News




World Bank Warns of Inadequate Risk Coverage in EU Agriculture

A new World Bank study published on 23 March 2026 warns of increasingly complex and insufficiently covered risks faced by EU agriculture, especially regarding climate events like drought, which is responsible for over half of agricultural losses. Risk management measures remain fragmented and are not fully accessible to all farmers, with smaller farmers often lacking insurance and relying on ad hoc public aid, while larger farms benefit from better access to insurance and investments. The World Bank urges the EU to introduce more predictable, pre-financed instruments such as new income and index insurance options, and recommends lowering entry barriers for smallholders. Improved coordination, enhanced data transparency, and better cooperation between Member States are also emphasized. The European Commission has announced it will use the findings to further develop its agricultural risk management policy.
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Six Central and Eastern European Countries Reject CAP Merger with Cohesion Funds

On 26 March 2026 in Budapest, agriculture ministers from the Czech Republic, Slovakia, Hungary, Poland, Bulgaria, and Romania signed a joint declaration rejecting the European Commission’s proposal to merge the Common Agricultural Policy (CAP) with other spending instruments, including cohesion policy. They warn that such a merger would create competition between policy areas and threaten stable agricultural funding. The countries insist CAP should remain a stand-alone, two-pillar policy with at least the current level of EU funding, and that eco-schemes and climate measures should continue to be fully EU-financed. They also oppose payment capping and restrictions for retired farmers, instead demanding flexibility. Ministers back an expanded Unity Safety Net for risk management and call for transitional rules to be presented by the end of 2026 to ensure farmers’ support beyond 2027.
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COMAGRI Warns of Impending Crisis Following Severe Milk Price Drops

On 18 March 2026, the European Parliament’s Committee on Agriculture and Rural Development (COMAGRI) addressed the sharp fall in milk prices, with farm-gate prices dropping by about nine euro cents per kilogram in recent months. This is attributed to increased milk production due to favorable conditions in late 2025. Milk collections rose by 5.7% year-on-year in December, while prices fell by roughly 12%. Further pressure is expected during the spring production peak. While the European Commission notes some signs of market stabilization and strong exports, geopolitical risks and high input costs persist. MEPs from different political groups warned of an impending crisis, urging the Commission to consider using the crisis reserve, market intervention, or production reduction to manage oversupply and rising costs. National positions vary; France supports robust regulation and domestic support, while Germany prefers market-driven solutions.
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General Affairs Council Debates Post-2027 Budget as Member States Remain Divided

On 17 March 2026, the General Affairs Council discussed the post-2027 Multiannual Financial Framework (MFF) and the financing of the Common Agricultural Policy (CAP). The talks highlighted major disagreements among Member States regarding the size and flexibility of the budget, as well as the role of national management. While many called for maintaining funding for traditional policies like agriculture, there is growing pressure to address new EU priorities such as defence and competitiveness. Several countries advocated for a stronger role for national governments in budget decisions, resisting any weakening of their influence. The subsequent European Council meeting on 19 March 2026 largely avoided substantive budget discussions, instead focusing on geopolitical developments in Ukraine and the Middle East.

COMAGRI Sets Timetable for Organic Regulation Revision

The European Parliament's Committee on Agriculture and Rural Development (COMAGRI) has established a timeline for revising the EU organic regulation. The process began on 5 March 2026 with the Commission's proposal, and COMAGRI Chair Veronika Vrecionová will announce the next steps on 18 March. MEPs have until 25 March to submit amendments, with translations due by 14 April and committee debate slated for 4 May. Key political and technical negotiations are set for various dates in March, April, May, and June. The COMAGRI vote is scheduled for 14 July, with a final plenary vote in September 2026. Interinstitutional talks between Parliament, Council, and Commission will follow soon after to finalise the regulation.