Shared orientation. This time I believe it is definitive: the Barroso II Commission will not go along with the idea of a significant cut in funding for the Common Agricultural Policy (CAP) or cohesion policy. Addressing MEPs, the two Commissioners-designate for these two policies were explicit, this is out of the question. Positions expressed by the large majority of MEPs also went in the same direction. It is, therefore, goodbye to the most controversial draft document from the Commission services, “Reforming the budget, changing Europe”. This policy coincided with the political orientation of a number of member states in favour of an essentially intergovernmental European construction, which won the intellectual support of certain economists who, in my opinion, have never really examined the meaning and role of agricultural activity or the demand for a proactive cohesion policy in a Union where regional imbalances are still marked and national interests prevail. The draft document in question contains several positive ideas, which are likely to be retained, but the budgetary demolition of the Community's two main policies has been rejected. This is even more the case given that the president of the Agricultural Committee, Elena Espinosa, has just made a robust speech in defence of maintaining a strong CAP after 2013, whilst preparing the debate on the update and improvement of instruments for managing markets and crises (see our publication yesterday). The Commission, Parliament and Council therefore appear to be going in the same direction.
This is one of the positive results from the hearings of the Commissioners-designate (the hearings are expected to be extended due to a change in the Bulgarian candidacy). The welcome given by MEPs last week to Dacian Ciolos (agriculture) and Johannes Hahn (regional policy) was a warm one. EUROPE 10057 provided a comprehensive report on both of them and I will just add a few more considerations.
Revision but keeping the mainstay. Mr Ciolos emphasised the essential role of agriculture, which certain economists had previously caricatured. Agriculture means: millions of jobs in the EU; food self-sufficiency (the importance of which is vital in itself even if it is a badly understood); climate and environmental protection; regional balance in the EU and the fight against hunger in the world. Readers of this column may get the impression that I'm repeating myself but these concepts assume another dimension when, instead of representing the opinion of a journalist, they are affirmed with clarity and vigour by the European Commissioner for Agriculture and robustly supported by the European Parliament. Mr Ciolos supported reform of the CAP but this does not mean a significant reduction in its funding (“the budget as it stands allows the CAP to exist and function”). It does not get rid of its mechanisms but provides more price stability and support to Protected Denominations of Origin and helps preserve biodiversity and fights against climate change. In the context of external relations, it opposes protectionism and considers that; “export subsidies are no longer a solution for the future”. Nonetheless, it considers that the EU has already made important concessions in the Doha Round and that with regard access to the European market, it has already done everything possible and expects similar concessions to be made by its partners.
Global cover, zero tolerance against fraud. Johannes Hahn made a robust defence of cohesion policy. The latter is a passionate Commissioner, according to the terms used to describe him by Danuta Hübner, president of the regional policy committee. He took a stand against the orientations contained in the “ Reforming the budget, changing Europe”. He does not consider that this policy simply consists in certain funding to poor regions but must provide cover according to variable modalities and the whole of Community territory, irrespective of national borders. The current level of budget funding is a “good reference”.
At the same time Mr. Hahn took an extremely tough line against fraud and abuses, notably denounced by the European Court of Auditors and affirmed that he is the, “advocate of zero tolerance”. I would like to point out that certain regions have benefited from Community funding for half a century without having managed to overcome their initial problems. Suspending funding to areas where it is being siphoned off by organised crime is a prerequisite if a broad and efficient cohesion policy is to be maintained. It is not the EU's vocation to finance drug traffickers or fraudsters.
Other aspects of the Parliamentary hearings will be discussed in this column tomorrow. (F.R.)