The Finnish government hopes that Finnish farmers will continue to grow sugar beets in spite of Wednesday's decision by the European Union ministers of agriculture to reduce sugar production in the EU. Speaking during Parliamentary question time on Thursday, Minister of Agriculture and Forestry Sirkka-Liisa Anttila and Prime Minister Matti Vanhanen said that they do not believe that the decision will end sugar production in Finland, if farmers continue to grow sugar beets, and secure the supply of raw material to the Säkylä sugar factory. Prime Minister Vanhanen denounced the decision as unfair. Agriculture Minister Anttila said that the government plans to raise domestic subsidies for sugar beet production to the maximum 350 euros per hectare. Agriculture Minister Anttila said that the government plans to raise domestic subsidies for sugar beet production to the maximum 350 euros per hectare. The decision, put forward by the European Commission, and endorsed by the ministers of agriculture, calls for a reduction of sugar production quotas. The aim is to persuade farmers to voluntarily give up sugar production. Finland had hoped that the 38 percent cut in the sugar quota last year, and the closing of the Salo sugar factory would have been enough. The large sugar producers in the EU have not cut back on their sugar production. Antiila noted that after the decision, Finland still has the right to produce 80,000 tonnes of sugar a year, which is more than the Säkylä plant refines today. She therefore believes that Finland will be able to continue to produce sugar, if farmers here continue to grow sugar beets and secure the supply of raw material to the remaining factory. Danisco: Factory Future Depends on Raw Material Supply The Danish sugar manufacturer Danisco said after the EU decision on Wednesday that the future of its sugar factory in Säkylä will depend on the supply and price of Finnish sugar beets. The company said on Thursday that it is buying additional quotas for sugar beet farming in Denmark and Sweden, but not Finland. YLE
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