I - 13 : Crete - One Sheep per Olympic Pool

Can't believe it - am getting to the end of my long list of blog topics before setting sail on the 19th of July. In two weeks time we will be off the island of Rhodes.

Greek Sheep in the Mountains on the Albanian Border - similar Landscape as in Crete

More than a decade passed since the sovereign debt crisis rattled Europe in 2011/12. It did a lot of damage to Europe’s credit and its banking system. Greece, Spain and Portugal and their banks had to be bailed out – Italy was close. Were it not for Mario Draghi’s, then ECB President (European Central Bank), that he will do “whatever it takes” to preserve the Euro, we might have seen its end. Since then, calm returned to financial markets. In 2023, Greece, the country with a debt to GDP ratio of over 200% in 2011, was upgraded by S&P, a rating agency, to BBB. Its debt is investment grade again, but still stands at 153%. All good then?

Mario Draghi rescueing the EURO in July 2012 - the Picture is from the Financial Times

Not embarking on a lecture in economic policy in my blog. Rather share an anecdote which is telling. Learnt this March that the European Public Prosecutor Office (EPPO) indicted 100 livestock breeders, mainly from Crete, for massive subsidy fraud. A press release indicated “an overall damage of EUR 2.9 billion to the EU budget.”  

Sheep grazing in the Limestone Mountains of Central Crete

To provide a bit of context: Over the last few years, the island of Crete has become home to about 45% of Greece’s livestock even though its landmass accounts for only 8% of total. Also, the number of sheep on the island increased from 2.2 million to 7.8 million during the last four years. In Crete’s mountains, 1 acre of pasture supports two sheep. 7.8 million sheep divided by 2 acres equals 3.4 million acres of pasture or 13’765 square kilometers. The size of Crete is 8’450 km2. Amazing arithmetic.

Sheep also need food during the Winter - there is a Lot of Snow in Crete in Wintertime

Of course, the EU does not dole out subsidies without inspections. But Greek authorities colluded with the breeders and warned them ahead of the visits. Trucks were arranged for “intra-day sheep lending” to always have the correct number of sheep on a given pasture before the inspectors arrived. The controllers from Brussels underestimated the ingenuity of the shepherds. “Intra-day sheep lending” was not on their check list.

It reminds me of my years as fire fighter in Eggenwil, my home town. Once a year there was a surprise drill, followed by closing dinner at the local Inn. We "bribed" - of course - the chef to tell us the date as soon as the booking was confirmed. To the officals' surprise, our fire brigade mobilised within 12 minutes of alarm. We waited at home fully kitted out. Do not know whether the Cantonal Fire Inspectors ever found the cause of our stellar performance.

Waiting for my Brother whilst my Mom cheered from the Balcony

Back to Crete - we will have the pleasure to meet plenty of sheep this summer - one every 900 square meters. There must be sheep in every public place, at least one per Olympic size pool and dozens on every beach and high way. Have to instruct our captain to buy lots of apples this July. Sheep love apples as we know from my place in France. They are addicted to them like humans to chocolate. Or shall we buy "phantom apples" instead?

The Sheep in Chantrou love the Apples we feed them - within Minutes they are gone

Would the scandal have become public had the livestock breeders been more modest? If the number of sheep had increased to – let’s say – 3 million only? Possibly not. The windfall profit from these unwarranted subsidies could have continued for decades. Greed killed the scheme, not controls.  Wonder how many other schemes like this run in Greece. Given the debt / GDP I would not be surprised if there were quite a few.

  Am sure the local Shepherds got none of the fraudulent Money