News




The European Commission has taken temporary derogation to allow the production of any crops on fallow land

On 23/03/2022, the European Commission adopted exceptional temporary measures to support the cultivation of agricultural crops on fallow lands. Based on available data for 2020, farmers at EU level have declared approximately 1.7 to 2.2 million hectares of land under the EFA as fallow and nitrogen-fixing crops. Under the new derogation, it can therefore be assumed that these hectares will be mobilized by farmers in 2022 as land to be used for production. This potential will depend on Member States' decisions. The derogation does not prescribe the specific crops covered, so that any agricultural crop could be grown on fallow land if Member States so decide. Other greening measures remain in force. The derogation is only valid for the application year 2022 and will be based on the farmers' declaration submitted in May / June 2022. The derogation will concern the sowing plan for 2022.
More information is available here.

European Commission activates new crisis measures to support fisheries and aquaculture in the context of the Russian invasion of Ukraine, will provide financial compensation for economic losses and additional costs

On 25/03/2022, the European Commission activated new crisis measures to support the fisheries and aquaculture sector in the context of the Russian invasion of Ukraine. The new measures will provide immediate assistance to fisheries, aquaculture, and seafood operators through financial compensation for economic losses and additional costs. Member States will be able to provide financial compensation to operators for the loss of income due to the current market distortions, as well as storage aid to producer organizations. The new regime will apply retroactively from 24/02/2022, it will last until the end of 2022.
More information is available here.

Program of the March Agriculture and Fisheries Council: Market situation following the Ukraine invasion, the process of approving CAP strategic plans, EU plant protein production, GIs revision, G7 agriculture ministers meeting, revision of the pesticide directive, impact on fisheries of energy price rise, use of bio fertilizers and alternatives to phytosanitary products

The Ministers of Agriculture met in Brussels on 21/03/2022. The main topics discussed included the market situation following the Russian invasion of Ukraine, and the Commission also provided ministers with information on the process of approving the CAP strategic plans. As part of the discussion about the situation on the agri-food market after the Russian invasion of Ukraine, the Council invited the Ukrainian agriculture minister, Roman Leshchenko, to speak via video link about the agricultural situation and the needs prevalent in his country. Ministers discussed measures that could be taken not only to continue to safeguard food supplies in the short term, but also to enhance the EU’s food security and food sovereignty in the medium and long term. The discussion also touched upon the potential impact of the crisis on the food security of non-EU countries. The option of cultivating set-aside land in 2022 was announced as part of these measures.
More information is available here.

The European Commission is considering measures to support the European agricultural sector in the context of the ongoing invasion of Ukraine, the first use of crisis reserves is not excluded

The European Commission is considering introducing measures to support the European agricultural sector in the context of the ongoing invasion of Ukraine. Possible measures include, for example, the use of the CAP crisis reserve (this would be the first time) of €500 million, and a further €1 billion could be allowed for co-financing. If this were to happen, it would be an activation of Article 219 of the CMO Regulation. Exemptions for set-aside land are also being considered to strengthen the area under protein crops. Janusz Wojciechowski, Commissioner for Agriculture and Rural Development said the European Commission was particularly concerned about the impact of the conflict on EU livestock production. In this context, the Commission is also considering activating Article 17 of the CMO Regulation, i.e., the promotion of private storage for pig meat. Given the shortage of feed in some EU countries, the Commission is also considering extending the requirement for member states to monitor monthly data on private stocks of basic commodities (food and feed). According to ING representative Thijs Geijer, the conflict in Ukraine will affect the entire food chain in the European Union and in third countries. Trade operations and flows will be disrupted, commodity and energy prices will rise, and economic forecasts will worsen in many agri - food companies, not only in Europe. States importing cereals and oilseeds from Russia and Ukraine will seek alternative markets for purchases, the availability of fertilizers will be limited, which will increase the risk of yields. There are also fears of a further increase in inflation, up to 15%.
More information is available here and here.

Ukraine requests the provision of seeds, fertilizers, pesticides, fuels and agricultural machinery in an effort to maintain key agricultural production in Ukraine

Last week, Ukraine's representatives asked the G7 representatives to provide significant assistance to Ukrainian farmers so that they would be able to cope with the forthcoming sowing campaign. According to Ukrainian minister of agriculture Roman Lešchenko, the Russian invasion threatened Ukraine's 2022 sowing season, and thus Ukraine's ability to maintain key exports of sunflower oil, wheat, and other cereals. The Ukrainian ministry of agriculture has asked EU member states for seeds, fertilizers, pesticides, fuels, agricultural machinery, and logistical support. In addition, Ukraine's largest food producers are asking the European Commission for support through direct financing or interest-free loans. According to the Ukrainian Trade and Business Association, Ukrainian farmers are struggling to survive, both because all export routes are closed and because they are currently providing food to the Ukrainian population and the army for free. According to the Association, direct financing or interest-free loans from the Commission would help farmers keep their businesses running.