At summit, Estonia to try boosting agricultural aid growth

Photo: SCANPIX

At the two-day EU 2014-2020 budget talks kicked off in Brussels today, Estonia has hopes of a better deal than initially proposed by Commission. A question mark, however, hovers over Rail Baltica.

This afternoon, as the EU leaders gather to discuss the budget and facing cuts to the tune of €30bn, heated arguments are expected. According to November’s proposal, Estonia’s share of the next EU budget would be €5.88bn. 

Estonia is among the few member states with net position – the balance of support received from and payments made to EU budget – improved since initial offer by European Commission. In most cases, it has worsened. At the same time, the overall budget volume has, as compared to the original plan, been cut by €80bn already.

From a position like this, it is difficult for Estonia to gain yet another increase of direct agricultural aid, the more so that every euro added would have to be extracted from another «file».

According to Juhan Lepassaar, director for EU affairs at State Chancellery, the current agricultural aid offer to Estonia is such as would provide for 75 per cent of EU average support for Estonian producers by 2020. «At the moment it is our priority to speed up that tempo, the starting level of 2014 now offered is not sufficient, in our estimation.»

Support for rural development – also of interest to the farmers – has, however, been cut by 9 per cent since from the original proposal. «All states are supposed to invest into that cut,» admitted Mr Lepassaar.

From previous talks, Estonia can boast with €350m of additional Cohesion Fund money. However, the future of the Rail Baltica railway project is in the balance.

According to Mr Lepassaar, all member states will be giving it their best to reach a deal in Brussels, this time around.