A two-year transition period for the Common Agricultural Policy (CAP) has been pushed through.

The rules of the current CAP will continue in 2021 and 2022.

"It now gives the sector predictability, stability, financial continuity and a clear regulatory framework under which farmers can plan for the upcoming two years. It also provides EU member states with further tools to help tackling the effects of the Covid-19 crisis,” the European Parliament’s Rapporteur Elsi Katainen commented.

The two-year transition period deal would have all the provisions except those relating to the Multi-annual Financial Framework (MFF).

Although countries such as Hungary, Romania and Luxemburg are reportedly keen on the transition period, the European Commission was understood to be less keen on further delays.


The European Commission has requested that some €55.8bn be allocated to the Common Agricultural Policy (CAP) in the 2021 EU budget.

In the draft EU budget for 2021, some €40.8bn is to be allocated to the direct payments and crisis reserve fund – a drop of 8.4% on the same figure in the 2020 budget.

The Commission has said the drop “is mainly linked to the withdrawal of the United Kingdom, and taking into account the significantly lower amount of assigned revenue expected to be available in 2021”.

The remaining €15bn will be assigned to the Rural Development Programme. The Commission will now send the draft budget to the European Parliament and Council to debate and then agree on it. It is expected to be agreed by November.

Negotiations on the overall EU budget for 2021-2027 remain ongoing.

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