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Europe Daily Bulletin No. 10493
Contents Publication in full By article 13 / 36
GENERAL NEWS / (ae) eu/agriculture

Council debates direct aid review on Monday

Brussels, 10/11/2011 (Agence Europe) - Agriculture ministers from EU countries meeting on Monday 14 November, under the presidency of Marek Sawicki, intend to debate proposals for amending the direct payment system to farmers in an effort to make it more ecological and fair.

On 12 October, the European Commission presented its legislative proposals on reform of the common agricultural policy (CAP). One of the important aspects is the recasting of the direct aid system. The Commission is proposing: an amendment to aid distribution; specific aid to young farmers; a simplified system for small farms; maintaining certain coupled aid (which maintains a link with product levels); support for poor areas; the degressivity of income support from €150,000 and a ceiling on the aid set out at €300,000; a greening of 30% of direct aid.

Several countries, such as France, Spain, Belgium, Slovakia, Ireland and Finland, consider that this percentage (30%) for greening direct aid is too high.

On the new earmarking of aid, the proposed convergence (reduction of the gap between countries that receive the EU average of agricultural aid and those that receive less) does not go far enough in the opinion of the Baltic states, Poland, Romania and Bulgaria. Some of the older EU member states (France, Belgium, Greece and Ireland) have advocated a more gradual convergence. Other countries such as Portugal and the Baltic countries also judge that the correction system is not being implemented fast enough. Several countries (Belgium, the Netherlands, Hungary, Bulgaria and Cyprus) are protesting against the cut in levels of direct payments to their farmers.

The aid system for small farms is particularly supported by Hungary, Slovenia, Portugal, Cyprus and Romania. Other countries (including Sweden, Finland and Denmark) are willing to accept this system on condition that it is voluntary.

The aid system for supporting young farmers has won considerable support but Sweden and Denmark want this system to be voluntary.

Finally, Germany, the United Kingdom, Finland and the Czech Republic are opposing measures that aim to introduce ceilings on aid to large farms. Romania is also calling on the Commission to revise this mechanism. (LC/transl.fl)

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