EU Sees Sense Over Tobacco Subsidies

MrPresident

Anglo-Saxon Liberal
Joined
Nov 8, 2001
Messages
8,511
Location
The Prosperous Part of the EU
From BBC News

European Union agriculture ministers are opening talks on plans to phase out subsidies to farmers growing tobacco.
More than £600m is paid each year to support the industry, but proposals to end the subsidy face strong opposition from Mediterranean countries.

The talks in Brussels will consider replacing the subsidies with payments to encourage alternative crops.

Britain supports the change, but Mediterranean states say it will force many poor farmers to abandon the land.

Around 80,000 farmers, mostly in poor regions of Greece and Italy, get about £5,000 per hectare from European taxpayers to grow tobacco - 20 times the subsidy paid to grain farmers.

Wildlife 'threat'

The BBC's environment correspondent Tim Hirsch says apart from the obvious contradiction with EU health policies, environmental groups such as the Royal Society for the Protection of Birds believe the subsidies encourage damage to wildlife because of the large amount of chemicals needed to grow tobacco.

Along with olive oil and cotton, tobacco was left out of the reforms agreed by farm ministers last year.

Around 300,000 tonnes of tobacco is produced in France, Italy, Spain and Greece taken together.

But sceptics fear a rural way of life in Europe could be set to disappear for good.

Pierre Haein, director of France Tabac, the biggest tobacco co-op in France, said: "The disappearance of Europe's tobacco industry will in no way resolve the issue of smoking and health.

"As long as smoking is legal in Europe, it's obvious that cigarette manufacturers will get their tobacco supply from somewhere else in the world."
 
What the heck do you need a subsidy for tobacco for? That's got to be one of the most profitable crops around! Especially in Europe.
 
Small inefficient farms in conditions not optimally suited for the growing of tabacco competing against big quasi-industrialized plantations in countries with lower wages and more tobacco-friendly climates and soils.
 
Subsidies are useful to help start new technology businesses.
Not to maintain innefficient agricultural companies.

The EU should stop any agricultural subsidy tomorrow.
 
Well its a start and maybe the bigger subsidies, will also get phased out soon:)
 
don't forget the USA, Swiss, Norway, Japan are doing the same.

One of the most hypocritical comments in this debate was made by some France man. He told the USA to stop their (cottom)subsidies cause they harmed the development of Africa.
 
If the EU needs to give out subsidies, and it appears as it does, then it should give them to industrial companies in the nations that have just joined. Having said that we must remember that most farmers would recieve subsidies need too in order to survive. I'm not saying we should keep them, just that we shouldn't be too hard on the farmers for wanting to keep them.
 
I could support subsidies to space and defence companies.
 
Why is it not possible to do something humane to the farmers and stop subsidies too?

The farmers can be told that within the next few (say 5) years subsidies will be phased out gradually say going down 20% every year. Then they have time to shift to either more productive crops or get out of agriculture and the pain is much less.

Why cannot this be done? Seems pretty elementary to me. :confused:
 
Except that the majority of the farmers are either large cos. or owners of huge farms, nothing like the small landowners of Asia and Africa who ultimately suffer.
 
Originally posted by allhailIndia
Except that the majority of the farmers are either large cos. or owners of huge farms, nothing like the small landowners of Asia and Africa who ultimately suffer.

I do not see why that should be a problem at all.

IMHO, it should be easier for large farmers to do the shift than the small farmer. The large farmer has more money and resources and shifts require some resources. OTOH, the small farmer may have little land and money and may have no other skills and he may need more time.
 
But the large farmers and cos. WANT more subsidies and won't be willing to stand by and let the govt. allow some real competition for them, will they?

Remember all the hullaballoo created in India when we first opened up? The biggest noise was made by Indian cos., who did not want to compete with the MNCs and tried to get more protection from the govt. Fortunately the govt. didn't listen and went ahead with reforms and today Indian cos. are able to compete on equal terms with MNCs in India and who knows, future, globally.
 
Back
Top Bottom