By Tamsin Smith BBC News reporter in Gdansk, Poland

Sugar beet, or is it a 'cash carrot'?

There is no denying the Poles have a sweet tooth.

In the medieval port town of Gdansk there are tempting bakeries filled with traditional delicacies.

Poland's farmers are also rather keen on sugar.

There are over 100,000 producers here making the country the biggest sugar producer of the new European Union member states.

Reform

Since joining the EU, the supported prices Polish farmers look set to receive will make their lives much sweeter.

Farmer Szpura: "It's the first year for us getting EU subsidies and we need this money."

The World Trade Organisation (WTO) has just ruled that the EU is flouting global trade rules by spending 1.7bn euros ($2.09; �1.16) a year to prop up sugar prices.

Five million tonnes of European sugar are dumped on world markets every year.

The EU has promised to reform its sugar regime, but there are concerns that the support for Polish sugar farmers add to the problem.

Double profits

Wieslaw Szpura's farm is in the sleepy village of Stare Pole outside Gdansk.

Sugar plant manager Konaski: "We won't and can't produce more because of EU membership."

The sheds in the yard are full of modern machinery for harvesting and muck spreading.

Wheat, maize and peas all grow on his land. But the biggest crop by far is sugar beet.

"Since joining the EU, sugar beet is definitely most profitable crop to grow," says Mr Szpura, holding up a fine example just plucked from the soil.

"I'll get 80% more money than last year growing these and production costs haven't changed as much, so this year I'll double my profits."

Quota system

It appears at first glance there is a strong incentive for farmers like Mr Szpura to grow more, and for others to turn their hand to sugar beet as well.

But its not that simple.

"There will be increased interest amongst farmers to produce sugar beet," says Jerzy Plewa who negotiated Poland's EU farm deal.

"However, you must remember there is a quota system so there's no justification for farmers to increase production over the quota as they will get nothing for this."

Sugar in the tea

It is not just the sugar farmers who are straitjacketed by quotas. Malbourk sugar plant is gearing up for this years sugar beet harvest.

The quota system restrict how many farmers can produce sugar beet

There is little sign of modernisation here. The tangle of rusting pipes and chimneys make it a museum piece of communist construction, and joining the EU will not improve its fortunes.

"Last year we produced over 50 000 tonnes of sugar, but we won't and can't produce more because of EU membership," says the plant manager Jerzy Konaski.

"We'll still have as much sugar to put in our tea as before which means domestic production will stay the same, but our exports will decrease."

Protests

But quotas alone are not enough to reform the EU's controversial sugar regime.

Under mounting pressure from the WTO, the European Commission is promising to reduce export subsidies and prices.

For Polish sugar farmers, the EU cash carrot is about to be snatched away.

"We sugar farmers say no to these reforms," says farmer Szpura who also chairs the local sugar producers union.

"It's the first year for us getting EU subsidies and we need this money. If the EU reforms go through, there will be mass protests."

Vested interests

But Polish grumbles are unlikely to throw the EU's reform off course.

"We don't think the main obstacle is the new accession countries," says Penny Fowler, Oxfam's trade policy adviser.

"Its Europe's major sugar producers like France, Germany and the UK where there are powerful vested interests trying to maintain the status quo of the existing sugar system."

EU enlargement has prompted a rethink of the sugar regime. Poland is unlikely to further distort world markets.