Farming News - De Castro - no deal on CAP until EU budget resolved

De Castro - no deal on CAP until EU budget resolved

The chairman of parliament's agriculture committee has issued a "get-tough" ultimatum to EU member states over planned farm reform.

Speaking at a news conference on Thursday, Italian member Paolo De Castro warned that the current impasse over the EU budget for 2011 "must be resolved" before parliament agrees to reform of the common agriculture policy (CAP).

His comments come after agriculture commissioner Dacian Ciolos published the much-awaited "communication" on the future of the CAP on Thursday.

The proposals, which broadly outline the commission's intentions on the future of the much-criticised CAP, met with a mixed response.

More formal legislative proposals are due next year.

But De Castro appeared to set the tone when he flatly ruled out any possible agreement while negotiations remain deadlocked on the EU budget, of which agriculture accounts for well over one third.

The S&D member said, "Some may call it a 'declaration of war'. But whatever you call it, I can tell you that we will not support any legislative reform of the CAP while this uncertain about the budget remains.

"This is the strong message I want to send today to member states. We want clarification - and certainty - about future EU financial resources, in other words, the way the EU budget will be financed in future."

The 2011 budget talks are currently blocked after member states refused to give way to parliamentary demands relating to long-term financing of the EU's budget.

France and Germany are among 12 EU governments backing UK Prime Minister David Cameron in setting 2.9 per cent as the maximum acceptable budget increase.

Parliament voted for a six per cent increase - a figure backed by the commission although this has now been revised to 4.6 per cent.

If there is no deal before December the budget will stay at the 2010 level.

A three-week "conciliation" period began on 27 October for the parliament and member states but talks broke down earlier this week.

Under the Lisbon treaty, parliament has real powers to influence the EU budget and agricultural reform for the first time in its history.