Issue No. 13375

 

DURING another week characterised by motorway roadblocks set by protesting farmers, Agricultural Minister Katerina Batzeli presented a package of measures designed to create a national strategy for farming on January 26. The announcement came at the end of a two-day conference on farming issues in central Athens that was largely shunned by farmers.

 

Among the key measures presented by the ministry was the injection of some 5.5 billion euros in cash to boost liquidity and incomes in the agricultural sector in 2010, as well as reforms of the agricultural compensation organisation ELGA to make the distribution of compensation more equitable, greater participation of younger farmers in the sector’s union organisations (up to 60 percent), steps designed to lower production costs and measures to control the market and close the gap between producer and retail prices for farm products.

 

The government has stipulated that retail prices are no more than 100 percent over that paid to farmers, while wholesale prices should be up to 30 percent over that paid to farmers. Those violating those limits will face additional taxes, while the ministry also intends to create a databank of companies that violate food safety laws or charge excessive prices. Farmers’ unions have vowed to continue the disruptions.

 

Meanwhile, the European Commission on January 27 announced a decision to launch an official inquiry procedure over compensation payments - worth 425 million euros - to Greek farmers by ELGA in the period 2008-2009. The commission expressed doubts over the compatibility of the financial support payments to Greek farmers, saying it doubted the extent of natural disasters in Greece during the period.

ATHENS NEWS 30/08/2010, page: 12