EU prolongs agricultural support measures for another year

EU prolongs agricultural support measures for another year

The European Union has confirmed it will prolong the measures for all farmers struck by the Russian trade boycott for another year. The support program will now continue until June 2016, at least.

Drop in export

The support measures were launched to soften the blow from the Russian boycott, which started in August 2014. The boycott is on products from the European Union, the United States, Canada, Australia and Norway, after these had opposed the annexation of the Ukrainian Crimean Peninsula and issued sanctions.

 

Price control is the biggest measure taken to help local farmers: as export plummets, there is a surplus of supplies, which in turn causes the prices to drop. Farmers who produce less so that prices can be maintained, will get the financial backing of the European Union.

 

Nevertheless, a large number of farmers have found a way to circumvent the boycott and get their products into Russia anyway: they export to countries that still have trade relations with Russia. In those countries, these products are given new labels and make their way into Russia.

 

More good news for Belgian farmers

There is more good news for Belgian farmers because trade federation Comeos and the Belgian Competition Authority will launch a proposal to limit the impact of volatile prices in the short and long run.

 

In the short run, the dairy and pig industries will get temporary price support and in the long run, all parts of the chain will need to participate in a stabilising mechanism. The proposal should be finalized by the end of August and it should help halt any further Belgian farmers' protest.

Questions or comments? Please feel free to contact the editors


Arket Brussels opens: discover H&M's latest concept

14/09/2017

On Friday 15 September, H&M Group’s new store formula opens its doors on the Guldenvlieslaan in Brussels. The press got a sneak preview and discovered a surprising mixture of fashion, interior design and food. 

Nordstrom opens store without storage

13/09/2017

American fashion chain Nordstrom is to trial a new store formula in Los Angeles next month, in which customers will only be able to get advice and try out clothing. Purchases can be picked up at the store at a later date.

Primark benefits from weaker British economy

12/09/2017

Irish fashion chain Primark takes full advantage of the weak British economy, which prompted its parent company AB Foods to adjust its full-year forecast. The chain will also continue its expansion plans.

Participatiemaatschappij Vlaanderen invests in FNG

11/09/2017

Government investment fund Participatiemaatschappij Vlaanderen (PMV) will invest 15 million euro in fashion group FNG in return for 5 % of its shares. The money will go towards international expansion.

Gap Inc will focus on Old Navy and Athleta

08/09/2017

American fashion company Gap will alter its internal strategy and turn its attention to Old Navy and Athleta. Gap and Banana Republic, which both received the most attention up until now, will have to step aside.

Global Fashion Group cuts losses

08/09/2017

Global Fashion Group, the fashion group founded by investment group Kinnevik and Rocket Internet, managed to lower its losses even more in the second quarter. On top of that, turnover grew more than 25 %.

Back to top