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.