Why national co-financing of CAP Pillar 1 payments is needed in the MFF

There are few things that unite Agriculture Ministers more than their rejection of the idea of national co-financing of CAP Pillar 1 (P1) spending. In their first public discussion of the Commission’s November 2017 Communication of the future of the CAP post 2020 at the AGRIFISH Council meeting on 29 January, various agriculture Ministers, including France and Poland, explicitly made clear their opposition to national co-financing (as has Spain as reported here).

In early February, the Commission circulated a Communication ahead of the forthcoming European Council meeting on 23 February outlining the implications of different choices with respect to EU expenditure and financing in the forthcoming Multiannual Financial Framework (MFF). In his press conference at the end of the AGRIFISH Council meeting on 19 February, Commissioner Hogan explicitly drew attention, in a manner indicating his approval, to the fact that there was no mention of national co-financing of CAP P1 payments in this document, as had been the case in the previous Commission Reflection Paper of the Future of EU Finances.… Read the rest

Brakes removed from voluntary coupled support

I have previously written about the provisions for voluntary coupled support (VCS) in the 2013 CAP reform package in this blog post in 2015 entitled “Two steps forward, one step back: coupled payments in the CAP”. That post gives a historical overview of the gradual phasing out of coupled payments during the 2000s and the reversal of this process in the 2013 reform. In the recently-agreed Omnibus Agricultural Provisions Regulation (EU) 2017/2393, a significant relaxation of the conditions that Member States must meet in gaining approval for their VCS schemes was introduced. The negotiating history of this amendment is particularly opaque and sheds an interesting light on the secrecy and non-transparency of the trilogue process in which the Council and European Parliament, as co-legislators, try to reach agreement on legislative proposals.

In this post, I describe the changes introduced and assess their significance.

VCS in the 2013 CAP reform

To recap, the rules governing VCS following the last CAP reform were set down in the Direct Payments Regulation (EU) 1307/2103.… Read the rest

The ANC delimitation controversy continues

Last week it was the turn of farmers in the south-west of France to take to the streets to protest against the introduction of new maps of Areas facing Natural Constraints (ANCs). I have explained the background to this controversy in a previous post , which essentially revolves around how to define ANC category (b) areas which are described in the Rural Development Regulation 1305/2013 as “(b) areas, other than mountain areas, facing significant natural constraints.”

For years the European Court of Auditors criticised Member States for designating these areas (previously referred to as Less Favoured Area (LFA) intermediate areas) without proper documentary evidence. It also concluded that Member States often had very different interpretations of the delimitation criteria which in previous periods included socio-economic as well as bio-physical criteria, thus undermining common conditions of competition within the single market.

Already in the Rural Development Regulation (EC) No 1698/2005 it was agreed in principle that socio-economic criteria would no longer be used to designate intermediate LFA areas and a new definition of these areas was agreed.… Read the rest