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Europe Daily Bulletin No. 10683
Contents Publication in full By article 12 / 23
SECTORAL POLICIES / (ae) agriculture

Technical discussions resume on CAP reform

Brussels, 06/09/2012 (Agence Europe) - Experts from the EU countries made little progress in the Special Committee on Agriculture (SCA) on Monday 3 September with regard to certain technical elements of the direct payments regulation (activating payment entitlements, using the national reserve, and land eligibility conditions for these entitlements) as part of the common agricultural policy (CAP) reform. They also examined a proposal to amend the definition of adult bovine in the common market organisation (CMO) regulation, most being in agreement with a definition based, from now on, on the age of the animals (despite differences on the age itself).

With regard to direct payments under the CAP reform, the Cypriot Presidency suggested certain changes to some articles of the direct payments regulation.

The amendment to Article 21(3) suggested by the Presidency requires proof of legal access to and use of the land when there is doubt at the time of activating payment entitlements. When such proof cannot be provided on time, it would be possible to refuse activation of the payment entitlements. As far as these arrangements are optional, several countries did not object (particularly Germany and UK). Others, like Spain, the Netherlands and Sweden, wondered about the legal certainty of these arrangements.

In Article 23 on the national reserve, the Presidency allows greater flexibility for the countries that want to use this reserve to compensate farmers having had to face exceptional circumstances. Certain countries agree (particularly Ireland, Poland and Finland). Others are reticent (including France, Italy and Spain), judging that aid based on circumstances must not be prolonged over several years.

The Presidency proposed clarifying land eligibility (for the new countries that have a single area payment) by specifying that those that were not in a good agricultural state before 30 June 2003, but are now, can be taken into account. Some countries accept the amendment (Ireland and Spain) but others (Poland, Hungary and Czech Republic) remain doubtful on the date or even the use of this addition.

The Presidency proposed extending the application of a reduction coefficient, at the country's choice, making areas eligible where herbaceous vegetation is not predominant in the pastures and making land eligible - in this context - which was not in good state before 30 June 2003. Some delegations reject the principle, such as the Czech Republic. Other delegations, such as Italy, accept the principle, while still others (including France and Austria) would like this principle to be more extensive. Many consider that the working group still has to work on this idea. The Presidency noted that many points still have to be clarified at the level of the competent working group at the Council.

Rural development. The Presidency presented a preliminary document on investment in irrigation (Article 46 of the regulation on rural development) and awaits the countries' contributions. Most of the delegations (UK, France, Spain and Greece) said they were in favour of a link between the water framework directive and investment in irrigation. However, some countries (including Germany, Portugal and Malta) said that they did not want requirements to go beyond what this text prescribes. With regard to the thresholds proposed by the Commission (investments taken into account by the Rural Development Fund if growth of 25% in efficiency of the systems and reduction of 20% in water consumption), some countries (Spain, France, Italy, Romania, UK) said that the high levels of these thresholds would block all chance of investment. Some countries, like the Czech Republic and Finland, supported the levels proposed while wondering how to control them. A few delegations from countries little affected by drought problems, including the Netherlands and Denmark, considered that the preservation of the resource needed a strict application of these thresholds.

Single CMO. The Presidency asked the SCA about the possibilities of modifying the definition of adult bovine in the single CMO regulation. This follows a Commission proposal suggesting the move from a definition according to weight (+300 kg live weight) to a definition based on age limit (> 8 months) in the regulation. This proposal aims to avoid the exclusion (of a certain number of carcases) of aid for private storage. A very large majority of countries supported the project to move to a definition based on age. On the other hand, although several countries agree on the limit of 8 months or more (including Italy, UK, France, Romania and Spain), others, like Germany, Ireland, Poland and Portugal, consider that the age limit retained should be 12 months or more. (LC/transl.fl)

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