EU to approve aid for bird flu-hit poultry farmers

European Union farm ministers are set to approve Tuesday special aid payments to poultry farmers hit by the collapse of prices due to the bird flu crisis, officials say.
The measures will be agreed at regular ministerial talks in Luxembourg based on proposals by the European Commission following a slump of poultry sales by up to 70 percent in some EU countries.
"The proposal should come into force as soon as possible to provide the poultry sector with the necessary aid. God knows it is urgent," said an official from the EU's Austrian presidency.
The commission proposals "has the full support of EU member states," added an EU source on Friday.
So far EU aid could only be used to help farmers who have had an outbreak of avian influenza on their own property, or who cannot send the produce to market because of veterinary restrictions.
Under the proposal, the commission would pick up half the cost of measures to help the market, hit by a drop in consumer confidence as the bird flu outbreaks spread across the EU.
If member states and the European Parliament give the green light to the proposal, it could go into effect by the end of April.
Following a string of first outbreaks in the EU, Italy reported a 70 percent drop in poultry sales and France saw sales fall 15 percent amid fears the disease could enter Europe's food chain.
The confederation of Italian farmers says prices have slumped by 40 percent, leaving the sector with losses of 800 million euros.
As bird flu spread, governments stepped up pressure on Brussels to allow for more support to their farmers, which is usually restricted by EU rules limiting state aid in order to protect competition.
Paris and Rome have in particular led efforts to convince Brussels to take action to calm the crisis. Without waiting for an EU green light, Rome has already pledged 100 million euros to its farmers, and Paris 63 million.
Farmers' groups have given a cautious welcome to the moves.
"We will never get aid to compensate for all the losses, but it will help us through the crisis," said the Brussels-based European farmers' federation Copa-Cogeca.
It also warned of inequalities between different EU states. "The richest countries won't hesitate to do what is necessary to help their farmers, while the less favoured countries risk being much more hesitant," it said.