New wave of farmer protests loom as German government refuses to budge

New wave of farmer protests loom as German government refuses to budge | INFBusiness.com

Germany’s ruling coalition refused to back down in its political showdown with protesting farmers, deciding late on Thursday to stick to its plans to cut farm subsidies, opening the floodgates to an unprecedented “eruption” of new protests.

Farmers in Germany have been protesting for weeks against the government’s planned subsidy cuts, saying that the move would bring them in financial trouble. The protest movement has blocked several motorways and city centres over the past two weeks, culminating in a rally of 30,000 farmers and 5,000 tractors in Berlin on Monday.

Ahead of the ruling parties’ decision, Farmers’ Association President Joachim Rukwied already warned of unprecedented protests if the government did not reverse its course.

“The protests of the past few weeks were a foreshock. If nothing changes, an eruption will follow,” Rukwied said on Thursday.

Now that eruption is inevitable.

Late on Thursday, the government’s plan to phase out agricultural fuel subsidies – the main sticking point for farmers – was approved by the influential parliamentary budget committee. While the Bundestag still has to pass the budget in early February, its approval is considered a formality.

Just before Christmas, the German government had to make cuts to plug a €17 billion gap in the budget after the Constitutional Court declared the proposed budget unconstitutional. To cut expenses, the government decided, among other things, to phase out subsidies for farmers.

After farmers took to the streets following the announcement, the government backtracked in early January, reversing some subsidy cuts to ease the burden on farmers.

However, this was not enough for the farmers, who urged the government to reverse the subsidy cuts fully.

While the final negotiations within the government were being held, Rukwied clarified that the only way to prevent further protests was to withdraw the proposed subsidy cuts.

“Everything that has been announced so far has further increased the farmers’ anger instead of calming it down. […] Only they [the federal government] can prevent more far-reaching farmer protests.”

Federal Agriculture Minister Cem Özdemir (Greens) tried to soothe tensions ahead of the government’s decision by re-introducing the idea of an animal welfare levy to support farmers in their efforts to protect the climate, nature and animals.

“We can all work together constructively to ensure that German agriculture is fit for the future,” Özdemir said on Thursday.

In a Bundestag session, the governing SPD (S&D), the Greens and the liberal FDP (Renew) put forward possible proposals to ease the bureaucratic burden on farmers and give them financial planning security.

But judging by Rukwied’s comments, this is unlikely to prevent further protests, as he clarified that fuel subsidies for farmers remain the key issue.

The German Farmers’ Association has already announced that it will make a final decision on how to proceed on Friday, with a press conference scheduled in the afternoon.

(Edited by Oliver Noyan/Angelo Di Mambro/Daniel Eck)

New wave of farmer protests loom as German government refuses to budge | INFBusiness.com

Von der Leyen will start strategic dialogue with food sector on 25 January

Thirty European food chain organisations covering the entire chain have received an official invitation for a strategic dialogue with European Commission President Ursula von der Leyen on 25 January, industry sources told Euractiv.

(Kjeld Neubert | Euractiv.com)

Read more with Euractiv

New wave of farmer protests loom as German government refuses to budge | INFBusiness.com

Von der Leyen will start strategic dialogue with food sector on 25 JanuaryThirty European food chain organisations covering the entire chain have received an official invitation for a strategic dialogue with European Commission President Ursula von der Leyen on 25 January, industry sources told Euractiv.

Source: euractiv.com

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