Brussels, 22/02/2011 (Agence Europe) - The future common agricultural policy must be capable of promoting balanced territorial development, the European agriculture ministers stated on Monday 21 February. The third (and final) debate on the Commission's communication of November 2010 on the reform of the CAP focused on this subject of the importance of a well-balanced territorial development, particularly the role of development policy, the second pillar of the CAP. The member states are all fairly close to agreement on the need to maintain an ambitious rural development policy.
The Council has reached the end of its debate on the Commission's November communication. At the forthcoming Agriculture Council in March, the Presidency hopes that the countries of the EU will reach a “consensus” on conclusions on the reform of the CAP post-2013, despite differences of opinion on a couple of issues, such as the “greening” of certain aid under the CAP. In the second half of 2011, the Commission will present legislative proposals.
Sándor Fazekas, the Hungarian minister, said that the new CAP post-2013 must “promote the development of a new generation of farmers and allow this new generation to work and live from their activity”. We must look at the possibility of aid to small holdings and examine measures to promote local markets and small-scale production, added the president-in-exercise of the Agriculture Council. Lastly, he pleaded for measures to avoid a rural exodus.
Dacian Cioloº, Commissioner for Agriculture, said that the various instruments of the rural development policy can help to make sure that the various production structures are able to remain competitive. “Most of the ministers stressed the fact that the rural development policy is a key element in a well-balanced development of the rural territories, but that not everything can be done by that instrument of the CAP. There must be appropriate coordination with the other Community instruments, most notably the structural funds.” The Commission will work towards ensuring precisely this improved complementarity of the various funds.
At the Council, the commissioner explained to the ministers that “agricultural activity is to rural areas what foundations are to a house”. The future CAP, with its double components under the first (direct aid and marketing expenditure) and second pillars, must, Cioloº argued, be capable of promoting a balanced territorial development: - by supporting agricultural activity; - by incentivising and remunerating farmers for providing public goods; - by opening up growth and diversification possibilities for farmers, the agro-food sector and the rural economy in general; - by seeking to maximise added value, particularly by promoting the development of certain short channels, direct sales and local markets; - by providing incentives to both technical and social innovation (new forms of cooperation, local development strategies, renewed LEADER approach, etc).
During the debate, most of the European agriculture ministers stressed that maintaining a balanced development of the territories is a major objective of the future CAP. Many delegations (among them Belgium, Sweden, Finland and Spain) noted that the rural development policy remains the most important European policy in rural areas, but that this policy must be better coordinated with the other policies, such as regional policy. The importance of the LEADER initiative (which aims to encourage rural initiatives) was emphasised by a number of delegations (including France, Belgium, Finland and Spain).
The Czech Republic, Italy and Belgium, amongst others, stressed the importance of developing the local markets and short channels. Most of the ministers pleaded in favour of measures to support young farmers. Although some (mostly liberal) countries, such as the Netherlands, argued that it is competitiveness and innovation that make the younger generations want to become agricultural entrepreneurs, other countries stressed the need to set in place measures (improving infrastructure, better outlooks for the future, etc) aiming to attract young people into the agriculture sector.
Small holdings. The European commissioner also stressed the important role played by small holdings, the competitiveness of which is not, he said, necessarily related to increasing in size. The Commission also recommends a simple and specific support regime applicable to small holdings. The countries were fairly divided over the issue of which pillar should pay for this aid (Germany said both pillars, France and Sweden preferred the second, and Italy the first). As for Denmark, it takes the view that smallholdings should not get accustomed to aid but to the market.
In the view of several member states, simplifying the current rules must be a priority of the forthcoming reforms. Even though it was not the main issue of the day, Germany and Italy expressed their concern at the proposal to make certain CAP aid greener, which these countries believe may make the system more complex and lead to excessive red tape. (L.C./transl.fl)