News

On 17/02/2020 Bulgaria reported the first outbreak of avian influenza in its territory; the Czech Republic reported the second outbreak. In connection with the spread of the disease, Bulgaria decided to kill about 6,000 ducks. Czech Minister of Agriculture Miroslav Toman said that the place of occurrence of bird flu was immediately closed and measures were taken to prevent the spread of the disease. The virus was detected this year in other countries, including Poland, Ukraine and Lithuania.
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Member States in the Standing Committee on Plants, Animals, Food and Feed supported the European Commission's proposal to reduce maximum residue limits for chlorpyrifos and chlorpyrifos-methyl in food and feed to the lowest level that can be measured in analytical laboratories (around 0.01 mg / kg). Portugal voted against the proposal; Italy and the Czech Republic abstained; representatives of Lithuania were not present; but the rest of the delegations supported the proposal. According to the European Food Safety Agency, it is not possible to set a safe limit for chlorpyrifos and chlorpyrifos-methyl, so the limit was set to a measurable minimum. The new reduced residue limits will apply from October and also apply to imported products. The transitional period should last only three months.
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On 18/02/2020, the European Investment Bank confirmed a EUR 50 million loan to Mlekpol, one of Poland's largest dairy cooperatives, in support of a new strategy for modernization and growth. The money will finance the expansion and modernization of Grajewo's production facilities and a new warehouse and logistics centre. It will also invest in a combined heat and power plant located next to the company's wastewater treatment plant, which will reduce the amount of sludge produced and the need to purchase electricity from the grid. Commissioner for Agriculture and Rural Development Janusz Wojciechowski said that this project will benefit both the company and the environment as well.
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Following Brexit, the UK will face higher prices and reduced availability for 80% of imported food, as reported by the British Retail Consortium. One of the greatest risks in the event of a disagreement with the EU (negotiations on trade agreements should start in March 2020) is the possibility of applying third country rules requiring veterinary certification for each type of animal product imported into EU markets. There is also a significant increase in administrative burdens. Bureaucratic action could be simplified if the EU and the United Kingdom agree on a zero rate agreement.
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President of the European Council Charles Michel (BE) presented on 14/02/2020 a revised negobox - proposal for financial allocations for the Multiannual Financial Framework (EU budget) after 2020. The amended proposal is the result of negotiations between the President of the European Council and national representatives; discussed at the meeting of the General Affairs Council on 17/02/2020, and subsequently during the extraordinary European Summit on 20/02/2020. In 2018, the European Commission proposed an increase in membership fees to the EU budget to 1.114% of GNP, while the European Parliament supported an increase to 1.3% of GNP. The Finnish Presidency proposed membership fees ranging from 1.03 to 1.08% of GNP (1.07% at the end of the Presidency). Charles Michel's updated proposal of 14/02/2020 is closest to the Finnish proposal - Michel proposes to set national contributions of 1.074% of EU-27 GNP (€ 1.095 trillion in commitments), this is a substantial decrease in the budget compared to the Commission proposal. The budget for cohesion policy should be maintained at € 323 billion (in line with the Finnish Presidency proposal).

Concerning the Common Agricultural Policy:

Total CAP budget 2014-2020 (EU-28) : € 411 billions
Total CAP budget 2014-2020 (EU-27) : € 382.8 billions
(currently) 1st Pillar of the CAP 2014-2020 (EU-28): € 309 billion
(currently) 1st Pillar of the CAP 2014-2020 (EU-27): € 286 billion
(currently) 2nd Pillar of the CAP 2014-2020 (EU-28): € 102 billion
(currently) 2nd Pillar of the CAP 2014-2020 (EU-27): € 96 billion
(currently) CAP's share of the total EU budget 2014-2020 (EU-28): 36.1%
(currently) CAP's share of the total EU budget (EU-27): 35.3%

Commission's proposed budget on the CAP 2021-2027 (EU-27): € 324.28 billion
(EC proposal) 1st Pillar of the CAP 2021-2027 (EU-27): € 254.24 billion
(EC proposal) 2nd Pillar of the CAP 2021-2027 (EU-27): € 70 billion
(EC proposal) CAP's share of the total EU budget 2021-2027 (EU-27): 28.5%

Finland's proposed budget on the CAP 2021-2027: € 334.2 billion
(FI proposal) 1st Pillar of the CAP 2021-2027 (EU-27): € 254.2 billion
(FI proposal) 2nd Pillar of the CAP 2021-2027 (EU-27): € 80 billion
(FI proposal) CAP's share of the total EU budget 2021-2027: 30.7%

Charles Michel's proposed budget on the CAP 2021-2027: € 329.3 billion
(Michel's proposal) 1st Pillar of the CAP 2021-2027 (EU-27): € 256.7 billion
(Michel's proposal) 2nd Pillar of the CAP 2021-2027 (EU-27): € 72.5 billion
(Michel's proposal) CAP's share of the total EU budget 2021-2027: 30%

The CAP should represent around 30% of the total EU budget, Charles Michel proposes - compared to the Finnish proposal - an increase in the budget for the first pillar of the CAP by € 2.5 billion, but the second pillar should be reduced by € 7.5 billion. The overall budget for the CAP would be 7.5% lower than the current budget (EU-27), the first pillar budget would decrease by 10.24% (EU-27), and the second pillar budget even by 24.5% (EU-27). New EU budget proposal also foresees an allocation of € 500 billion for environment and climate actions, Charles Michel proposes a budget to better reflect the European Green Deal. Spanish Minister of Agriculture, Luis Planas, has rejected proposals to cut the CAP budget, backing up the budget at the current level.
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