The state offers farmers a net increase of 90 million in the rural settlement. It is below 10 percent of what farmers asked for. And this year’s bond requirement is the lowest in 10 years.
– This is worse than expected in several important areas. The offer is anemic at money and contributes to increasing distance in the future. Worse, taking money from overgrazing, which both causes the Earth’s productivity declines and that the use of concentrated feed will increase, says Merete Furuberg, head of the Norwegian Farmers and Smallholders Union.
These are the main points of the government’s offer:
- The number of regions with milk quotas will be reduced from 18 to between 7 and 9. This is important for farmers and revolves about how much milk to be produced in remote areas. Farmers organizations say it weakens districts and moreover is inconsistent with Parliament’s will. One of the bid most difficult and controversial points.
- Powerful cuts in fur industry. The equalization of transport subsidy for animal feed for fur industry disappears. This totals 17 million.
- Environment and climate action: 20 million in support to clean nature in Sogn og Fjordane, Møre og Romsdal and Hordaland. Here claims farmers that it is taking from support for grazing animals to buy trimmers.
- Grain price will be increased by 5 to 8 cents. A price that will make it economically feasible to operate with corn, claims the Ministry. Grain Farmers are in fact no revenue growth, compromising even supply and a climate-friendly agriculture, believes farmers.
- The price of concentrates. States uses about ten million of the price reduction, so the price of concentrates does not increase too much. Make it it is more afraid of that animal populations are reduced in rural areas. While still allowing low price of concentrates increased dependence on imported protein portion of Brazil.
- No increase to organic. Parliament has decided that 15 percent of Norwegian food production to be organic innn 2020. In 2014 they amounted øklogiske areas in Norway 5 percent. Nevertheless involves State offers zero in increased support.
– This is not sustainable, concludes Merete Furuberg.
On the contrary, it is a good starting point, parries counterpart, Secretary Leif Forsell Ministry of Agriculture.
– The distance in number of million less than for example last year. In the background, I think we will have fruitful negotiations forward, he said.
Learn more: Here are 5 words that explain much of what farmers are doing
There are two “Moneybags” which is much less
The money in lanbdbruksoppgjøert is divided into two “sacks”. One is pure budget transfers from the State. The second is increased inntekstmuligheter market. In the first sack demanded farmers 490 million, in the second 380 million.
Government offered 90 million therefore implies no increase in the actual contributions, but rather real cut of 110 million in transfers and 190 million on the marketing side.
The offer will give farmers an average annual wage increase next year at 1.75 percent, while the year had an increase of 8.7 percent. Last year, however, there were very large differences in growth between large and small farms.
Meanwhile, low interest rates contributed significantly to the farmers have had such a salary increase.
Farmers disappointed
– All answers whatsoever on agricultural demands for increased revenue opportunities to increase Norwegian food production. It is very disturbing that the government does not take Parliament’s demands for more food on Norwegian soil seriously, says a disappointed Lars Petter Bartnes, president of the Norwegian Farmers’ Union.
– We have some work to do before we report back to the state, says Bartnes, which like the Smallholders believe that the offer from the state was worse than expected.
Farmers’ Association and Smallholders should take a few days to go through the offer of state and consider whether there are grounds for negotiations. The settlement will be completed by May 14.
– The fact that farmers are getting a good development in 2014 and 2015, it seems that we should be punished for now, says Communications Lise Jakobsen Boeck in Farmers’ Association.
The farmers believe that this offer will increase the real difference in income between themselves and others.
Learn more: Here are 5 words about how much power there is in milk
– Stronger in agriculture than elsewhere
The Ministry of Agriculture estimates indicate that farmers will be left with an increase of over 10 percent from 2014 to 2016 – even with a settlement of 1.75 per cent for the last of the three years .
– Moderation characterize this year’s settlement, and government services for farmers must be seen against the background that revenue growth in agriculture has been clearly stronger than for other groups in the past two years, said state chief negotiator Leif Forsell.
Also, he will reach the limits that are significantly affected by low interest rates.
– It was also important that the international food market have very low rates at the moment. Although we have tariff barriers, there is a great deal of import to Norway. Thus, the competitive situation has been considerable emphasis in this year’s settlement, says Forsell.
“A kanonår for Norwegian farmers’
Last year it was trouble when the government presented its offer to farmers. It ended with failure and Agriculture Minister Sylvi Listhaug (FRP) got through a lot of changes in the settlement that will apply for the next few years as well.
Therefore there is much to suggest that this settlement will be a little quieter. In late April came the farmers with its claim of 950 million in financial support.
Aftenposten commentator Thomas Boe Hornburg writes in today’s Aftenposten that the first year of the first agriculture minister of FRP in Norwegian history, a kanonår for Norwegian farmers.
He justifies this by saying that revenues for farmers this year is estimated to grow by 8.7 percent – far above what most wage earners get.
This is much outsiders elements that crops were good, prices better than expected and interest rates have been at a record low. Much of this will probably apply next year, writes Hornburg.
FRP has also said that they want to reduce bureaucracy in the agricultural sector by simplifying support. Sponheim Committee’re still working on this, but it is possible that the state take with them some of the suggestions from the Committee into the settlement.
Get with you the main thing that happens in the Norwegian and international economy. Follow Aftenposten Economy on Facebook!
Published:
No comments:
Post a Comment