FOLLOWING THE EUROPEAN UNION

EU ministers uphold sovereign right to ban GMOs

By Jeremy Smith

LUXEMBOURG (Reuters) - EU environment ministers dealt a blow on Friday to efforts to get more GMO crops grown in Europe as they agreed to uphold eight national bans on genetically modified maize and rapeseed types.

The vote was a sharp rebuff for the European Union's executive Commission, which had wanted the ministers to endorse an order to lift the bans within 20 days. EU law provides for national GMO bans if the government can justify the prohibition.

It also played into the hands of the United States, Canada and Argentina, whose suit against the European Union at the World Trade Organization alleges that EU biotech policy harms trade and is not founded on science.

The EU's 1998-2004 biotech ban, they say, was illegal.

The WTO is now expected to issue its initial ruling on the GMO case in early October, postponed from August, officials say.

"A very large majority, 22 member states, rejected proposals to lift these national bans. We were able to give a clear message to the European Commission," Luxembourg Environment Minister Lucien Lux told a news conference.

It was the EU's first agreement on GMO policy since 1998, when the bloc began its unofficial moratorium on approving new GMO foods and crops -- lifted last year by a legal default.

Between 1997 and 2000, Austria, France, Germany, Greece and Luxembourg banned specific GMOs on their territory, focusing on three maize and two rapeseed types approved shortly before the start of the EU moratorium.

For the Commission, the votes were a setback, especially in its WTO defense, but it was still "business as usual."

The EU executive now has several options, including returning to the ministers with the same proposals for lifting the bans, though at a later date, or changing them radically.

"The EU is under considerable pressure at the WTO, and not only due to the lack of action (on national GMO bans) in previous years. And further delays would weaken our position at the WTO," EU Environment Commissioner Stavros Dimas said.

"This does not call our regulatory framework into question...(which) is the strictest in the world. We are going to apply the existing framework and we are obliged to do so."

Ironically, on the same day that the EU's Official Journal issued an authorization for a GMO rapeseed, made by Monsanto, it was forced to revoke it due to a bureaucratic error.

The authorization, for GT73 rapeseed made by U.S. biotech giant Monsanto, will probably be issued in a few weeks.

GREENS ECSTATIC, INDUSTRY ANGRY

Spain was the only country to uphold all eight bans, despite the fact that its farmers grow one of the maize types, the Bt-176 strain made by Swiss biotech giant Syngenta .

Spain is one of the few countries that grows GMO crops extensively in Europe, where much of the public view them as "Frankenstein" foods despite industry assurances they are safe.

Green groups were ecstatic that the EU had finally agreed to slap down not just one of the national bans, but all eight.

"The European Commission asked for more guidance from the member states and they got it," said Adrian Bebb, GMO campaigner at environmental lobby group Friends of the Earth Europe.

"Countries today have demanded the sovereign right to ban genetically modified crops if there are questions over their safety," he said in a statement.

Apart from the Bt-176 strain, the other maize types were MON 810, made by Monsanto, and Bayer's T25 maize. There are also two rapeseed types, both made by Bayer.

But Europe's biotech industry was incensed by the decisions. "Today's vote is another failure of member states to play by the rules that they themselves established. The EU's approval process for safe GMOs is arguably the strictest in the world and these bans are not scientifically justifiable," said Simon Barber at European biotech industry association EuropaBio.

GMO DEADLOCK ELSEWHERE

Even though the EU has now lifted its six-year unofficial moratorium on approving new GMO products, national governments have consistently clashed over biotech policy.

The EU's member states have now ended meetings in deadlock 14 times in a row on whether to approve new GMO products, usually for use in industrial processing or as animal feed.

The latest occasion was also on Wednesday, when the ministers failed to agree on authorizing another Monsanto maize known as MON 863, modified to resist the corn rootworm insect.

The Commission will now take up the dossier and most likely issue a rubberstamp authorization in the next few months, officials say. This process kicks in when EU ministers fail to agree after three months on whether to authorize a GMO or not.

Monsanto's requested use was for processing into animal feed, not for growing or for consumption as human food.


