Local view for "http://purl.org/linkedpolitics/eu/plenary/2001-02-15-Speech-4-032"

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"Mr President, Commissioner, ladies and gentlemen, in the first place, it should be made clear that we are dealing with a shortage product within the European Union. Indeed, only 42% of demand was met between 1995 and 1999. Moreover it is also the case that, as Mr Korakas, whom I would like to congratulate on his report, has rightly stated, this is a crop grown in the most disadvantaged regions of Spain and Greece. The production of cotton is very labour-intensive. This means that it is essential to maintain cotton production in order to preserve the social and economic fabric of these areas. It is also the reason for the two most important requests made by Parliament: that the overshoot penalty percentage should not be increased from 50% to 60%, and that the maximum guaranteed quantities be brought into line with actual production levels. I am only advocating an approximation, not an equalisation. When the Commission drew up its proposal, it was alarmed by unduly low world prices, which had reached a ten-year low. As a result the cost of aid had risen, due to the system of aid for cotton. Circumstances have now changed, Commissioner: prices have risen to almost record levels, the money allocated to paying farmers has been reduced and the proposal for a regulation can no longer be justified. However, the amendments adopted unanimously by the Committee on Agriculture and Rural Development certainly are justified. An increase in penalties would put many of the smallest holdings out of business, with all the social problems that this would entail. The current imbalance between actual production levels and the maximum guaranteed quantities is the reason for the huge penalties borne by farmers. As Mr Korakas has rightly said, we could also invoke Protocol 4 of the Act of Accession of Greece, which calls for cotton production to be maintained in those areas where it is considered important to the agricultural economy. It also states that farmers are entitled to a fair income. This would improve the agricultural infrastructure and so stabilise the market. The Committee on Agriculture trusts that the amendments it has put forward will stimulate the implementation of collective environmental measures, through the sector’s producers’ associations, which we aim to promote and support. We hope that the Commission will take account of these arguments and amendments, and agree to amend the proposal."@en1

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