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Image header Agence Europe
Europe Daily Bulletin No. 12227
SECTORAL POLICIES / Agriculture

MEPs call for stronger market regulation tools

On Monday,April, the European Parliament’s Committee on Agriculture strengthened the provisions regarding the post-2020 Common Market Organisation (CMO) in order to provide farmers with sufficient tools to adapt to crises or regulate certain sectors. 

The report by Eric Andrieu (S&D, France) on the CMO, which significantly amends the original proposal on one of the three proposals concerning the post-2020 CAP, was adopted in committee with 29 votes in favour, 7 against, and one abstention (see other news)

A broader supply-and-demand management system. The current legislation authorises aid for milk producers who agree to voluntarily reduce production in times of crisis in order to stabilise prices. 

The approved compromise amendments extend this system to all sectors. Should serious imbalances persist, the Commission would be entitled to impose a tax on all producers who increase their deliveries, according to the voted provisions. 

MEPs also want to extend the current rules—which authorise supply management for cheese, ham, and wine with a geographical indication for a limited time period—to all other products with a protected geographical indication (PGI) or protected designation of origin (PDO). 

More transparency, better crisis management. To improve market transparency and better prevent possible market turmoil, MEPs added provisions to create a single European observatory for agricultural markets, covering a wide range of sectors: cereals, sugar, olive oil, fruit and vegetables, wine, milk, and meat. The observatory is expected to collect statistical data on production, supply, prices, profits, imports, and exports and issue early warnings in the event of market disruptions so that the Commission can take action. 

MEPs also widened the market’s ‘safety net’ by allowing public intervention (a market management tool when prices fall below a certain threshold) for new products such as white sugar, mutton, pork, and poultry meat. 

Vines and wine labelling. MEPs voted in favour of extending the vine-planting authorisation system until 2050 (the new system entered into force in 2016). It has also been proposed that labelling the energy value of wines and listing their ingredients be made mandatory and that the protection of wines under appellation be strengthened. 

MEPs want to help producers towards greater sustainability, with the possibility of improving crossing, “to better protect biodiversity, adapt to global warming, and propose alternatives to pesticides for vine diseases”, Mr Andrieu stressed. In addition, de-alcoholised wines will now be allowed, provided they are not wines under appellation. 

There will be no vote in plenary before the May elections. It is therefore the next European Parliament’s Conference of Presidents that will be able to decide to put the Committee on Agriculture’s position to a vote in plenary. Otherwise, the next Committee on Agriculture will have to re-examine the file. (Original version in French by Lionel Changeur) 

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