Reuters

Polish president suggests pan-European poll on EU

Sat Jun 25, 2005

BERLIN (Reuters) - Polish President Aleksander Kwasniewski suggested on Saturday a pan-European referendum on the aims and goals of the European Union as a way out of the bloc's current crisis.
Kwasniewski made his proposal in a column for the top-selling German daily Bild following this month's EU summit failure to agree a budget and after rejections by France and the Netherlands of the EU constitution in referendums.

The Polish president said Europe needed to debate the core functions of the EU as well as closer cooperation, particularly in foreign and security policy.

"Perhaps in the future we should organize a pan-European referendum in which our citizens have the chance to express their plans and dreams for Europe?" he wrote, without elaborating on what precise questions would be put to voters.

A Franco-British dispute over farm subsidies and London's budget rebate at the EU summit last week scuppered a blueprint for the bloc's next budget.

Poland, by far the biggest newcomer, expressed support for Britain's reform drive but also concern that the Franco-British argument could produce a prolonged deadlock.

In a plea for greater harmonization and "European thinking," Kwasniewski said Europe needed a budget that demonstrated a mature compromise, and that it must continue with its "open-door" policy, which had proved successful.

"We must not fear the consequences of expansion and cheap labor from new member states ... The economies of the 15 (old member states) have gained new labor markets, new and secure chances for investment, and seen more dynamic trade."

Since France and the Netherlands rejected the EU constitution, many politicians have urged that the bloc's expansion process be put on ice.

Kwasniewski said closing the door to new members would be short-sighted.

"What would we say to our neighbors in Ukraine, the Balkans and Turkey? How would we persuade them to move toward democracy and free markets?" he asked.

On Thursday Chancellor Gerhard Schroeder wrote in a column for the same paper that the EU faced a choice between two visions -- one seeking to reduce the bloc to a trade zone and another that favored a politically active Europe.


Blair wrote a column in Bild on Friday in which he rebuffed accusations that Britain wanted the EU to become a large market.

Schroeder and other European leaders have blamed Blair for the failure of last week's EU summit on the budget.

"It is clear to us that the European project needs a certain revision process, change and dynamic in order to be attractive and competitive," Kwasniewski wrote.

"The bitter experience of the last weeks shows that Europe needs mobilization and not protest."

© Reuters 2005. All Rights Reserved.

Tomorrow: elections in Bulgaria.

Looks like the Prime Minister who used to be King (really) will be voted out; and the results will instead make it very hard to form a new coalition, with no two combination of parties gaining a majority and no obvious three-party combinations with a majority in sight.

27 June 2005 | 08:43 | FOCUS News Agency

Sofia. Bulgarian Socialist Party (BSP) has won the Parliamentary election held on Saturday- June 25. However BSP hasn't succeeded in gaining an absolute majority in order to be able to form a Government on its own, Washington Times reads today. BBC reports that the Socialists, whose election campaign was grounded on the promise for a betterment of the living standard, will need the support of the currently governing liberal party and the political party that comes third according to the election results, namely that of the ethnic Turks, in order to form a Government.

It seems that in the coming weeks there will be political bargaining in Bulgaria now that the oppositional Bulgarian Socialist Party (BSP) has won the Parliamentary election held on Saturday- June 25, Financial Times reads. However BSP hasn't succeeded in gaining an absolute majority so it needs a political partner.

27 June 2005 | 08:58 | FOCUS News Agency

Sofia. "Coalition for Bulgaria intends to approach the Constitutional Court because of the allocation by d'Hondt method", Deputy Chairperson of Coalition for Bulgaria Roumen Ovcharov has said for BTV. In his words the allocation of the mandates by this system substitutes the vote. For an example Ovcharov has pointed out that 23rd constituency in Sofia, where Coalition for Bulgaria wins five mandates, according to d'Hondt 's allocation wins one. Coalition for Bulgaria's Deputy Chairperson adds that in this way not only the Coalition loses its potential but also there is a substitution of the vote of the Bulgarian citizens. So, the Coalition will check both the d'Hondt method and the possibilities for approaching the Constitutional Court.

Bulgaria's Election Winners to Launch Consultative Talks

Elections 2005: 27 June 2005, Monday.

