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MATESA: TALKS ON FARMERS' DEMANDS SHOULD CONTINUE

ZAGREB, June 28 (Hina) - Talks with representatives of the Croatian Farmers' Association (HSS) were useful and sincere and they will certainly continue, Prime Minister Zlatko Matesa said on Monday, following a meeting with HSS representatives. Presenting the Government's stand, Matesa said the protests organised by the HSS were illegal. Setting up road blocks is a violation of a series of legal regulations, Matesa said, adding the protests had caused serious problems in the functioning of the state. The protests are a serious blow to Croatia's tourism, which the Government is trying to salvage from the situation caused by the NATO operation in Yugoslavia, Matesa said. The Government will not forcibly prevent the protests, Matesa said, but added he hoped the organisers of the rallies would realise that they could achieve more at the negotiating table at the Agriculture Ministry. According to Matesa, the HSS's dem
ZAGREB, June 28 (Hina) - Talks with representatives of the Croatian Farmers' Association (HSS) were useful and sincere and they will certainly continue, Prime Minister Zlatko Matesa said on Monday, following a meeting with HSS representatives. Presenting the Government's stand, Matesa said the protests organised by the HSS were illegal. Setting up road blocks is a violation of a series of legal regulations, Matesa said, adding the protests had caused serious problems in the functioning of the state. The protests are a serious blow to Croatia's tourism, which the Government is trying to salvage from the situation caused by the NATO operation in Yugoslavia, Matesa said. The Government will not forcibly prevent the protests, Matesa said, but added he hoped the organisers of the rallies would realise that they could achieve more at the negotiating table at the Agriculture Ministry. According to Matesa, the HSS's demand that a ban be imposed on the import of agricultural products of which sufficient amounts are produced in Croatia is absurd and contrary to the country's pro- European orientation, especially since the talks on Croatia's admission to the World Trade Organisation are in their final stage. The Government has already reduced imports to protect domestic production, he said. Speaking about the state's debts to the farmers, Matesa said the state had fulfilled most of its obligations towards the farmers. Mediators in talks between the Government and the producers are responsible for possible problems and the Government will investigate why the farmers have not received their money, he added. As regards the farmers' demand that the price of wheat be increased, the Prime Minister said there was no reason why the price of wheat should be increased, given that conditions of its production had not changed. However, the Government is willing to mediate, so that the milling and baking industry could buy the wheat offered on the market according to market prices, Matesa said, adding an adequate programme was being devised by the Agriculture Ministry. He reminded that direct subsidies into agriculture during his mandate as premier had increased two and a half times. Matesa also addressed the problem of the sugar refinery in Virovitica. The Dutch owner of the factory, COSUN, is obligated to pay for the sugar beet the farmers had sold to the factory, and of which sugar was produced and sold, he said. The behaviour of the Dutch company is absolutely intolerable, Matesa said announcing that the Government would take certain measures to protect the farmers. (hina) jn rml

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