British Farmers and the European Union

Dateline: 1st June 1999

British farmers cannot produce and trade fairly and profitably. They are faced with the massive power of the state in Whitehall and the superstate in Brussels.

Small and medium sized farmers are represented – whether they want it or not – by the lobbying power of the NFU which is as alien to most farmers as the CBI is alien to most businesses, as the European Commission is to most fishermen and the forestry commission is to most foresters.

This whole process is best described as ‘corporatism’ and is the chief characteristic of the modern British state and the European Union.

This corporatist world is run by large corporations, their lobbying organisations, their well paid functionaries and the very few MPs and ministers who need to be nobbled before legislation is passed or money distributed.

These corporatist functionaries are paid for more to administer agriculture, forestry, business and fishing than those who actually work the land, plant the trees, fish the seas and own the businesses.

The biggest state run corporate business is the European Agricultural Policy – the CAP – which has destroyed British farmers who are by and large very efficient, full time and commercial but has subsidised French and German farmers who are part time, inefficient and often corrupt.

Subsidies received from the EU every year:

British farmers  :     £3.5 billion

French farmers  :   £10.1 billion

German farmers:    £ 6.8 billion

IF WE REMAIN UNDER THE CONTROL OF THE CAP:

The CAP already consumes about two thirds of the EU’s ‘disposable income’ (i.e. after admin). If Poland and other eastern countries are to join the EU, massive savings will have to be made. Very cheap food will flood in from Poland and inside the EU the British government could do nothing to protect British farmers.

The Euro has collapsed by OVER 20% the Dollar. With many costs in US Dollars British farmers would become even poorer paid in Euros.

Any decrease in CAP spending will benefit French and German farmers – or they will not happen! The CAP system is completely paralysed because reform requires the votes of those countries – France, Greece, Spain etc – which benefit from its corruption.

At present the British farmers suffer under the unfair terms of the CAP but the British Government gets the £2 billion per annum rebate negotiated by Mrs Thatcher!

The power of the NFU (and therefore the grain barons and big landowners) is greater if all they have to do is lobby Brussels (their smaller competitors cannot lobby). 80% of the CAP susbsidies in Britain go to the 20% of richest farmers, as one would expect from a system based on vast bureaucracy and Government administration. If they had to sacrifice their subsidies based on production and set aside they would compete less easily with smaller and medium sized farmers.

It is the massive over-production of larger farms which leads to the expensive storage of intervention stocks. A deficiency payment system would naturally flow to the smaller and poorer farmers.

IF WE RE-ESTABLISHED DEMOCRATIC CONTROL OVER FARMING:

Even the EU is considering ‘repatriation’ of farm support, so THAT RE-ESTABLISHING THE CONSTITUTIONAL RULE OF THE British Parliament is in that spirit.

The British government would save £9,000 million every year. Much of this could go to smaller farmers rather than to intervention stocks and wealthy farmers.

Production quotas would go, so British farmers could start to produce what British consumers want to buy. This would produce a saving on our balance of payments.

Any unfair subsidies on imports to Britain (according to international trade rules) could be compensated by import duties. This would produce a level playing field for British farmers.

The same hygiene standards as pertain in Britain could be applied to imports (not possible under the EU).

Diseased stock could be refused admission at borders (and not as presently, when it is too late – at the farm).

British world recognised excellence (lamb, beef, wool etc.) could be freely exported without the need to obtain sanction from Brussels – see world-wide ban on British beef as ‘a market regulation’.

Land values would reflect the real value of production not be distorted by subsidy and by the trading of artificial quotas. This would make it easier for the young to start farming.

Relief from crippling EU inspection costs for smaller abattoirs (up to £700 per week for one day’s inspection), local access by farmers to smaller abattoirs and thereby shorter journey costs to local traders. At present the large abattoirs and the large supermarkets dominate and distort produce trade.

Even today, nearly 50 years after the foundation of the European Common Market, some 70% of the EU’s disposable income (after its  central administration costs) goes on wasteful agricultural subsidies, interventions and administration of quotas etc.

From initial support of the CAP British farmers have learned what a centrally administered system of price and production controls menas and most now reject the system and would willingly adopt a more national, international and market based farming.