Consultative talks on the formation of next government will be initiated by the vote winners Bulgarian Socialist Party on Monday, the party leader Sergey Stanishev said.

On election night, he stated that BSP will be open for coalition to form a cabinet with all "democratically represented political forces in the parliament."

Stanishev is expected to invite the second runner up Simeon II National Movement and the third power in the elections ethnic Movement for Rights and Freedoms (MRF).

'Bavarian pit bull' aims to be German foreign minister
By Tony Paterson in Berlin
27 June 2005


Edmund Stoiber, the right-wing Eurosceptic Bavarian leader, is in line to become the next German foreign minister if, as expected, the conservatives win this autumn's general election, in a move that would transform Berlin's policies on Europe.

Party sources revealed that the 63-year-old intends to give up his job as Bavarian prime minister after the September election. Mr Stoiber is a fierce opponent of Turkey's accession to the European Union.

Germany's Bild am Sonntag newspaper said he had given a "personal undertaking" to Angela Merkel, the conservative leader, that he would serve in her government if she defeats the Chancellor, Gerhard Schröder. Opinion polls predict that Mrs Merkel's Christian Democrats are on course to win an absolute majority in the election.

For Mr Stoiber, who was narrowly defeated when he stood for chancellor in the 2002 general election, the post of foreign minister would mark a significant comeback. Nicknamed the "Bavarian pit bull", Mr Stoiber is well known for his tough anti-immigration stance, his opposition to European enlargement and above all as the driving force behind conservative attempts to block Turkey's membership of the EU.

In stark contrast to Germany's pro-European political mainstream, Mr Stoiber opposed the introduction of the euro and called for a national referendum on European enlargement. He was also one of the few German politicians to demand that the abortive European constitution be subject to a national referendum.

Mr Stoiber is not a Christian Democrat. He is leader of its smaller Bavarian sister, the right-wing Christian Social Union, a party often viewed with suspicion by CDU members because of its male-dominated, traditional Catholic roots.

As foreign minister he would reverse many of the EU policies espoused by Mr Schröder's coalition of Social Democrats and Greens and put Germany on a far more nationalist course likely to conflict, in particular, with Britain during the second half of its EU presidency.

Turkey could become a major source of friction between the two countries. Tony Blair, who will back American attempts to give Turkey full EU membership during Britain's presidency, is certain to run into stiff opposition to the idea from Germany's conservatives. In her first major interview since she became the conservative candidate for chancellor, Mrs Merkel insisted last week that the EU had reached the "limits of its ability to integrate" as a consequence of its enlargement policies.

However, she added in a reference to Turkey: "We will have to abide by our agreements regarding Romania, Bulgaria and Croatia, but then we will have reached a point where we have to draw the line."

Mr Stoiber has in the past made it clear that he objects to the federalist polices on Europe adopted by Joschka Fischer, Germany's current Foreign Minister, who is a member of the Green Party. "On the economic front, Mr Stoiber is far more interested in a free market, competitive Europe that corresponds more with the British model," said an analyst at Germany's German-French institute.

Mr Stoiber's support for free-market economics in Europe might bring him closer to Britain and its demands for fundamental changes in European policy making.

However, it is doubtful whether he would accept British demands for a radical restructuring of the Common Agricultural Policy that were set out by Mr Blair last week.

A powerful farmers' lobby in Bavaria has persuaded the rank-and-file of Mr Stoiber's Christian Social Union that any unravelling of EU farm subsidy policy should be opposed.

Many Britons Opting for Life in France

By ANGELA DOLAND, Associated Press Writer
Mon Jun 27, 2:55 AM ET

In this lush corner of France called the Dordogne, proud land of foie gras and truffles, the local cafe is owned by a Briton named Simon. The computer repair guy is a compatriot named Tony. And the English grocer, Kevin, stocks marmalade and Tetley tea.

So many Britons have moved to this southwestern region of vineyards and medieval villages that some people have nicknamed it "Dordogneshire." About 500 to 600 of Eymet's 2,600 permanent residents are Britons in search of the good life a la francaise ?- sunshine, excellent schools and health care, and a slower, gentler way of living.

