepared to introduce a new scheme. The details of the system, including your calendar, they will have to be yet confirmed.

It will also create an Observatory of the meat market, It will cover both the pigmeat sector, as to the beef, as they asked for Member States, as well as the Observatory that already exists in the dairy sector.

International trade

With regard to negotiations on TTIP and Mercosur, the Commission is fully aware of the sensitivities of the agricultural. Hogan, together with the College of Commissioners, It is determined to defend the interests of the EU and open new markets for EU products, as long as the negotiation offer a differentiated treatment for sensitive products.

While new markets are crucial for European agriculture, It is also a differentiated treatment for sensitive products.

Promotion

Promotion campaigns are a key tool in the search of new markets and more than 110 M€ are available for 2016 just to support the promotion of EU agricultural products, both on the Community market, and in third countries. More than 30 M€ are intended specifically for the pork meat and dairy sectors, a commitment made in September. At the meeting of this 14 in March, an additional amount is added to those 30 million, as a reflection of disturbance of the market in these sectors.

The ban on Russian/measures phytosanitary

The Commission as a whole is continues its efforts to lift the commercial ban in Russian. Despite our efforts to try to ensure a rapid resumption of trade between the EU and Russia, According to Hogan, very little has been achieved.

However, Yes there has been important progress in the lifting of the unjustified or disproportionate phytosanitary measures by third countries, which will help to significantly increase trade flows. This includes advances to enter Japanese markets, Brazilian, Ukrainian and U.S..

Financial instruments / European Investment Bank / European strategic investment fund

The Commission will give priority to its cooperation with the EIB, in order to develop financial instruments appropriate to help producers and processors to invest in their businesses, in order to improve their competitiveness or to make any necessary structural adjustment.

Member States are also encouraged to make full use of the opportunities offered by the European Investment Strategic Fund in the agricultural sector and to study the possibilities of establishing platforms dedicated to funding.

Export credit

The Commission is examining the feasibility of a system of export credit, What could complement schemes in which the Member States are operating at the national level. In this sense, the Directorate-General of agriculture is stepping up its contacts with the EIB and the competent bodies of the Member States.

Fruit and vegetables sector

The Commission is considering an extension of the exceptional measures for fruit and vegetables, that arises from the Russian trade ban, that will expire the 30 June.

Rural Development

The Commission will work with Member States to see where and how the Rural development programmes can be adjusted so that they are more sensitive and respond to the current crisis.