Farming News - France threatens veto over proposed EU budget cuts

France threatens veto over proposed EU budget cuts

The French government has threatened to veto EU budget proposals over proposed cuts to agriculture spending.

 

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On Wednesday (31st October), France's European affairs minister Bernard Cazeneuve said the country opposed any further reduction of the Common Agricultural Policy Budget. France is the largest beneficiary of EU agriculture spending, although it is a net contributor to spending overall.

 

Budget proposals released by current EU president state Cyprus on Tuesday (30th October) saw significant cuts to cohesion funding, which aims to address the gap in spending between wealthier Western states and the EU’s poorer states.

 

However, agriculture funding suffered cuts of around €5 billion under the proposed budget; Cyprus is seeking cuts to EU spending totalling €50 billion for the 2014-2020 budget. Nevertheless, funding for agriculture under pillars one and two of the Common Agricultural Policy is expected to be in the region of €400 billion.

 

EU farming organisations have also balked at the proposed cuts. Pekka Pesonen, secretary general of EU farming union Copa Cogeca, said on Wednesday, "If farmers are to provide secure supplies of food and meet new environmental measures under greening, the budget for the first pillar must be maintained in full.

 

"It is also important to ensure that there is strong national and regional support for rural development measures under the second pillar. The Presidency proposals are therefore totally unacceptable and I urge heads of state and governments to make sure they are revised"

 

French Minister Bernard Cazeneuve said, also on Wednesday, "France would not support a multiannual budget that does not maintain the funds of the Common Agricultural Policy."

 

France has been fighting to preserve spending at current levels over the next seven years. The French government has found allies in a number of major EU agricultural powers, including Germany, the largest contributor to CAP funding.

 

Meanwhile in Britain, Prime Minister David Cameron has faced opposition over his stance on the budget. Cameron has been pushing for a freeze on spending, though his position appears to be weakening under pressure.

 

Labour leader Ed Miliband has joined with Euro-sceptics on the right of the Conservative party and asked his MPs to call for a real-terms reduction in EU spending. He is attempting to pressure the prime minister into taking a hard line in upcoming negotiations, although Miliband’s party has historically supported EU funding.

 

Further negotiations with heads of the EU's 27 member states will go ahead on 22nd and 23rd November, where progress is expected to be made on the upcoming budget decision.