Roundup: EU promises more help for crisis-hit farmers

The European Union (EU) is to announce an additional package of exceptional measures to support its farmers in crisis.

Agriculture ministers from the 28 member states of the EU gathered in Brussels on Monday to discuss the current difficulties faced in several agricultural sectors, including the pig meat, dairy, and fruit and vegetable sectors.

Around 100 farmers protested outside the meeting, which came just six months after the EU announced a 500-million-euro (554.24 million U.S. dollar) emergency package to tackle a crisis partly blamed on a Russian embargo.

European farmers have been in a price crisis for nearly two years. A combination of factors, including the abolishment of milk quotas, slowing market demand, and a Russian embargo on Western products in response to sanctions over the Ukraine conflict, has pushed down prices for beef, pork and milk.

The series of measures were outlined by EU's agriculture commissioner Phil Hogan. "We must use the appropriate instruments and actions to enable farmers to be resilient in the face of volatility whilst providing immediate assistance to them," Hogan told the ministers.

"In the interest of EU farmers, I am prepared to use all instruments that the legislators have put at our disposal, both as a short-term and long-term measure," Hogan said.

The EU said it would temporarily increase the amount of state aid. The union's regulators would allow member states to provide to a maximum of 15,000 euros per farmer per year and no national ceiling would apply.

Meanwhile, the EU is doubling the intervention ceilings for skimmed milk powder and butter from 109,000 tonnes and 60,000 tonnes to 218,000 tonnes and 100,000 tonnes.

The EU said it would mobilize over 110 million euros in 2016 to support the promotion of EU agricultural produce within the EU and in third countries. Over 30 million euros have been specifically earmarked for the pig meat and dairy sectors, a commitment made last September.

Meanwhile, the EU planned to develop appropriate financial instruments with the European Investment Bank (EIB) or the European Fund for Strategic Investments (EFSI), to assist farmers. The investments from the financial instruments will improve the competitiveness of agricultural enterprises or accelerate the necessary structural adjustments, the EU said.

In addition, the EU is considering a prolongation of the exceptional measures for fruit and vegetables arising from the Russian ban which expires on June 30. Extending the aid package for fruit and vegetables would require more funding.

The European Commission, EU's chief executive body, has mobilized more than 1 billion euros to help farmers since the Russian ban was imposed.

"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," Hogan said. Endit