WIREDGOV

The future development of the EU's many agricultural regions could be at risk if the proposed reforms of the Common Agricultural Policy do not redress the serious imbalances in the current system and ensure continued support for the many small and medium-sized farmers and producers who make up the majority of the EU's agricultural sector. This was the warning from local and regional representatives on Thursday following the adoption of three opinions at the Committee of the Regions' plenary session in Brussels.

Agriculture is a key element in the economies of many of Europe's regions, and the CAP is a lifeline for the 30 million people who work in the farming sector across the EU. But according to Luis Durnwalder, governor of the autonomous province of Bolzano (IT/EPP) and CoR rapporteur on the CAP towards 2020, the persistent imbalances in the way the CAP supports the farming sector – based on historical payments – must be eliminated in the reform in order to ensure that the CAP provides fairer and more targeted support, in particular for smaller businesses or those that face particular geographical handicaps.

"Direct payments must continue to be the cornerstone for stabilising farmers' incomes in return for the delivery of public goods and as compensation for the EU's higher production standards. But the historical reference periods that are still in use for many payments are distorting the market, continuing to favour bigger farms over smaller, needier ones. It is vital that a more equitable system is put in place."

Durnwalder's opinion also reiterates the CoR's call for a more coherent approach to the CAP, in particular with a clearer definition of the role of rural development policy and its compatibility with cohesion policy. "The second pillar of the CAP, focused on rural development, is an acknowledgement that today's farmers do much more than grow food – from promoting tourism to tackling climate change. The farming sector can contribute significantly to the Europe 2020 goals for smart, green, sustainable growth, but only if there is a more effective use of second pillar funding and a better understanding of other support measures such as cohesion funds."

The need for more support for smaller farmers or those from less-favoured areas was also underlined in the opinion of René Souchon, President of the Auvergne regional council (FR/PES) on agricultural quality schemes such as protected designations of origin (PDOs). "Europe has a long tradition of producing high-quality food products, many of which are unique to their region. The EU has recognised the significant advantage that this can bring to producers, many of whom are small or medium-sized companies operating in difficult geographic conditions. There is still much that can be done to exploit the added value they bring, for example through the creation of new definitions such as "mountain agriculture product".Local food systems are key drivers of many regional and local economies, and it is important that they are supported."

The opportunities for European producers on the global stage was also the focus of the opinion of Emilia Müller, Minister for Federal and European Affairs of the Free State of Bavaria (DE/EPP) on the so-called 'milk package'. "The liberalisation of the milk market and the proposed phasing out of quotas by 2015 will undoubtedly lead to greater price volatility, putting many small and medium-sized producers under threat. But it will also present a raft of new opportunities for European producers to exploit increased demand. The important thing is to ensure that these smaller producers - who in many dairy farming regions make up the majority of the local economy – are not simply left to fend for themselves after liberalisation, and that a range of new instruments are put into place to stabilise the milk market and to help farmers to be competitive in a global market."

Notes to editors:

The three opinions adopted at the CoR's May plenary complement and enhance the Committee's previous work on agriculture and CAP reform, notably the outlook opinion on local food systems requested by Agriculture Commissioner Dacian Cioloş and drafted by former CoR member Lenie Dwarshuis and the opinion on the future of the CAP, also drafted by René Souchon, many of whose suggestions found their way into the final CAP reform proposals.

Visit the CoR's website: www.cor.europa.eu

The Committee of the Regions

The Committee of the Regions is the EU's assembly of regional and local representatives. The mission of its 344 members from all 27 EU Member States is to involve regional and local authorities and the communities they represent in the EU's decision-making process and to inform them about EU policies. The European Commission, the European Parliament and the Council are obliged to consult the Committee in policy areas affecting regions and cities. It can appeal to the EU Court of Justice if its rights are infringed or it believes that an EU law violates the subsidiarity principle or fails to respect regional or local powers.

For more information, please contact:

Chris Jones

Tel. +32 (0)2 546 8751

christopher.jones@cor.europa.eu

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