There is a frightening statistic that 800 farmers exited agriculture daily in the EU from 2010 to 2020.

This equates to a 25% reduction in the number of farmers, or almost three million fewer farmers in just 10 years. A significant percentage of these farms were very small holdings located in the eastern regions of Europe.

The rate at which farmers are exiting the sector has since slowed, but no official figures are available to track the change and the rate of exit remains a big challenge. It is therefore not surprising that generational renewal is a buzzword that features strongly in CAP proposals.

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The European Commission proposals highlight that the average age of a farmer in the EU is now 57, and that only 12% of farmers are under 40.

The Commission lists several entry barriers for young farmers and highlights the following:

  • Access to land remains difficult and costly;
  • Access to credit is limited and complex;
  • Skills and business knowledge are key and need further development;
  • Rural services and infrastructure are often limited;
  • Succession and retirement systems can delay farm transfer.

    • All of these are all notable challenges and are worth their standing in the list. The EU strategy for generational renewal targets that “by 2040 Europe aims to double the share of young and new farmers, ensuring that agriculture remains innovative, competitive and resilient.”

    So how does it propose to influence reaching this target? The CAP proposals have a number of solutions, including the possibility of installation and investment grants, financial instruments and EIB-backed loans to make credit more affordable and accessible, higher co-financing, mentoring and advisory support and favourable tax and legal measures.

    And arguably the greatest incentive to attract young people into farming is a proposal to target the level of funding for generational renewal measures to a minimum of 6% of the CAP budget.

    Incentives only go so far

    These measures will undoubtedly generate interest, but a significant barrier that does not receive enough discussion is that recent CAP measures, proposals and policy changes do little to show farmers that there is a bright future ahead. The proposal to cut the next CAP budget by over 20% rings alarm bells for anyone questioning the direction of travel for agriculture in Europe.

    An increasing percentage of funds being diverted to environmental or public good measures also takes the spotlight off supporting farmers to produce food.

    One of the big objections in the current CAP Strategic Plan was simplification and reduced bureaucracy.

    There are few that would argue that this has been achieved in an Irish context, and it is an area that is not only vital for attracting younger farmers in to the sector – it is also vital in slowing the rate at which farmers are exiting the sector.

    Outside of CAP there is a lack of a long-term roadmap for dairying which provides the greatest prospects for farmers to secure a viable income from full-time farming due to uncertainty regarding the nitrates derogation.

    Young farmers are being asked to invest to meet some of the most exacting standards of production globally, but yet do not know how many cows they can keep in three years’ time.

    Farmers in the EU are obliged to operate to the most stringent production and environmental standards in the world. In return they were supported by a well funded CAP and access to the EU market was protected by tariffs. Recent trade deals have opened this market up to our biggest global competitors and now the latest CAP proposals slash the supports. In short, if the European Commission wants to attract young people in to farming it will require a roadmap for a sustainable future.