The volume of imports of Ukrainian agricultural products into Europe and the proposal for a regulation introducing “prohibitive” customs duties on imports of fertilisers from Russia and Belarus are causing concern in several Member States, according to the results of discussions between experts on the Special Committee on Agriculture (SCA) on Friday 14 February.
The SCA has prepared next week’s Agriculture Council debate on the situation on agricultural markets, particularly in the context of the war in Ukraine.
The European Commission has reported a growing number of positive signals and a return to a more normal situation in terms of prices, production and input costs.
Overall, price levels are likely to be in line with historical averages.
Generally speaking, there was a broad consensus within the SCA on a return to a more stable and normal situation, even if challenges remain, particularly in the wine, cereals and livestock production sectors.
Crisis reserve. The main concerns relate to the impact of climate change on agricultural production. Several delegations stressed the need to provide financial compensation after natural disasters by using the agricultural crisis reserve, while others advocated a more structured approach to strengthening the resilience of the agricultural sector.
Many delegations also referred to the geopolitical context which is affecting all sectors, in particular business models and trade flows, and asked that the situation be closely monitored.
Several Member States also highlighted the growing pressure exerted by animal diseases on the livestock sector. Some delegations called for vaccines to be available within the single market and raised the principle of regionalisation.
Some EU countries have pointed out the challenges facing the wine sector, linked to adverse weather conditions and a reduction in wine consumption. They welcomed the European Commission’s intention to make a package of legislative proposals arising from the recommendations of the High Level Group on Wine Policy, including on electronic labelling.
Ukrainian products. Many delegations voiced their difficulties and concerns about European imports of agricultural products from Ukraine, particularly from Ukraine’s neighbours. Some countries have also expressed their support for a future association agreement with Ukraine.
Several delegations stressed the need to be cautious about import duties on fertilisers from Russia and Belarus and to continue to monitor import prices for these products (see EUROPE 13567/1). Some delegations stressed the need to find alternative solutions to reduce dependence on fertiliser exports and fertilisers from fossil fuels.
Delegations spoke of the critical situation in the beekeeping sector and the need to tackle fraud and counterfeiting in the production of honey.
Simplification of the CAP. The Polish Presidency of the Council of the EU told the SCA that it had invited delegations to send in their proposals for simplifying the CAP. Most of the contributions concern the rules on the use of unit amounts and the provisions on good agricultural and environmental condition.
The Commission has stressed that simplifying and reducing the administrative burden are priorities for increasing the sector’s competitiveness, and this will be reflected in the vision for agriculture to be published on Wednesday 19 February (see EUROPE 13579/5). To see the draft communication, go to https://aeur.eu/f/fhh (Original version in French by Lionel Changeur)