In a joint statement issued on Friday 17 April, the agriculture ministers of the 27 EU countries called for new measures, including market measures, to support the agricultural sector, which is struggling during the coronavirus pandemic.
In this declaration, which defends a strong budget for the Common Agricultural Policy (CAP), the ministers “note with concern the market impacts of the crisis in the agri-food sector, which are already significant in some sub-sectors”.
Irish Minister for Agriculture Michael Creed reportedly initiated the adoption of this declaration from the 27 ministers. At this stage, there are no plans for a meeting in April (by videoconference) of the European Agriculture Ministers.
According to the declaration, the signatories consider that, despite the actions already undertaken, there remains a need for “urgent additional, appropriate and responsible measures to be activated under the CAP”.
EU Agriculture Ministers are calling for: - implementation of the measures provided for in the Common Market Organisation (CMO) Regulation of the CAP, in particular aid for private storage and exceptional aid to farmers in the most affected sectors; - monitoring of all markets in the coming period “with a readiness to introduce further CMO measures if necessary”; - the immediate extension of further flexibilities to Member States under both pillars of the CAP, in particular concerning earlier payment dates, higher rates of advance payment than already announced, the activation of specific measures within rural development programmes, and flexibility in the implementation of on-the-spot and administrative controls, without reducing the effectiveness of the control system.
The ministers advocate “a strong and coordinated European response” to show not only the vital role played by European farmers, but also the importance of the CAP in ensuring food security, environmental protection and the dynamism of rural areas. They also stressed the need to prepare European farms “to cope with the crisis as well as other challenges, including climate change and biodiversity loss”.
The Commission recently announced two new measures (see EUROPE 12468/10), but fiscal constraints (no more funds in 2020 for new market measures) prevent it from doing more for the time being.
No funds in 2020 for market measures. Despite pressing demands from professionals, many MEPs and EU agriculture ministers, EU Agriculture Commissioner Janusz Wojciechowski, while acknowledging the need, admits that it will be difficult to find the funds to finance market intervention measures, particularly in the milk and meat sectors. “Most of the funds have been used, and we do not yet have a budget for 2021”, he said (see EUROPE 12467/11). A problem of interpretation in French made him say that he agreed with aid for the storage of dairy products, but in reality there is no question of that at this stage, his spokesman corrected.
Janusz Wojciechowski stressed that he was not opposed to the use of the agricultural crisis reserve (€478 million), but that this decision is up to the Member States. And, he warned, “we are well aware that the release of this reserve means a reduction in direct payments”. This reserve is built up each year by reducing direct payments. That’s why it has never been used.
Ursula von der Leyen, the President of the Commission, said that on Friday 17 April she had held a videoconference meeting with members of the Commission on pandemic-related measures, including “additional support” for the agricultural sector. So will new aid be announced soon?
Link to the declaration of the 27 Ministers of Agriculture (in French and English): https://bit.ly/2XIB0D5 (Original version in French by Lionel Changeur)