"It would be unacceptable to Hungary if the sum available for agricultural funding within the European Union's next seven-year Multiannual Financial Framework were to decrease", Parliamentary State Secretary of the Ministry of Rural Development told Hungarian news agency MTI on Tuesday in Berlin.

Assessing the talks he has been holding in the German Capital. the State Secretary emphasised that the German and Hungarian standpoints on the Common Agricultural Policy "are in agreement in almost all areas". However, Germany is insisting that the total expenditure of the Multiannual Financial Framework (MFF) be determined at 1 percent of the EU's gross domestic product (GDP), which would lead to a decrease in agricultural funding, and this is something that Hungary rejects.

Agriculture is a strategic issue for Hungary, and so it is making a stand for the preservation of current agricultural funding levels. The reduction of agricultural funding in favour of cohesion funding is also an unacceptable solution, because agricultural support is "transparent and traceable, and the funding process is constantly supervised and monitored, none of which can be said for the cohesions funds", explained Gyula Budai.

As a member of the group of countries who joined the European Union in 2004, Hungary will reach the 100 percent level of agricultural funding in 2013, but even this level is far lower than the funding received by the so-called old member states. Accordingly, is agricultural funding was to decrease even further compared to the current level, it would lead to a situation that might threaten to split the EU in two, he stressed. The old member states would acquire an unassailable advantage, but a reduction in funding wouldn't only be disadvantageous for the new member states, but would also weaken the EU's position in the competition it faces against large economic powerhouses such as China and Brazil, he explained.

The strategic significance of agriculture is clearly shown by the fact that the sector contributed 2.7 billion euros to the export-import balance surplus last year, the State Secretary added.

German-Hungarian relations are extremely strong within the field of agriculture, Gyula Budai highlighted, citing as an example the fact that this is the third time that he has conducted bilateral talks with the Parliamentary State Secretary of the German Ministry of Food, Agriculture and Consumer Protection Peter Bleser since he began work as State Secretary in March. He has also held discussions with the Ministry's State Secretary for Food and Consumer Protection Gerd Müller, and with Hans-Michael Goldmann, Chairman of the Budestag's Food, Agriculture and Consumer Protection Committee and with the body's other members.

During ministerial and parliamentary talks, the German partners expressed their recognition of Hungary's successful efforts to decrease its budget deficit and national debt, and indicated that "they often find it difficult to understand the attacks on Hungary by Brussels", said Gyula Budai, adding that his partners in discussion included MPs from the left-wing, opposition Die Linke parliamentary group.

(MTI, Press Office of the Ministry of Rural Development)