graphic:link to sustainable food home
CAP Commentary 2011
Latest.
Hope of Rural Development Money

More on CAP, with our suggestions for Reform

'Averaging Out' may benefit the hills but hit arable.

Factoid..

Pillar 1
Farmers now receive a direct subsidies under the Single Payment Scheme. As the Telegraph put it "farmers will be paid a subsidy for owning their land. It is as strange and straightforward as that. They will not have to do anything explicitly "environmental" to get the cash, which will vary from £60 to £100 an acre.

Pillar 2
rules to get all their subsidies. These rules are linked to Statutory Management Requirements SMRs with penalties relating with the amount of subsidy received. These rules require farmers to improve environmental conservation measures, and ensure decent animal welfare requirements.

From Common Agricultural Policy To Sustainable Food Policy..

The CAP budget post 1213 is up for debate now - early 2011. The CAP Budget is £50Bn = 40% EU spend.

EU Commission Blueprint for future CAP (Nov 2010) outlines "outlines 3 options for the future direction of the CAP, in order to address these major challenges – 
1) adjusting most pressing shortcomings in the CAP through gradual changes;
2) making the CAP greener, fairer, more efficient, and more effective (more details) and
3) moving away from income support and market measures and focusing on environmental and climate change objectives.

Carol Spelman SoS DEFRA @ Oxford Conference Jan 2011

Responding to the above, she said: "Although they set out the challenges for the sector they did little to create a dynamic strategy that would usefully contribute to President Barroso’s 2020 vision. So, while I welcome their proposals for further moves towards market orientation and international competitiveness I believe we can be more ambitious....I would therefore like to work with France to seek an end to export bans – one of the most restrictive practices found in the world market."

EU Agricultural Minister Cialos said at the same Conference:
"there was a need to link payments more closely to their twin roles as income support for farmers and recognition of the provision of public goods not remunerated by the market. We must make sure that the support is given on the basis of objective criteria, reflecting what agriculture provides to European citizens, rather than on what farmers have received in the past. This means a small part of Pillar 1 payments will be linked to the delivery of public goods - an incentive for farmers to apply production methods that preserve natural resources, such as crop rotation and
green cover on arable land."  He also said that capping would be introduced at about Eu 300,000 to stop biggest farmers being rewarded (Ministers reject this proposal)

He continued: "Flexibility will be provided through Pillar 2 - designed to help member states support farmers who want to do more to fight climate change and to protect environment and natural resources. Here more emphasis will be put on research and innovation, with potentially a new stream of funding for UK farmers and farmer organisations to put research into practice on farms, and to accelerate technology transfer from laboratory to the field. Cialos lays it on the line

Comments..

Spelman on Cialos: "I’m wary of the proposal to ‘green’ Pillar 1...we want to see Pillar 2 taking a greater share of limited resources. "

SusFood on Cialos: "We welcome your idea to have Objective Criteria. We have thought of some criteria for Pillar 2" that may provide your flexibility. And we are particularly interested when he says 'green cover on arable land'. Is this recognition that herbicides/weedkillers may be contributing a lot to Global Warming?

SusFood on Spelman: "There is a curious - and massive contradiction - in that SoS Spelman bemoans the Russians export ban because it spoils the otherwise perfect globalised market. Yet it is that sort of ban that tightens food supply sending food prices up - which are the way she wants to get out of subsidies. She doesnt recognise the converse of this - the 'classic conundrum' - that if scarcity puts prices up, over production keeps them down. If she thinks that the invisible hand of Adam Smith can wave a magic wand over this and solve the complexities of sustainability and security, she should think again"

Real Farming on Spelman speech

Welsh Rural Affairs Minister believes "all but the basic environmental requirements should be delivered via Pillar 2 rural development funding."

MEPs debate calls for strong farm policy and 'creation of a "targeted global system of food stocks".

Devolved Governments position

Economists and Policymakers discuss the so-called 'Good, Bad and Ugly' aspects of CAP reforms

NFU Cymru welcomes CAP reforms