As France and Britain butt heads over which of their social systems is the right one for Europe, it's places like Dordogne that illustrate just how much France might have to lose by adopting a model based on fierce competition.

British Prime Minister Tony Blair, who assumes the European Union presidency next month, has been advocating free-market reforms for the continent with near evangelical fervor. But the Britons here say the quality of life in France is vastly superior to the one back home.

"Too much hustle and bustle in Britain," said grocer Kevin Walls, who dropped his chef's job in Surrey to move here. "I don't want that life anymore."

The French model emphasizes time-honored social protections, like a minimum five weeks of paid vacation and reliable state-run health care. Quality of life is sacrosanct. But the economy is sluggish and the unemployment rate is 10.2 percent.

Britain has fewer safety nets, but there are fewer people out of work. The jobless rate in Britain is just 4.7 percent.

But if more Britons are working, Britons also work more, according to the Paris-based Organization for Economic Cooperation and Development. The OECD's figures for 2003 show Britons worked an average of 1,673 hours, while the French worked 1,431 ?- 30 days less based on an eight-hour day.

The debate over the two models was at the heart of a bitter confrontation between Blair and French President Jacques Chirac at last week's EU summit.

The two leaders fought over Blair's demand to cut enormous agriculture subsidies, which mainly benefit French farmers, and France's opposition to an expensive British budgetary rebate. But the bottom line was opposing visions for a growing European Union.

Chirac's strong defense of the French system makes it easy to forget that his center-right government is already paring down France's costly social programs.

The government overhauled the pension system in 2003, forcing people to put in more years on the job to qualify for full benefits. In March, parliament watered down the law that created France's 35-hour work. Both measures caused huge strikes and protests.

France isn't alone in struggling to find a balance between quality of life and competitiveness. The Dutch social security system, for decades one of the world's most generous, is overhauling programs from education grants to health care.

Even Sweden, renowned for generous policies like granting new parents 480 days of leave from work per couple, is taking nips and tucks.

Medical visits, while still subsidized, are no longer free, and there is general debate about whether the cradle-to-grave system can be sustained. Italy is one health care holdout, with no significant changes to the system since 1976.

Despite a $13.9 billion deficit in France's health system, the country offers high-quality, inexpensive care to all, including the unemployed and homeless. That's part of the French model, as are the rigorous public schools that guarantee the same education for all children, rich and poor.

Then there's the tradition of August vacations ?- a chance for families to spend more time together, no matter their social standing.

For the British in Dordogne, the attractions of the French social system are entwined with the pleasant intangibles of life in rural France: neighborliness, safety and quality of life. There's no rat race here.

Simon Colebourn, who owns a local cybercafe and has two grade-school-age children, was laid off from his public relations job in Britain. Fans of France, he and his wife made the jump two years ago.

He says there's a solidarity in the French countryside that has disappeared in Britain.

"We came here for the quieter way of life, which you could have in England 40 or 50 years ago, when I was growing up," said Colebourn, 51, sipping a glass of white wine.

Tony Martin, Eymet's computer seller, closed his business in England's northern city of Leeds and moved his family here, including his three children and three grandchildren.

The 60-year-old loves the safe streets and good schools. A business owner, he doesn't mind paying into the system, though he wishes the French government would cut some of the taxes and red tape that make setting up a small business difficult here.

"There's no question that there are a lot more things right in France than wrong," Martin said.

Nobody moves to Dordogne to strike it rich. In fact, young French people often move to Britain, where salaries are higher, to make more money. But Martin's dream is to earn enough to retire in a house with more land, deeper in the countryside.

It's a French dream ?- and increasingly, a British one.

"Oh yes," Martin said. "I'm here for life."

Dont tell any of my fellow citizens I said this (cause they'll kill me) ...but I think the answer to the ageing population, said to make our social system unaffordable once the baby boomers hit retirement age, could/will be renewed immigration rather than dismantling said system.

Interestingly, the Brits dont see any difference between Turkey or the Ukraine - they don't want either of 'em in the EU - by almost exactly the same margins. Romania scores barely better. Least of all, they want Albania or Serbia in the EU; those countries actually score significantly worse than Turkey.