UPDATE 1-Italy PM sees big differences with Poland on EU

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Italian Prime Minister Romano Prodi said on Wednesday he still saw big differences with Poland on the issue of European institutional reform, pouring cold water on hopes that Warsaw may be easing its position.

Poland is among the countries that have the most difficulty with the stalled EU constitution, along with Britain, the Czech Republic, France and the Netherlands.

Earlier this month, Poland's Foreign Minister Anna Fotyga said she was moderately optimistic about reaching an agreement on a proposed treaty to replace the constitution.

But Prodi said, after meeting with Polish officials, that any deal appeared still a long way off.

"The path is still a long one. Dialogue is a positive thing ... but there are still fundamental differences about the very concept of Europe," Prodi told reporters in Warsaw.

Poland has objected to the treaty mainly because it would it give it a smaller number of votes.

Eurosceptic Polish leaders Jaroslaw Kaczynski, the prime minister, and his twin brother Lech, the president, have threatened to veto the constitution if the proposed voting mechanism was left unchanged.

They said the document in its current shape would weaken Poland's position and be favourable mainly towards big countries like Germany.

[WARSAW/Reuters/Finance.cz]