Russian situation 'accelerates' action on EU stonefruit crisis

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Russian situation 'accelerates' action on EU stonefruit crisis

The European Commission (EC) has responded to requests for support from the community's peach and nectarine growers, offering to increase the fruit volumes eligible for withdrawal operations and free distribution. nectarines_69660715 - sq

The EC highlighted negotiations were already underway to provide support to growers hit by unfavorable weather, but the recent import ban from Russia risked a further aggravation of the market situation, thus accelerating the need for action.

"Following the recent decline in prices on the peach and nectarine markets, urgent action is needed to prop up the market and I intend to act immediately," EU Agriculture & Rural Development Commissioner Dacian Cioloș said in a release yesterday.

"I will be proposing today that the European Commission take immediate, retroactive measures aimed at reducing supply and promoting demand. I have been very clear that I would not hesitate to act and use the new, modernised CAP to provide timely, proportionate and market oriented assistance ā€“ this first measure today is a signal of intent.

"We are monitoring markets closely and I will not hesitate to do likewise to assist other sectors dependent on exports to Russia, should it be necessary."

Readers can click here for more information on the Russian ban of food products from a range of countries.

In terms of the specific measures, the EC has proposed the amount of production that producer organizations (POs) can withdraw for free distribution be raised from 5% to 10%, while it will also be willing to pay 50% of the PO withdrawal price to non-members.

In addition, grower groups will be given extra funds for promotions, under the "usual co-financing arrangements".

"The formal decision will be taken in the coming weeks, but it will apply retro-actively as from today. This was a step already under discussion last week, but the announcement of import restrictions by Russia risks to further aggravate the market situation and has accelerated the need for action," the EC said in a release.

Related story: No action yet on European stonefruit crisis

Photo: www.shutterstock.com

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