EU CAP Farm Subsidies - What they DO ? Where do the GO ?

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Sep 9, 2009, 4:27:20 AM9/9/09
to കേരള ഫാര്‍മേഴ്സ്‌
A Breakdown of EU Farm Subsidies - What they Do, Where do they Go ? -
Oh, not yet Again ?
The Phoenix of Doha Round :
Dear All,
As an observer on the antics performed by Indian politicians and
bureaucrats sitting in Delhi, over last many years, I was completely
taken aback and bewildered that the so called Doha Development Round
is NOT DEAD and Buried.
In fact Shri Anand Sharma and Shri ManMohan Singh are the SHAMANS from
India attempting to bring the Doha Phoenix BACK TO LIFE.
I was fortunate to attend the "Strategy Meeting on Upcoming WTO
Ministerial" on 02 September 2009 at Deputy Speaker Hall, Constitution
Club Rafi Marg, New Delhi.
I had the chance to learn of the views and thought processes, of an
older, as well as newer, generation of a section of Indian civil
society leaders and campaigners, committed to the complex issues of
sustainable and equitable development of Bharat and India.
1. I must confess, I was amazed on hearing media news regarding the
Cabinet portfolios when Prime Minister Man Mohan Singh shunted out
Shri Kamal Nath from the Commerce Ministry in UPA-2, while still
retaining the NCP partner, heavyweight Cricket Minister, Shri Sharad
Pawar in Krishi Bhawan.
Shri Kamal Nath for all his furious cigarette puffs, retail investment
and highway dreams, and penchant for meeting up with foreign investors
on their views regarding liberalization desires of foreign hedge fund
and pension fund managers, did enunciate an ideological position
regarding sustenance of livelihoods of Indian farmers, that unwinded
Susan Schwaab from her uptight pedestal.
Extremely rare are the Indian politicians in Man Mohan Singh
government ( UPA 1 or UPA 2 ) who have been able to progress to a
definite Indian ideological position on global forums.
My 10 packets of Benson and Hedges to Shri Kamal Nath and 1 km of
village roads to Shri Kamal Nath for this stellar contribution in his
previous avatar as the Geneva jet setting Indian Commerce Minister.
2. I must confess my absolute bewilderment when I heard that an
unelected Rajya Sabha member in the form of Shri Anand Sharma has been
expressly appointed as Commerce Minister of India.
3. And then, the crowning glory was when I heard that Shri Anand
Sharma is calling a mini ministerial in New Delhi to expedite the
absurdly so called Doha Development Round of global trade negotiations
under the WTO and a French bureaucrat called Monsieur Pascal Lamy,
especially on the heels of a global realignment in politics subsequent
to the collapse in London, New York and Paris financial and brokerage
I fast came to the conclusion that India might or might not be
incredible, surely India politicians are TRULY - "In-credible
It was a delight meeting some great people from the civil society
sections in New Delhi and I wish all the best to all of you in
bringing some sense of reality and proportion, to Delhi based leaders,
when they convene global meets and get totally carried away, playing
hosts to hard, professional and FULL TIME bureaucratic bargainers from
EU and G-7 in search of easy, toothless, powerless, global trade
regimes and markets for their recession shaken economies.
Especially the coffee that came out from the pocket of Shri Vijay
Jawandhia !!!
Editor :

Here is an article from
EU Farm Subsidies Paid to Big Business :
EU farm subsidies paid to big business :EU agriculture subsidies worth
billions of pounds under the CAP are being paid out to businesses and
multinational corporations with little connection to traditional
By Bruno Waterfield in Brussels - Published: 7:00AM BST 18 Jul 2009
The subsidies have included payments to Haribo, the sweet
manufacturer, and Coca-Cola.
New information gathered by the researchers since May
this year has shown that over 13 billion euros (£11 billion) - about a
quarter of the £47.5 billion spent under the EU's Common Agriculture
Policy (CAP), is paid to big business and industry, not farmers.
Related Articles :
* Family food bill £400 higher because of EU agricultural policy
* Farmers must go green or lose EU handouts
* EU membership cost to British taxpayers will treble to more than
£6 billion, Treasury says
* Britain tries to block France from 'U-turn' on farm subsidies
* France demands £7bn farm subsidies before talks begin

The CAP consumes 42 per cent of the EU's budget at a annual cost to
every citizen of £95, a bill of £380 a year for the average British
Ligabue, an Italian caterer, serving luxury cruise ships and airlines,
received 148,000 euros of export subsidies in 2008 for the dairy and
creamer sachets consumed by international travellers.Haribo qualified
for 332,000 euros in farming subsidies for the sugar used in its
"gummy bears" produced in Germany.
In France, the EU country that benefits the most from farm subsidies,
over 103 million euros every year boosts the profits of sugar
manufacturers - companies that do not own any farms.Groupe Doux, a
French chicken processor, raises no poultry itself but pocketed 62.8
million euros.
In Britain, Tate & Lyle Europe benefited from the taxpayer to the tune
of 134 million euros in 2007.
Arids Roma, a Spanish construction company, received 1.59 million
euros for road-making materials under EU rural development budgets
that are a growing part of the CAP.Another Spanish construction
company, Pasquina, also benefited for EU farm cash, getting1.13
million euros for an asphalt factory.

A report from the European Court of Auditors last December found that
serious problems existed in the accounting for EU rural development
projects worth £10 billion a year.
The data gathered by the campaign group has also found
a significant shift in agriculture subsidies away from farmers to some
of Europe's richest landowners, including the Royal family and the
Roman Catholic Church.
The Queen and other European royals, as well as aristocrats, including
the Duke of Westminster, have also shared in the payments.
The Queen qualified for £473,500 in farm aid in 2008 for Sandringham
Farms, her 20,000-acre retreat and home to four generations of British
monarchs since 1862.
The Duke of Westminster, Britain's third richest person with a fortune
estimated at £6.5 billion, benefited from a public EU subsidy of
£486,534. His Polish dairy businesses, Top Farms, benefited by more
than 8 million euros in subsidies from 2006 to 2007.
Jack Thurston, a founder of, said that for the first
time this year the EU's 27 governments have provided varying degrees
of information on the beneficiaries of farm cash payments.
He is critical of the European Commission of failing to compile
complicated and patchy data to give the public a clearer picture of
how money is spent.
"The idea of publishing is that European people can have the
information so debate about CAP and how it spends money is well-
informed," he said.
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