Denmark proposes final concessions to EU candidates

Denmark, the country which currently holds the rotating EU presidency, has taken a bold step to try and bring accession talks with the 10 candidate countries to a successful conclusion in time for the December 12th Copenhagen summit. Despite opposition from other EU members, Denmark has urged the union to make a series of concessions which would improve cash flow in the newcomer countries, remove the last stumbling blocks in accession talks and allow the Copenhagen summit to wrap up entry talks.

Denmark's offer, sent to the 14 other European Union member governments for scrutiny, is chiefly aimed at pleasing key rural electorates in candidate countries and easing their cash flow problems after entry. The proposal is for the newcomers to pay about 2.5 billion euros less than expected into the EU budget in the first year, to get about two billion euros more out and be allowed to spend more of their own money on boosting farmers' incomes. The plan would effectively halve the candidates' contributions to the EU budget in 2004 and would allow farmers in newcomer states to attain 40% of the level of income support in current EU countries. Other elements of the improved financial package include higher farm production quotas and more funds to modernize borders and improve food safety.

Candidate countries, who fear a cash crunch in the first couple of years after accession, have welcomed the offer as an improvement on previous proposals.

The Czech Republic's chief EU negotiator Pavel Telicka told reporters it was a move in the right direction, which could lead to a final agreement. Mr. Telicka pointed out that while the candidate countries were naturally determined to defend their national interests they were now under pressure of time to clinch a deal. "I cannot realistically imagine any government walking out from Copenhagen without an agreement" he said. The candidate countries have until next Monday to submit their official responses. However whether or not this proposal will help to wrap up accession talks does not depend solely on them. Denmark still needs to persuade the current EU members that these last minute concessions are a good idea.