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The EU offers an ambitious free trade agreement to the UK - offering zero tariffs and quotas on all goods entering the Single market. The EU will insist on a fisheries agreement with reciprocal access to markets and waters and with defined share quotas that could only be changed with the agreement of both parties. This agreement would have to be concluded by 01/07/2020 to allow timely determination of fishing opportunities in the first year after the transitional period. In the area of trade in agricultural products, the Commission calls for a partnership going beyond the WTO Agreement on Sanitary and Phytosanitary Measures and the recognition of controls on sustainable food systems, including animal welfare. The Commission recommendation was submitted to the Council, the General Affairs Council should grant a negotiating mandate on 25/02/2020. The first formal EU-UK negotiation team meeting is expected in early March 2020.
More information is available here.

The European Commission published its Work Programme for this year last week. Among the new challenges, the Commission has included European Green Deal, which has also identified as the key priority - the Green Deal should address climate and environmental problems, biodiversity loss, growing problems of forest fires or floods. The Green Deal should steer European industry and the economy towards innovations, resource efficiency, the circular economy and sustainability. It should also support the development of employment and competitiveness on a global scale. The first step will be European Climate Legislation, which will introduce a binding target of achieving climate neutrality by 2050. The European Green Deal will include a Farm to Fork Strategy - the strategy should cover the whole food supply chain.

According to the Work Programme, the Commission should publish:
- European Climate Law (Q1/2020, legislative act)
- European Climate Pact (Q3/2020, non-legislative act)
- Sustainable Finance Strategy (Q3/2020, non-legislative act)
- Forestry Strategy (Q4/2020, non-legislative act)
- The 2030 Climate Plan (Q3/2020, non-legislative act)
- Circular Economy Action Plan (Q1/2020, non-legislative act)
- EU Biodiversity Strategy for 2030 (Q1/2020 - estimated 31/03/2020, non-legislative act)
-Strategy for Sustainable and Smart Mobility (Q4/2020, non-legislative act)
- Revision of the Guidelines on certain State aid measures in the context of the greenhouse gas emission allowance trading scheme (Q4/2020, non-legislative act)
- Fitness check on Endocrine disruptors (2020)
- Revision of the Sustainable Use of Pesticides Directive (2020)
- Evaluation of the EU Strategy for animal welfare (2020)
- Evaluation of the Food Contact Material Legislation (2020)

Commission work plan is available here, new initiatives here, planned revisions here.

On 29/01/2020 the European Commission published its Programme for the following year, one of the items is the Farm to Fork Strategy. The European Commission stated that the strategy would be published in spring 2020, probably 31/03/2020; this publication should be preceded by a public consultation on Farm to Fork, originally planned by the Commission for February 2020. However, according to unofficial information, it is possible that the Commission will not start the consultation until March 2020, possibly at the turn of February and March. On 31/01/2020 the first seminar of the European Commission and representatives of EU Member States on this strategy took place, during the seminar some Member States presented their achievements and experiences in the sustainability of food systems (NL - Circular Economy; DK - Animal Welfare, transport of animals is limited to 8 hours; FI). According to preliminary information, Farm to Fork Strategy will aim to reduce the amount of pesticides, antibiotics and fertilizers used; strengthening organic farming; strengthening the sustainability of food production (including processing or trade); enhancing sustainable consumption; reducing food waste and losses; combating food fraud; strengthening sustainable feed production; processing of alternative protein sources in the EU (novel foods, insects, etc.); reducing the volume of packaging materials; strengthening the sustainability of food transport; reducing the volume of salt, sugar and fat in foods; introduction of uniform mandatory nutrition labelling for foods on the front packaging of products; introduction of food sustainability labels; indication of the country of origin of certain foods (in particular for milk, dairy products and meat); or fair setting of trade agreements reflecting EU production requirements. In total, the strategy should contain 95 policy-specific proposals, but the specific objectives (for example for pesticide reduction) are not yet known. The Commission does not yet explicitly mention support in the proposals for reducing meat consumption, but expresses its support for the consumption of vegetables, fruit, legumes, cereals and fish (there is no support for meat consumption). The Commission has also not envisaged the introduction of animal welfare labelling, but it already supports FR, ES, and DE.

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.