Common agricultural policy CAP, reform: rice, common organisation of the market CMO

The committee adopted the report by Carlos BAUTISTA OJEDA (Greens/EFA, E) amending the proposal under the consultation procedure. Although it backed the Commission's decision to cut the intervention price for rice, to bring European prices down to world levels, the committee argued that the proposed cut of 50% should be fully compensated by direct aid to farmers of EUR 200 per tonne (as opposed to the partial compensation of EUR 177 per tonne proposed by the Commission). MEPs also opposed the proposal to set up a private storage system for surpluses whenever the market price for rice falls below the basic intervention price. In the case of paddy rice the committee wanted to delete the proposal for a special aid measure when the average market price for this product falls below EUR 120 per tonne for two consecutive weeks. Instead the committee wanted the intervention price for paddy rice to be EUR 150 per tonne from 2004/2005, to make it more competitive. �