E.E.C. To Debate Farm Policy

Press, Volume CII, Issue 30287, 13 November 1963, Page 17

E.E.C. To Debate Farm Policy

(N Z.P.A -Reuter—Copyright) BRUSSELS, November 12. Foreign and Agriculture Ministers of the Common Market countries will meet today for a crucial debate on farm policy and next year’s “Kennedy round” of ’ tariff-cut negotiations.

The meeting is a prelude to an expected marathon session at the end of this year, during which the Six will take important decisions on agriculture Some of the decisions concern regulations for a common policy on beef, dairy products, and rice, the setting of cereal prices for the

coming harvest year, and a common position in the “Kennedy round” for industrial as well as farm products. Diplomatic observers in Brussels say agreement on these questions will be difficult. particularly in view of recent German demands that some of the existing agricultural regulations should be revised to take more account of the interests of non-mem-ber exporting countries, and that the new regulations should also have a more ''outward-looking” character. France is likely to resist these proposals. She is concerned with finding a market for her farm surpluses inside the market.

The German proposals will be discussed along with a special report from the market's Executive Commission to be presented by its Dutch vice-president. Dr. Sicco Mansholt. The report is on experience gained from the common farm regulations already in effect and State aids given by member countries to their farmers. The main conclusions are that the common farm policy has proved effective in practice and that no radical modifications are necessary, according to authoritative sources.

The Ministers will also have a first discussion of the commission’s radical new proposals for a single harmonised cereal price in all six countries by July 1, 1964. This would be coupled with financial compensation to farmers in countries, particularly West Germany, where prices would fall. It is already clear from statements by Dutch officials that Holland will be reluctant to pay such compensation to German farmers

France is likely to think the compensation too much. Opposition is also expected from the German farmers themselves, who consider the compensation suggested by the commission too small, informed sources said.