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Ministers of Agriculture met on 27/01/2020 at the first Council of Ministers under the Croatian Presidency. Ministers discussed the transitional period of the CAP, the European Green Deal, and funding. The Council of Ministers adopted the first part of the CAP transitional period proposal on transfers between pillars, the second part of the proposal should be adopted as soon as possible (regardless of negotiations on the EU budget, only NL, LT and ES had reservations). The second part of the proposal could be adopted by the Council of Ministers in March. Ministers supported maintaining the existing rules with funding from the new budget, however, they were not uniform about the length of the transitional period. Ministers also supported the provision of an adequate budget for the CAP in the context of strengthening environmental and climate protection requirements and the European Green Deal. The Croatian Presidency will seek to reach agreement on legislative proposals for the CAP by the end of its Presidency, i.e. by the end of June 2020.

The ministers' discussion also showed:
- Promoting Climate Neutrality by 2050 - ES, FR
- Support for ensuring an adequate budget in the context of the Green Deal - ES, DE, CZ, FR, SK, IE, GR, CY, BG, HU, IT, LV, PT, RO, BE, FI, DK (with an emphasis on direct payments)
- Support for the extension of the transitional period for two years - HU, IE, DE, CZ, GR, LU
- Support for a one-year transition period - FI, LV, AT
- Support for extension of transitional state aid within the transitional period - HU (but only 50%), IT, FI, MT, SI, CZ, RO, SK, BG
- Supporting the continuation of the current programs for the fruit and vegetables sector under the transitional period - IT, PT, ES, GR, LV, AT
- Supporting the maintenance of rural development programs, which should end in 2020, under a transitional period - IT, PT, ES, IE, EE, LT
- Both small and large farmers must be rewarded if they have results - DE
- Supporting strengthening consumer information on the sustainability and nutritional value of food - DE, FR, IT
- Encouraging a 50% reduction in the use of pesticides by 2025 - FR
- Reduction in the volume of pesticides used is problematic due to the lack of alternatives - CY, LV
- Supporting reflection on national specifics in setting targets for pesticide, fertilizer or antibiotic reduction in the Farm to Fork Strategy
- Support for determination of allocation of funds for climate and environment measures separately in both pillars (rejection of allocation for both pillars simultaneously) - DK
- Support for ensuring minimum allocation for eco-schemes - DE
- Disagreement with the minimum allocation for eco-schemes - LU
- Support for the mandatory introduction of eco-schemes - NL, DK
- Support for the voluntary introduction of eco-schemes - MT
- Support for strengthening the role of forestry - FR, SK, LU, BG, AT
- Support for the inclusion of animal welfare in the Farm to Fork Strategy - DK
- Support for full convergence of direct payments - PL, LV, SK
- Supporting the fight against food waste - LU, IT

More information is available here.

The European Commission plans to publish the EU Biodiversity Strategy for 2030 already in the first quarter of this year, according to preliminary estimates on 31/03/2020. The strategy should ensure that biodiversity is maintained at all levels - from agriculture, through trade, industry, energy or the economy. From an agricultural perspective, one of the objectives of the strategy should be to achieve a share of 30% of the land (of the total agricultural land area) managed under the organic farming regime - this target will also be included in Organic Farming Action Plan, which should be published at the end of 2020. The Biodiversity Strategy will also - together with the Farm to Fork Strategy - aim to reduce the amount of pesticides used. According to unofficial information, the Biodiversity Strategy should also set a target in the area of landscape and non-productive elements, which should reach up to 10% of the total area of agricultural land. From 2021 onwards, the Commission should allocate € 20 billion per year to finance, protect and restore ecosystems in the EU, based on a combination of EU funds, including the CAP, Regional Funds, Cohesion Funds, or Horizon Europe.

Last week, the European Commission published a work programme according to which the Commission should present a draft of Circular Economy Action Plan on 04/03/2020. According to preliminary information, the action plan should ensure the sustainability of European production, circulation and reducing the environmental impact of EU production. By the end of 2030, only sustainable products meeting the principles of the circular economy should be placed on EU markets. The action plan should cover plastics, textiles, construction and mobility; soil degradation; decontamination of contaminated soils; incorporating nutrients into the soil; commercial practices in the context of food trade; promoting innovations, investments and research.

Finnish MEP Elsi Katainen (Renew Europe) published last week a draft report on the transition period for the CAP. Katainen states that farmers need to ensure continuity and stability, so a transitional period of one year could, if necessary, be extended to two years. According to Katainen, the transitional period should be based on the current CAP rules financed from the new budget. The rapporteur rejected the Commission's proposal to cut the budget for the CAP, particularly in the context of farmers' already low incomes compared to other sectors. According to Katainen, Member States should be able to increase co-financing the second pillar of the CAP to ensure the same level of funding as is now available. Katainen will present her proposal to the Committee on Agriculture and Rural Development on 17-18/02/2020, and the members of the Committee will be allowed to table amendments to the report by 25/02/2020. The committee should vote on the adoption of the report 27-28/04/2020, after which the proposal will be submitted to the EP plenary for approval - probably 15-18/06/2020 or 06-09/07/2020.

The Spanish Minister of Agriculture, together with the Ministers of Agriculture of the other twenty EU Member States, supported the strengthening of the budget for the Common Agricultural Policy. According to ministers, the volume of funds should be the same as in the previous period in order to better meet the requirements of the European Green Deal and to enable Member States to face new challenges related to the new green policy. The small budget correction proposed by the Finnish Presidency for the CAP is not enough, according to Spanish Agriculture Minister Luis Planas. Spanish coalition government declared "climate emergency" on 21/01/2020, Spain will strive to achieve climate neutrality by 2050.
More information is available here and here.