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Agreement has been reached between the Farmers’ Union and the Government on farm subsidies for 2010. The farmers have accepted an offer of an extra NOK 11.500 pr year.

The total grant amounts to NOK 950 million, NOK 910 million less than the farmers had demanded.

The agreement will mean higher consumer prices on milk, meat and a few other farm products. Milk will cost NOK 0.13 more per litre, NRK reports.

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