The EU's council of agricultural ministers has agreed what the next Common Agricultural Policy (CAP) should look like.
Under the chairmanship of Minister for Agriculture Martin Heydon, a deal was brokered on Monday night.
The member states' agreed proposal accepts the scrapping of the CAP’s separate budget and programme.
CAP will now be merged into a single programme, and budget, alongside cohesion, fisheries, migration, security and the social climate fund. Within CAP, the two-pillar structure will go.
The threat to take direct payment supports away from part-time farmers contained in the European Commission’s original paper has been curbed. Instead, there is a stated aim to “improve the distribution of funding, with particular attention to active farmers, young farmers and small farmers”.
The vexed question of defining what an active farmer is has been kicked to touch, with each country now required to come up with its own definition.
There is no mention of taking payments away from pension-aged farmers. Simplification is being catered for by combining mandatory measures with optional ones.
BISS and front-loading
The Basic Income Support for Sustainability (BISS) will be replaced by Degressive Area-Based Income Support (DABIS). The inclusion of the Complementary Redistributive Income Support for Sustainability (CRISS), mandatory under the current CAP, will be optional.
Supports for generational renewal will include mandatory higher DABIS payments for young farmers and access to knowledge, training, advice and relevant support services.
A starter pack for young farmers will be provided, part of each country’s mandatory generational renewal strategy (such a strategy is already in place in Ireland).
In relation to the environment, a proposed “farm stewardship framework” establishes common requirements for receiving support, alongside incentives for farmers who adopt protective practices, such as biodiversity or water quality measures. This sounds like the current ACRES will be merged into the DABIS direct payment scheme.
Risk management
Risk management tools, including insurance protection, will be put in place. Support for mitigation and adaptation measures to help farms prepare for and respond to changing climatic conditions will be provided.
Member states will be able to make crisis payments to farmers affected by natural disasters, adverse climatic events and disease breakdowns, presumably from national coffers. Farm relief services, already in place in Ireland, may receive support through CAP.
The agreed paper acknowledges that the Commission has proposed ringfencing approximately €300bn for CAP, with additional funding “potentially available through national and regional partnership plans”. This means CAP will likely be competing with other EU programmes for the €48bn in unused funds.
The current budget proposal of €293bn only covers what is now being spent on Pillar I direct payments, leading to real fears for the schemes within the second pillar, including TAMS, ACRES and organic supports.
Simplification is being catered for by combining mandatory measures with optional ones.
Reaction
Minister for Agriculture Martin Heydon, who brokered the agreement among ministers of the 27 member states, said: “The Irish presidency has secured unanimous agreement on the council’s position on the future CAP. This is a major milestone on the road to the next CAP.
"This unanimous agreement is the council’s blueprint for a flexible and farmer-focused CAP to support the next generation of European farmers.”
He added that this “important step” was not the end of the CAP process.
“The council’s position will now provide the basis for negotiations with the European Parliament on the final shape of the regulation," he said.
"This regulation includes the ability to support both full-time and part-time farmers, provide a flexible package of supports for generational renewal, including supporting the older generation and deliver a full range of tailored supports,” he added.
