EU pressed in Spanish olive protests

Farmers dump olives on the steps of the agriculture ministry in Madrid

Thousands of olive farmers are demonstrating in Spain in protest against European Union plans to impose quotas on one of the country's biggest industries.

The demonstrators massed in Madrid and marched to the steps of the country's agriculture ministry where they dumped thousands of olives.

The protest, the second this year, has been timed to coincide with EU moves to formally agree the new quotas for olive production.

Many olive farmers in Spain, who produce the most olive oil in the world, believe they are being unfairly treated by the EU.

But the EU's Agriculture Commissioner, Franz Fischler, says the quota changes are vital to regulate production across the continent.

Up to 30,000 are believed to have protested

If the proposed changes are accepted by European agricultural ministers and the European Parliament, a ceiling of about 625,000 tonnes a year will be imposed on Spanish olive production - 150,000 tonnes less than the country's current average.

The quota rules could lead to penalties for over-production, reduced agricultural subsidies and, according to the protesters, thousands of job losses.

The protesters, led by agriculture unions, demanded a 900,000 tonne quota - about 50 per cent of total European Union production.

Fischler: under fire for planned quotas

Jose Manuel de las Heras, leader of the COAG union, told the rally: "We will continue (demonstrating) until we get the 50 per cent.

"It does not make sense at all for us to accept a distribution of quotas.

"Spanish territory has been unjustly discriminated against. We cannot agree to be granted a single kilo less than what our real production is, if we are abiding by what has been allocated to other countries."

Government and opposition party leaders joined the rally which was dominated by olive farm workers from the southern Andalucia region.

The Agriculture Minister, Loyola de Palacios, criticised by opposition political parties for her failure to win concessions, said: "The only thing I wanted to do - and I did it - was to show solidarity with the olive farmers as just another Spanish person."

De Palacios insisted that there would be months of tough negotiations before a consensus is reached on quotas.

The Spanish olive groves stretch across more than five million acres and are worth some 235 billion pesetas (£950m) a year.

The growers receive more than 100 billion pesetas (£358m) in annual EU subsidies.