France says EU budget plan unacceptable due farm limits

PARIS Thu Nov 15, 2012 7:42am GMT

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PARIS (Reuters) - French Prime Minister Jean-Marc Ayrault on Thursday rejected a draft budget proposed by European Union chief Herman Van Rompany, saying the limits it proposes on farm subsidies were unacceptable.

"This proposal in no way constitutes a basis for negotiation that is acceptable for France in terms of ceilings on spending proposed for the common agricultural policy," Ayrault said in a statement.

Ayrault said France was ready to seek an agreement at next week's talks on the seven-year budget, which Britain, pushing for spending cuts, has already threatened to veto.

(Reporting By Catherine Bremer; editing by Daniel Flynn)