At their meeting in Luxembourg on Monday 3 April, EU agriculture ministers provided confirmation of the difficulties they are facing in trying to come to a compromise on the so-called omnibus regulation (see EUROPE 11758), which contains provisions to simplify the rules of the Common Agricultural Policy (CAP).
Agriculture Commissioner Phil Hogan felt that there was some agreement on the compromise text put by the Maltese Presidency and hopes that it will be possible to finalise everything in the near future. The Commission hopes the package will be adopted as quickly as possible so that it can come into force from 1 January 2018 (in the last three months of the EU’s current multi-annual financial framework).
The Maltese Presidency of the Council has targeted May for a common position to be reached by the Agriculture Council. “This exchange of views has allowed us to put political guidelines to the Special Committee on Agriculture to achieve agreement on 10 April”, within this body which comprises member states experts, the Presidency said.
Coupled support. In the debate, the Netherlands expressed concern at the flexibility allowed on couple aid. Support of this kind should be phased out, the Dutch delegation argued. Germany reiterated its criticism of coupled payments. Italy asked to be able to extend the possibility of paying coupled support to other sectors, such as the pig sector. Greece, too, called for greater flexibility in granting coupled aid. Poland asked to be able to retain a percentage of the national envelope allocated to coupled payments, “beyond the 13% threshold, even though protein-rich plants receive less than 2% of the envelope in that country”. Romania wanted other sectors (poultry and pig meat) to be covered. Denmark, on the other hand, argued that this kind of aid should not be extended to other sectors.
Capping of aid. The Czech Republic made the point that this was a highly political issue and that there should be no rule changes. Poland asked to be able to “deduct labour costs” as part of degressivity and capping of aid measures. Germany backed Poland’s call. Commissioner Hogan stated that Article 11 of the regulation on direct payments allows member states to review their decisions annually on reducing payments, and this includes introducing capping for the first time. Countries will have to ensure, however, that the money available for rural development is not reduced and decisions on possible capping must be taken sufficiently far in advance, the commissioner made clear.
Active farmers. Most delegations accept the provisions that make the active farmer clause optional from 2018. Italy and Belgium, however, were critical of the provisions and Spain, too, has some concerns over the proposed changes.
Greening. Italy would have preferred greater simplification on greening. “The environmental importance of leguminous plants must be recognised”, it argued. Belgium said the proposed definition of permanent grassland is too complex. Spain, on the other hand, backed the definition.
Wine. Italy said it was “perplexed” by the provisions that allow the alcohol content of wine to be increased. Spain, notably, supported the changes.
Young farmers. Belgium and Spain, notably, called for greater flexibility in the allocation of aid to young farmers, with Belgium arguing that it should be possible to devote 2% of the national envelope to it and Spain calling for there to be no limit on the number of hectares for which a young farmer can receive supplementary payments.
Rural development. On income stabilising tools, Germany criticised the perhaps too attractive concept of risk management, which might possibly contravene WTO rules. The commissioner replied to requests from Cyprus and Lithuania on the definition of regional crises. He stated that the 2013 regulation on the common organisation of the market (CMO) uses the necessary legal basis, making it possible – at regional level, too – to pay direct financial aid to farmers. The Commission will also include an income stabilising tool in the rural development regulation and this will allow countries to grant compensation to farmers in the event of a fall in income, Hogan pointed out.
Lastly, Ireland, Austria and France highlighted the timescale on the review of the criteria which determine areas of natural constraints. Austria called for the current criteria to be retained until 2019. (Original version in French by Lionel Changeur)