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Euro Parliament pledges a billion in food aid

08-Dec-2008

Related topics: Financial & Industry

The European Parliament has voted in favour of a proposal to deliver €1bn in food aid to developing countries, but the funding will not come from CAP surplus as originally envisaged.

The money will be used to help farmers cope better with rising food prices; it will be spent on fertiliser and seeds, as well as direct food aid.

 

However the original plan to tap unspent cash provided under the Common Agricultural Policy fell by the wayside, as some Member States thought it inappropriate to divert the funds at such a time of financial crisis.

 

Instead, €760 m is provided from the Emergency Aid Reserve, and €240m from EU coffers that was not already designated for other use.

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