18-19 March Agriculture Council

Date: 21/03/1996

MINISTERS reached political agreement on three proposals to maintain and tighten the ban on the use of hormones and 'Beta-agonists' in livestock production, with only the UK - represented by Junior Minister Tony Baldry - voting against. Formal adoption will only follow once the European Parliament has given its opinion on the revised proposals. Veterinary use of Beta-agonists will be permitted for horses, pets and cows in calf (at German insistence), but must be carried out by a vet, removing any excuse for the storage of such substances on farms. Any farmer found storing or using banned substances will lose beef premium payments for a year for the first offence, rising to five years for any transgression thereafter, and may face penalties under the member state's domestic criminal law. The new sanction will not apply to farms where residues of illegal antibiotics have been found, although existing penalties for these infringements will continue.

CONTROLS on the farm and at the slaughterhouse will also be stepped up, with member states advised to divide checks evenly between the two. They will be allowed to raise a levy to pay for the additional control measures, although a final decision on how to finance additional costs will be taken by July next year, based on a Commission proposal to be presented before the end of 1996. The Commission will keep scientific developments and new methods of hormone detection under review.

AGRICULTURE Commissioner Franz Fischler rejected claims that the EU was accepting some of the conclusions of last December's hormones conference, but ignoring others. He said the tightening of EU regulations strengthened the Union's case as it approached negotiations with the US in the World Trade Organisation. It would highlight the Union's fight against the misuse of hormones, he said, claiming that other countries had not entirely stamped out the misuse of growth promoters. “We have created clarity. We have a clear prohibition and have stepped up control measure and penalties. The decision doesn't change anything. We had the ban anyway,” stressed Fischler. Baldry claimed the timing of the decision was “inopportune” in the run-up to the Geneva consultations on 27 March, and reiterated that the rules should be based on sound scientific evidence.

MINISTERS also gave their first reactions to the Commission's new proposals to modify the banana import regulations, but there was no in-depth discussion. The proposals would give 'dollar' bananas a bigger share of the tariff quota and make the allocation of licences more flexible. Austria, Germany and the Netherlands reportedly believed the proposals were “a step in the right direction”. The UK and France were critical of the effects the changes might have on their former colonies, while Spain and Portugal - with interests on both sides - were non-committal. The proposals have been referred back to the Special Committee for Agriculture for further work. Fischler vowed to defend the EU's position against the threatened WTO dispute panel brought by the US, Ecuador, Panama, Guatemala and Honduras. “If we take into account the developments in dollar banana trade, much of what was alleged would happen has not taken place,” he said.

ONCE the main business was completed, Council President Walter Luchetti began a series of bilaterals with each member state on the proposed reform of the fruit and vegetable sector. Luchetti promised to come forward with a compromise proposal at the meeting of agriculture ministers scheduled for 29-30 April in Luxembourg. The main points of contention are producer organisations, operational funds, market withdrawals, compensation, inter-professional organisations and processed products.

UNDER 'any other business', ministers discussed contacts with Malta and Cyprus as part of the structured dialogue with EU applicant countries; Dutch problems relating to VAT rates on flowers; the latest situation on proposals to phase out the use of veal crates; Danish concerns over Japanese safeguard measures in the pigmeat sector; the application of the GATT quota for certain fruit and vegetables; Spanish questions about the cheese trade; and Swedish concern about the welfare of battery hens.