After 2008 which saw a 34% drop in the average income of farmers specialising in grain and oil and protein seed crops, there will now be a 51% drop for 2009 according to data released today by the Ministry of Agriculture.

For an average farm size in this sector, i.e. 115 hectares, income, in absolute terms, will be just over 15 000 euros before deductions for income tax and social charges to be paid by the farmer.  In many situations, in particular in areas in the south of France where harvests have been poor, the results will be even worse according to initial figures being seen in the accounting review centres.
 
Because of this and with the prospect of the slump on markets continuing as stock levels are high, grain and oil and protein seed producers have been even more critical of the levy of €60 to €100 per hectare on their direct payments announced by the Government and to be introduced in 2010 under the CAP Health Check.
 
Unless there is a substantial change to the situation, it will be impossible to pay this levy.  The public authorities must now acknowledge the serious mistake they made earlier in the year when they decided on the levy on the grounds that grain and oil and protein seed prices would remain high in the long term.  They must now rectify the mistake, starting by establishing the special monitoring committee promised last March by the President of the French Republic if and when the situation required it.

Contact : Pascal HURBAULT - 01 44 31 16 25 / 06 72 42 06 36