Local view for "http://purl.org/linkedpolitics/eu/plenary/2012-01-19-Speech-4-041-000"
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"en.20120119.3.4-041-000"2
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"Madam President, it is one of the great misconceptions of agriculture that higher food prices automatically translate into higher farm incomes. However, it is the experience of farmers in my own Member State, Ireland, that they are not getting fair play or a fair return in the food supply chain.
In 2010, average farm incomes in Ireland were EUR 17 700, or just over 50% of the average industrial wage. Since 2000, the cost of on-farm production has increased by over 37%, despite major efficiencies at farm level. At the same time, the price paid to farmers has increased by only 14%. I have no doubt that this imbalance is replicated for farmers right across the EU.
It is clear that primary producers are being squeezed from both sides of the food supply chain. On the one side, they receive low-grade farm gate prices due to the strong position of processors and retailers, and, on the other side, they pay high input prices due to increased concentration of input companies. Total input costs for EU farmers rose by almost 40% between 2000 and 2010 and costs continue to increase for farmers year on year. The upper pressure on these prices will rise further as a result of resource scarcity and a growing demand for food. On the other side of the chain, retailers have used their powers over farmers to implement a number of methods such as ‘hello money’, ‘pay to play money’, payment delays, shelf space pricing and carrying the costs of discount campaigns, which cut away at the returns of farmers and buy their produce in unfair and unbalanced conditions.
This is about fair return for fair work, making a viable living from work that brings added value to the environment, delivers food security and puts food on the table of the European citizens. The retailers, processors, food suppliers and consumers are key stakeholders in the food supply chain, but so is the farmer. I think we should remember that."@en1
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