EU crisis fund narrowly open for damage caused by Ukraine support

So far, only grain producers in Poland, Bulgaria, and Romania are eligible for about 56 million euros in compensation. Their national governments may double that amount.

The calculations are based on significant deviations over the past five years between grain import and export compared to the EU average. For many other applicants, the differences (read: revenue losses) are too small. Farmers in the Czech Republic, Hungary, and Slovakia had also requested EU emergency aid. The European agricultural umbrella organizations Copa and Cosega find the currently proposed scheme far too limited and also only one-off.

Because a large part of Ukraine’s grain production is transported 'overland' to ports in Poland, Lithuania, and Romania, some of it ends up in neighboring countries of Ukraine, putting heavy pressure on prices in local grain markets. There, warehouses are filling up with corn, wheat, and sunflowers. 

Additionally, French, Italian, and Spanish poultry farmers complain about the collapse of their chicken meat market because the EU temporarily abolished export quotas and tariffs for Ukrainians. Those countries are also calling for a compensation scheme. Agriculture Commissioner Janusz Wojciechowski said on Monday in Brussels at the monthly Agriculture and Fisheries Ministers meeting that the fund is too small for such a broad approach.

In the Agriculture Council, other EU member states also unsuccessfully requested support. Milk prices in Latvia and Lithuania have dropped drastically. The ministers of the Baltic Sea countries warned about farm closures among dairy farmers. Italy wants compensation payments due to bird flu. France and Spain pointed to the economic difficulties of their wine producers.