The Council of Ministers approved compensation of €35,6 million to livestock farmers affected by foot-and-mouth disease on Wednesday, announced the Minister of Agriculture, Rural Development and Environment, Maria Panayiotou.
In her statements after the Council of Ministers meeting, Ms. Panayiotou announced the five support measures which, as she mentioned, were formulated within the framework of the Special Advisory Committee in which representatives of agricultural organizations and livestock farmers participate, and specifically representatives of cattle farmers, pig farmers and sheep and goat farmers.
"Based on their suggestions and on the methodology developed by the Agricultural Research Institute, as well as the support provided by the Department of Agriculture and the veterinary services, the Council of Ministers approved the five measures that concern the support of our livestock farmers," the Minister said.
The first, he said, is the immediate payment of livestock compensation to livestock farmers whose animals have been killed. For sheep and goats, the compensation is from €47 to €420 per animal, for cattle, the compensation is from €150 to €2,500 per animal and for pigs, the compensation is from €35 to €5,000 per animal. He recalled that these compensations “are much higher than the average prices given in the European Union and are compensations that livestock farmers will receive without providing any documents.”
The second measure concerns those livestock farmers who wish to reactivate, said the Minister, and concerns support for loss of income for at least 12 months.
The third concerns the reconstruction of livestock with animals of high genetic value on the basis of a state aid plan which will be formulated according to criteria by the Scientific Committee for the reconstruction of livestock farming, headed by Stavros Malas.
The fourth measure, the Minister said, is to cover the cost of feeding the animals that will be acquired through the reconstruction plan for the period when the animals will not contribute to the farmer's income.
The fifth concerns the appointment of a state official for each livestock farmer who will provide him with the support he needs.
The Minister reiterated that these measures were formulated together with agricultural organizations and with representatives of livestock farmers.
He said that payments begin today, and will gradually escalate in the coming days, until the number of eligible farmers is reached. The goal is to complete the payments by May, he added.
Asked by a journalist about the amount of funding, the Minister said that so far the total cost of the measures they have announced is €35,6 million. "There is co-financing from the European Commission and some of these compensations come from both co-financing and National Funds," she added.
The Minister pointed out that this increased compensation compared to the average prices given in the European Union, "is naturally due to our prudent fiscal policy which allows us to give these compensations to our livestock farmers, precisely so that they can be compensated fairly and on the basis of market value for the animal population they lose, but mainly so that they can reactivate as soon as conditions allow."
Asked about the range of amounts announced for compensation for each animal, the Minister noted that during the killing, a three-member team goes to the breeding unit where they do the recording. "That's why it takes time. Each animal is recorded and the age is also recorded, whether it is female or male, and whether it is genetic, productivity, etc. There is a specific methodology and that's why it takes time but also why we want the prices to be fairer," she said.
"What we do for this loss of income, and it is very important, is that this loss of income reflects the real needs of the farmer because it is the loss of income that takes into account fixed costs - labor, social insurance, any other expenses and financial obligations the farmer has - so it is a loss of income that is fair and proportionate to the previous situation that was in order for him to be able to operate and be sustainable," he added.
He noted that the compensation is based on the actual financial data of each livestock unit. "So, that's why we have said from the beginning that the assistance is personalized based on actual data so that it is fair," he added.
Commenting on the fact that livestock farmers affected by foot-and-mouth disease stated that they are not represented by the livestock organizations and have formed their own, and when asked whether they participate with this organization in the Advisory Committee, the Minister noted that the "Voice of Livestock Farmers" has been active very recently and that it represents, like the agricultural organizations and the other livestock farmers participating in the Committee, part of the livestock farmers who have become active again. She recalled that when the decision to establish the Special Advisory Committee was announced in March, the sheep and goat farmers had appointed their own representative, the cattle farmers their own and the pig farmers their own.
He noted that the original representative of the sheep and goat farmers, whose unit had later tested positive for foot-and-mouth disease, was replaced by another representative appointed by the sheep and goat farmers, “and the reason we are doing this is because these decisions are made with an objectivity, universally for all those affected.” “The reason I say this is to emphasize that these decisions were not made in the absence of the people affected by the industry. They have been appointed precisely by the people they represent,” he added.
Asked if she believes they will reach an agreement with the "Voice of Livestock Farmers", the Minister noted that the compensations she has mentioned have been drawn up on the basis of intensive dialogue with agricultural organizations and representatives of sheep and goat farmers, cattle farmers and pig farmers.
"Respecting the positions of the Voice of Livestock Breeders, we will develop on Monday at the meeting we have all the details on the basis of which these prices were formed so that they can better understand how it has been done. I repeat, according to the statements of the agricultural organizations, these prices are fair and the emphasis of all of us is on reactivation," he said.
In response to a question about the advances that have already been paid, the Minister noted that the advances have been given on the basis of the March decision so that some of the livestock farmers who were eligible under that proposal could start receiving the money “precisely so that they can meet their needs”. She added that that proposal provided for those with over 50 animals to receive the advance payment. “With this proposal, essentially all livestock farmers who have had their animals killed are paid the entire amount they are entitled to for the animal population they are losing. Those who have received an advance payment will be offset against the amount they will receive now. These are not different prices. It is an amount that they have received up to €50,000 depending on the number of animals which will be offset now and they will receive additional amounts now”, said Ms. Panayiotou.
Halloumi quota reduction decree
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Asked about the temporary decree reducing the halloumi quota, Ms. Panayiotou said that it is a temporary measure "that we necessarily had to take precisely because the quantities of goat and sheep milk have been significantly affected due to foot-and-mouth disease."
"We have lost around 10% of our sheep and goats so far, so it was logical to also have a reduction in sheep and goat milk," he added.
"I remind you that the Government's main priority is to maintain our exports, on which this large industry related to halloumi is essentially based, from livestock farmers to cheesemakers, and our second main priority is to ensure the PDO," said Ms. Panagiotou.
"We want everyone involved in the industry to be sustainable. The temporary measure of reducing the halloumi quota is being taken precisely so that we can maintain our exports, which provide income to the majority of those involved in the industry," he added. "That is why we are taking this temporary measure so that exports are not affected," he said.
Ms. Panayiotou noted that this quota does not affect sheep and goat farmers. "We have the commitment that the Cheesemakers' Association has sent us, in writing, that they will continue to receive all quantities of milk without changing any agreement they have with our sheep and goat farmers," she said.
When asked, she said that the decree will be in effect until the end of the year and that they are constantly monitoring the data in the software that records milk deliveries of goat and sheep milk. "I hope there is an increase and this is completed and there will definitely be an upward adjustment," she said.
