login
login
Image header Agence Europe
Europe Daily Bulletin No. 10412
Contents Publication in full By article 17 / 35
GENERAL NEWS / (ae) eu/agriculture

Reforming CAP means re-balancing subsidies

Brussels, 05/07/2011 (Agence Europe) - “The common agricultural policy is common only in name.” With these words, Polish Agriculture Minister Marek Sawicki began setting out his vision for the reform of the common agricultural policy (CAP) for a group of invited journalists in Warsaw on Saturday 2 July. The watchwords for the reform, due by the end of 2013, are cost reduction and simplification. The European Commission will bring forward a legislative package on CAP reform before the Agriculture Council of 20-21 October. For the Polish minister, “there are 27 different agricultural policies, plus all the local policies, as in France and Germany”, all of which creates a situation which “disrupts competition on the single market”. To illustrate his point, Sawicki gave the example of the difference in single payment per hectare of around €90 in the Baltic states and more than €400 in Germany. Given a situation like this, “how can one remain competitive on what claims to be a single market?” he wondered.

One of the priorities for the Polish government over the coming six months, therefore, will be to “find a basis for an agreement on a new system of direct payment, based on objective and not historic criteria”, says the official Presidency programme. This position seeks to re-balance agricultural subsidies in favour of the newer member states from the east of Europe. In the firing line are France and the United Kingdom, which favour, in the words of the Polish minister, “a conservative approach”. The objective criteria mentioned in the Polish programme correspond to the area of agricultural land, “complemented by payments for areas which are difficult to farm”, Sawicki said, adding that the overall level of direct aid was likely to fall to release money for investment in research and farm development. “An active farmer doesn't just produce. A farmer builds up his/her farm and tries to innovate.” And for that reason more has to be done for rural development programmes. Referring to the example of biotechnologies, Sawicki said that “Europe is 30 years behind the United States”. The current system contains abnormalities which hold back farm development; many farmers receive more in direct payments than for selling their produce. “Direct payments are not there to ensure social calm”, Sawicki stated. It should be up to member states to choose second pillar initiatives to be backed, he added. (J.K./transl.rt)

Contents

A LOOK BEHIND THE NEWS
THE DAY IN POLITICS
GENERAL NEWS