Chirac opposes EU farm reform

Europe must “respect pledges already taken” on EU agriculture budgets, Jacques Chirac has told European leaders in Brussels.

The French president has linked EU enlargement to a 2002 agreement guaranteeing farm subsidies until 2013.

“It is thanks to this agreement that we were able to finalise enlargement. This decision binds everyone,” he said.

France is the EU’s main beneficiary of agriculture funding – cash that has become drawn into a row over Europe’s budget from 2007 to 2013.

The UK has called for the farm subsidies issue to be reopened after Chirac demanded London give up its annual EU rebate.

Paris is also determined to block moves to take farm funding for new EU countries Bulgaria and Romania, expected to enter in 2007, from existing budgets.

“I need clear guarantees at this point: I will oppose all reductions in direct aid up to 2013 caused  by these two future accessions,” Chirac said.

But the French leader – isolated since his May 29 referendum defeat on the EU constitution – has expressed support for compromise budget proposals tabled by the Luxembourg EU presidency.

Paris will pay €10 billion to EU coffers under the proposed seven year budget deal, contributions can accept.

“I am ready to make this effort if, and only if, we stop there. I can go no further,” he said.

Chirac has attacked the UK’s linkage of Britain’s €4.6bn annual EU rebate to the future of European agriculture reform.

“The future of the British ‘cheque’ after 2013 must not be in any way conditioned on
the revision of farm spending,” he insisted.

"Each country must contribute to the European effort in proportion to their means. That is why it is vital that the UK plays its full part in future on the financing of the enlarged Europe."

France is going head to head with the UK over a 21-year old arrangement allowing London cash back from Brussels.

Britain is the EU’s second largest contributor and does not benefit from Europe’s Common Agriculture Policy to the same extent as France.

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