19-20 July: Agriculture Council

Date: 22/07/1999

EU FARM ministers approved a major new meat trade agreement with the US, despite Washington's decision to punish the Union's meat exporters with €115 million worth of sanctions, in the ongoing dispute over the EU's ban on imports of hormone-treated beef.

ON THE following day, Acting Farm Commissioner Franz Fischler signed the veterinary equivalence agreement, which will cover annual trade in live animals and meat amounting to a value of nearly €3 billion to the two commercial giants, with Washington's new ambassador to the EU Richard Morningstar. Fischler's spokesman said that the accord would set up a framework for solving trade disputes and for providing mutual recognition of animal health rules. The new system, which will come into effect on 1 January next year, will make it cheaper and easier for both parties to trade animals and meat by the elimination of costly and unnecessary customs checks.

THE signing ceremony was, however, overshadowed by the announcement from Washington that it would slap penalty sanctions on €115 million worth of EU exports. The sectors mainly affected will be pork and beef products together with some luxury foodstuffs. Fischler said he deeply regretted the American move. “I do not dispute the right of the United States on this, but I do not understand it. Sanctions will only restrict trade. Beef producers will not benefit at all,” he insisted. Fischler argued that it would be a better plan for the Union to agree on a compensation package with the US.

THE Acting Commissioner also presented ministers with new proposals to tighten up rules on the content of animal feed, in a bid to prevent a repeat of the dioxin scandal which has recently ravaged the Belgian food industry. Under the new rules, feed manufacturers would not be allowed to use recycled cooking oil in animal rations. Manufacturers would have to follow strict operating guidelines to ensure maximum safety of their products, including better labelling of the ingredients of final products and signing up to a code of 'Good Manufacturing Process'. Fischler said the new rules would be ready for approval by the Commission soon, and he hoped they would be agreed within the next six months.

FARM ministers agreed on a number of new rules to govern the treatment and safe disposal of some animal waste products, including tallow, to protect against diseases such as bovine spongiform encephalopathy (BSE).