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| Version 1 | Version 2 |
|---|---|
| EU shake-up on farming subsidies | EU shake-up on farming subsidies |
| (about 23 hours later) | |
| The EU has unveiled a plan for reform of its Common Agricultural Policy, the rural payments system that costs more than 40bn euros (£32bn) a year. | The EU has unveiled a plan for reform of its Common Agricultural Policy, the rural payments system that costs more than 40bn euros (£32bn) a year. |
| The proposals are aimed at making farmers more responsive to market forces amid rapidly rising food prices. | The proposals are aimed at making farmers more responsive to market forces amid rapidly rising food prices. |
| They aim to scrap milk quotas and give farmers incentives to look after the countryside rather than producing food. | They aim to scrap milk quotas and give farmers incentives to look after the countryside rather than producing food. |
| EU agriculture boss Mariann Fischer Boel wants to minimise the distortion to food markets the subsidies create. | EU agriculture boss Mariann Fischer Boel wants to minimise the distortion to food markets the subsidies create. |
| The draft policy requires approval by all 27 EU member states. | |
| ON THE AGENDA End to subsidies for major landownersEnd to "set-aside" - practice of paying farmers to leave land fallowMilk quotas to come to an endMoney to be redirected to rural development and green programme Europe's farming future debatedSend us your comments | ON THE AGENDA End to subsidies for major landownersEnd to "set-aside" - practice of paying farmers to leave land fallowMilk quotas to come to an endMoney to be redirected to rural development and green programme Europe's farming future debatedSend us your comments |
| Proposals | Proposals |
| The plan calls for milk quotas to be gradually increased, then scrapped by 2015. | The plan calls for milk quotas to be gradually increased, then scrapped by 2015. |
| But the biggest change would be to progressively cut subsidies to wealthy farms, and shift the money saved to protect and promote traditional family farms. | But the biggest change would be to progressively cut subsidies to wealthy farms, and shift the money saved to protect and promote traditional family farms. |
| For 2009, subsides for farms receiving 99,999 euros would be reduced by 7%, and by 16% for those receiving more than 300,000 euros a year. | For 2009, subsides for farms receiving 99,999 euros would be reduced by 7%, and by 16% for those receiving more than 300,000 euros a year. |
| The funds would be used by member states to invest in environmentally-friendly programmes, including renewable energy sources and water management. | The funds would be used by member states to invest in environmentally-friendly programmes, including renewable energy sources and water management. |
| The amount of land a farmer has to own to be eligible for aid would also rise. | The amount of land a farmer has to own to be eligible for aid would also rise. |
| At the moment, that stands at 0.3 hectares, less than the size of a football field. | At the moment, that stands at 0.3 hectares, less than the size of a football field. |
| The Commission says the administrative cost of dealing with the smallest properties is often more than the subsidy itself. | The Commission says the administrative cost of dealing with the smallest properties is often more than the subsidy itself. |
| 'Safety net' | 'Safety net' |
| The UK has urged the EU to go much further and get rid of direct payments to farmers altogether. | The UK has urged the EU to go much further and get rid of direct payments to farmers altogether. |
| One French farmer told the BBC the subsidies should stay as a safety net. | One French farmer told the BBC the subsidies should stay as a safety net. |
| "Our prices are very high now so we don't need anything, any safety net," said Langlois Berthelou. | "Our prices are very high now so we don't need anything, any safety net," said Langlois Berthelou. |
| "But when the price will get back down ... we will not have any more efficient tool. | "But when the price will get back down ... we will not have any more efficient tool. |
| "We don't have to forget that in Europe we have very heavy burden with all the environmental and labour legislation which farmers around the world, in some other parts, don't have." | "We don't have to forget that in Europe we have very heavy burden with all the environmental and labour legislation which farmers around the world, in some other parts, don't have." |