News

According to informal information, the German Presidency is preparing the parameters of the Council's opinion on the Common Agricultural Policy. According to previous statements, Germany should try to reach an agreement on the CAP in the Agriculture Council during October or November 2020. According to unconfirmed information, the German Presidency will support the introduction of a definition of a real farmer on a voluntary basis. If Member States decide to introduce a definition of a real farmer in their national strategic plans for the CAP, this definition should be based on objective and non-discriminatory criteria. As regards the additional income support for young farmers, which should be compulsory in the form of annual decoupled payments per eligible hectare or in the form of lump sums, Member States could voluntarily decide to link this support to a limited number of hectares per farmer. As regards the capping of direct payments, the German Presidency is likely to make use of the European Council Decision of 21/07/2020, thus promoting voluntary capping. However, it is considering allowing capping (still on a voluntary basis) for amounts below € 100,000 (the European Council has supported voluntary capping for amounts above € 100,000, only for basic income support for sustainability, and with a possible deduction of labour costs). According to initial information, Germany plans to make partial use of the Commission's proposal, which proposed in 2018 that direct payments be reduced progressively from EUR 60,000 (for amounts ranging from € 60,000 to € 75,000, a reduction of at least 25% should be introduced, for payments in range of 75,000 - 90,000 € at least 50%, and for payments in the range of 90,000 - 100,000 € at least 75%). The German Presidency is considering granting Member States the option of voluntarily benefiting from reductions of 25%, 50% and 75% for amounts below EUR 100,000, and subsequently voluntarily capping 100% of amounts above EUR 100,000. Regarding transfers between the pillars, Germany is likely to support the Council's position, i.e. transfers of up to 25% from the first to the second pillar, and at the rate of 25% of the second to the first pillar. From the first to the second pillar, an additional increase of 15% should be possible if these funds are used for environmental and climate objectives, and a further 2% if support for young farmers. Regarding external convergence, Germany is likely to support the European Council's view that all Member States with direct payments below 90% of the EU average will receive at least a 50% difference from this average. From 2022, all Member States should receive at least EUR 200 / ha, and from 2027 at least EUR 215 / ha. With regard to eco-schemes of the first pillar, Germany is in favour of mandatory eco-schemes (for Member States, their use should be voluntary for farmers), with Germany supporting the allocation of a minimum budget amount for the first pillar for eco-schemes. Finally, Germany is considering addressing the area of non-productive elements under GAEC 9. Non-productive elements should occupy an as yet undetermined percentage of arable land (compared to Commission proposals, change, Commission proposes 10% of total agricultural land), Germany is also considering nitrogen-binding crops and catch crops, unless these areas are intended for further crop production. The counting rate for catch crops should be 0.3.

The European Parliament's Committee on the Environment, Public Health and Food Safety (COMENVI) voted on 11/09/2020 on the opinion on A framework for climate neutrality. The Commission has proposed achieving climate neutrality by 2050 and has also proposed reducing greenhouse gas emissions by 50 to 55% by 2030. In its opinion of 11/09/2020, COMENVI supported the goal of achieving climate neutrality by 2050 as a legally binding target for all member states. Neutrality should therefore be achieved individually in each of the 27 EU Member States and in the whole EU. According to COMENVI, emissions should be reduced by at least 60% by 2030 (compared to 50-55% in the Commission proposal). COMENVI also proposes that an emission reduction target be set for 2040 as well, to ensure that climate neutrality is achieved by 2050. The opinion was approved by 46 votes to 18 and with 17 abstentions. The plenary of the European Parliament should vote on the opinion during the first week of October.
More information is available here and here.

On 07/09/2020, the EP Committee on Agriculture and Rural Development (COMAGRI) adopted an opinion proposing to strengthen the EU's 2030 emission reduction target from 40 to 55% and the medium-term target for 2040 by 35 votes to 8, with 5 abstentions. The EU and each individual Member State should achieve climate neutrality by 2050. A legislative proposal for the 2040 target should be presented by the end of September 2028. COMAGRI believes that the Commission should prepare a proposal to achieve climate neutrality by 2050 in the form of regulations, not in the form of delegated acts. The opinion also calls for support for carbon-neutral agriculture and support for market development in the removal of greenhouse gases from the atmosphere through payments to farmers for carbon sequestration in soil. However, the main negotiating power on the subject belongs to the Committee on the Environment, which has significantly strengthened its objectives compared to COMAGRI (see above).
More information is available here.

On 09/09/2020, the Commission launched feedback on the implementing rules for import tariff quotas for food and feed. The consultation is open until 07/10/2020, available here.

On 08/09/2020, the Commission launched feedback on the LEADER programme in the framework of rural development. The aim of the initiative is to assess whether the CAP has helped to improve the socio-economic aspects of territorial development. The consultation is open until 13/10/2020, available here.

On 07/09/2020, the Commission launched feedback on a long-term vision for rural areas. The initiative aims to create a vision for rural areas by 2040 and to collect data on low-income issues and demographic change. The consultation is open until 30/11/2020, available here.

On 07/09/2020, the Commission launched feedback on the impact of EU agricultural policy on society and the economy in rural areas. The purpose is to assess the socio-economic impact on territorial development, through measures to support economic development and contribute to poverty reduction. The consultation is open until 30/11/2020, available here.

French President Emmanuel Macron unveiled last week's expected package to support the French economy. France will release €1.2 billion for the agricultural sector to facilitate the transition to sustainable agriculture. Of the total, €350 million will go to support healthier and more local food production, €250 million to rehabilitate agricultural machinery and reduce the amount of pesticides used, €250 million to modernize slaughterhouses and strengthen animal welfare, and €200 million to help adaptation of forests to climate change. French Agriculture Minister Julien Denormandie said a total of €364 million would be earmarked to restore food sovereignty in France.
More information is available here.