France offers 75 million euros for disease-hit sheep farms

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PARIS (Reuters) – France will provide 75 million euros ($83 million) in aid for sheep farms hit by a fast-spreading virus, Prime Minister Michel Barnier said on Friday in a show of support for struggling farmers despite a budget crisis facing the new government.

Livestock disease outbreaks as well poor harvests and plans by dairy giant Lactalis to cut milk purchases have rekindled discontent among French farmers who staged large-scale protests earlier this year.

The funds for sheep farms affected by a new variant of the bluetongue virus, which is spread by insects and can be deadly for sheep, cattle and goats, are in addition to a free vaccination programme that the government has extended to the whole of the country for sheep flocks.

Speaking at a livestock fair in central France, Barnier also said the government would put in place state-guaranteed loans to provide short-term relief for worst-off farms.

Barnier nonetheless reiterated that his administration was bound by a budget squeeze as it aims to find 40 billion euros in savings.

In a nod to recent heavy rain and farmer resentment at environmental regulation, he announced a seasonal cut-off date for spreading livestock manure on farmland would be extended from Oct. 1 to Nov. 15.

The government will relaunch in January parliamentary debate on a farming bill, Barnier added, after the legislation drafted in response to this year’s protests was delayed by the snap election that led to the formation of Barnier’s minority government.

($1 = 0.9067 euros)