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Wednesday, 25 January 2012

Key issues for maintaining a "healthy agri-sector"

Mairead McGuinness MEP at the European Parliament, who has co-authored the Farm Input Supply Chain Report on behalf of the EPP Group, recently explained that the text adopted by Parliament examines current market structures and identifies significant problems in the input sector. "To achieve food security, people must, at all times, have access to sufficient quantities of nutritious, safe food. To achieve a sustainable food supply chain, food pricing also needs to be balanced so it is affordable while maintaining a fair return to farmers", she stated.
She suggested policy options aimed at reducing farm input costs, while also improving the overall position of farmers in the food supply chain. As a recent press release reported, since 2000, total input costs for farmers across the EU have increased on average by almost 40%, with energy and fertiliser costs rising by 60 and 80% respectively. Farm gate prices have also increased by 25%, but the massive increase in input costs is creating a substantial imbalance between production costs and return on investment.

Source: EPP Group