OREANDA-NEWS. On March 03, 2008 Prime Minister Andrus Ansip and Michel Barnier, the French Minister of Agriculture, admitted that in reforming the Common Agricultural Policy of the European Union, a balance must be found in the use of agricultural land for the purpose of generating food and bioenergy, reported the Official website www.valitsus.ee.

At meeting with the French Minister of Agriculture, the Prime Minister expressed concern that a wider distribution of bioenergy could cause farmers to quit their traditional activities in the future. While reducing the Community’s energy dependency, this may in turn entail a greater dependency on foodstuffs and feedingstuffs from third countries.

The French Minister of Agriculture also confirmed that food security is an important issue. “We must find a balance between growing energy and food plants, however, this problem is not only Europe’s problem,” said Barnier, according to whom 4%-5% of the agricultural land in Europe is under non-food plants. According to the estimate by the French Minister of Agriculture, this percentage may increase to 7% within a year.

Estonia’s position is that in order to tackle new challenges, the funds for the rural development policy must also increase. At the same time, Estonia supports the abolition of the support scheme for energy crops, since pressure for growing energy crops is high and the continuation of the payment of subsidies is not appropriate.

During the meeting, the issue of the reduction of direct subsidies and the possible elimination of milk quotas were also discussed. Estonia is of the opinion that the amount of direct subsidies must depend on the number the hectares of agricultural land actually in use and not on the volume of production; the levels of subsidies between Member States would not be harmonised either and the maximum rates of subsidy levels would be established. Furthermore, Estonia supports the elimination of the system of milk quotas as soon as possible, and the development of an agricultural sector which is more competitive in the context of the global market and requires fewer subsidies.

France will hold the EU Presidency from July to December of this year and its objective is to discuss the main priorities for the term of the Presidency with all Member States before the beginning of the term.