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Image header Agence Europe
Europe Daily Bulletin No. 11758
SECTORAL POLICIES / Agriculture

Council on 3 April devoted to omnibus regulation and EFAs

EU agriculture ministers will gather in Luxembourg on Monday 3 April for a meeting, to be chaired by Roderick Galdes of Malta, at which a number of proposals seeking to simplify the common agricultural policy (CAP) rules will be discussed. The ministers will also be briefed on the report on the implementation of ecological focus areas (EFAs) (see EUROPE 11757).

The ministers’ objective is to agree policy guidelines on the agricultural aspects of the omnibus regulation, based on a compromise text from the Maltese Presidency (see EUROPE 11736).

50-50 rule. The Commission is proposing to review the 50% Community-50% member state rule on countries’ contribution on monies not recovered on certain payments.  The Commission wanted to raise the national contribution to 100% but the Council disagrees.

A large number of issues still under discussion relate to Regulation 1307/2013 (direct payments).

Voluntary coupled support.   All delegations feel able to accept the compromise text suggested by the Presidency which would enable member states to review their national decisions on coupled payments every year.  However, some delegations and the Commission consider the provisions do not simplify the procedure.  Several delegations argue for additional amendments on voluntary coupled support with regard to: - the products for which coupled support may be granted; - additional support for protein crops; - the methodology for dealing with any overshooting of the quantitative limits set for coupled payments.  Several other delegations and the Commission oppose the addition of any such amendment to the compromise package, citing in particular WTO (World Trade Organisation) implications.

Regime for young farmers.  Most delegations support or can accept the Maltese Presidency’s suggestion that the Commission’s proposed amendments be rejected and the status quo maintained.  However, some delegations consider that the Commission’s proposal would have provided useful simplification and should at least be maintained as an option.  The Commission is opposed to having the proposed changes optional since this would unnecessarily further extend the long list of implementation choices.

Active farmer clause.  All delegations support the flexibility that would be introduced.  Most delegations can also support the provisions which would make the active farmer clause optional from 2018.  However, some delegations do not support the latter provision, preferring to maintain a harmonised approach for all member states.

The last outstanding issue with regard to direct payments is a request from some delegations to add provisions to make explicit that member states can alter their decisions on the capping of certain direct payments.  The Commission has already indicated that it could issue a statement confirming that this is already possible.

Rural development.  As far as the Regulation 1305/2013 (rural development) is concerned, some delegations have expressed reservations as regards different applicable conditions where support is provided in the form of financial instruments.  The Commission insists that promoting the use of these instruments is essential to boost growth and jobs in rural areas.

Income stabilisation tool.  The Commission proposal that a specific income stabilisation tool be put in place (as part of the regulation on rural development) for each sector (applicable at national and regional levels) has majority support in the Council.  Debate is continuing on the arrangements for triggering this tool.  According to the Commission, the tool would allow losses of up to 70% to be covered in the event of a fall in farmers’ annual average income of more than 20% (compared with 30% at present).  There are still discussions taking place in Council on whether the threshold should be 20% or 30% but the lower figure would appear to have the backing of most delegations.  Some have, however, expressed scepticism at the proposed 20% threshold.

Horizontal regulation.  As for Regulation 1306/2013 (the horizontal regulation), delegations could agree to the proposed procedure for fixing the adjustment rate (financial discipline mechanism).  Some delegations would also welcome further simplification of the management of the reserve for crises in the agricultural sector, which is, however, a matter to be addressed in the context of the revision of the EU financial regulation.

CAP simplification.  Under any other business, the Danish, Estonian, Finnish, Latvian, Lithuanian and Swedish delegations will set out ideas for simplifying the CAP after 2020 (amendment of the CAP basic acts): a more balanced approach in the area of shared management, a more risk-based approach to controls and a reduction in the number of layers of CAP rules.  (Original version in French by Lionel Changeur)

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