"Habemus consilium rusticarum"

White smoke eventually emerged from the Brussels CAP negotiations on Tuesday evening last 24 September to indicate that the final elements of the CAP regulations for the period 2014-2020 had been agreed between the Council, Parliament and Commission. The Ciolos reform has been concluded. The outstanding elements concerned those issues related to the CAP which were left in ‘square brackets’ in the June political agreement because they had been included in the European Council’s MFF conclusions in February this year.

For the Parliament it was a matter of principle that issues which would be addressed in the CAP regulations should be negotiated through the co-decision procedure and not decided unilaterally by the Council, even the European Council.… Read the rest

CAP reform implementation consultations begin

The most defining characteristic of the political agreement reached on CAP reform in June 2013 in hindsight may not be the greening of Pillar 1 payments or the move towards greater ‘fairness’ in the CAP as a result of external and internal convergence, but rather the re-nationalisation of some aspects of agricultural policy with the devolution of much greater flexibility to member states in how the new CAP can be implemented.
This flexibility may be seen as a consequence of trying to manage a single CAP in an increasingly heterogeneous agricultural landscape in Europe following successive enlargements to an EU of 28 member countries.… Read the rest

A triumph for the Irish Presidency – a damp squib for CAP reform

Yesterday morning (Wednesday 27 June), in a final trilogue, the Irish Presidency reached a political agreement with the European Parliament negotiating team on remaining outstanding issues on the CAP reform dossiers. In the afternoon the deal was discussed in a relaxed COMAGRI meeting.
Although no formal vote was taken, Paolo de Castro, the COMAGRI chair, concluded that there was broader support among the Parliament’s political groups for the final outcome than there was for the vote on the negotiating mandate in March. The Presidency had secured a more flexible negotiating mandate at the June Agricultural Council meeting earlier in the week, so although there is as yet no formal reaction from agricultural ministers it seems clear this agreement will also be supported by the Council.… Read the rest

The June Agricultural Council issues paper

Last Friday the Presidency circulated an issues paper which sets out its views on the potential landing zones on some of the key issues in the CAP reform negotiations. There are some 22 issues on the list; the paper warns that this list is not comprehensive and that other issues are still under negotiation, underlining the scale of the challenge in reaching a political agreement in the trilogue process over three days this week.
The 22 issues are:

    • Implementing financial discipline to finance the crisis reserve and/or to avoid breaches of the financial sub-ceiling;
    • Active farmer definition;
    • MFF issues including capping and degression;
    • Internal convergence options for basic payments;
    • Observance of greening on land not covered by entitlements;
    • Defining Ecological Focus Areas for the greening payment;
    • Equivalence, baseline and double funding of greening practices;
    • Greening penalty;
    • Treatment of young farmers:
    • The percentage ceiling for coupled payments;
    • Treatment of small farmers;
    • Ending of sugar quotas;
    • Vine planting rights;
    • New definition of areas of natural constraints;
    • Financial provisions in the rural development regulation, including co-financing rates and mandatory minimum spend on agri-environment/climate measures;
    • Obligation on MS to pay interest on late payments;
    • Suspension of monthly payments for failures of key controls;
    • Suspension of monthly payments for non-submission of control statistics;
    • Recovery of undue payments;
    • Harmonisation of payment dates.
Read the rest

The June Agricultural Council

All roads lead to Luxembourg this weekend where agricultural Ministers begin to gather on Sunday for individual trilaterals with the Irish Presidency and the Commission prior to the formal opening of the Agricultural Council meeting on Monday next. The schedule for the following few days is set out in this post from Alistair Driver of the Farmers Guardian.
Monday morning is set aside for a formal Council discussion with a view to revising the Presidency’s mandate for the trilogue negotiations with the Parliament. Parallel trilogues with the Parliament’s negotiating team on the four regulations will then take place on Monday afternoon.… Read the rest

Where stand the CAP reform negotiations?

Last week I participated in a session on the state of the CAP reform negotiations at the annual conference of the Italian Association of Agricultural and Applied Economics in Parma.
There were four presentations in the session, including an overview of the state of play in the negotiations by Giovanni Anania; a review of the CAP greening proposals by Jean-Christophe Bureau; an examination of the proposed changes in the rural development regulation by Francesco Mantino; and a discussion of how co-decision is influencing the outcome of these negotiations by myself.
Because the presentations might be of more general interest, with the permission of the presenters I plan to link to them over the next few days.… Read the rest

A race against time

Two important meetings as part of the process of agreeing a CAP reform took place earlier this week – the Agricultural Council on Monday and the Ecofin Council on Tuesday. The Agricultural Council meeting was notable for the success of the Irish Presidency in getting agreement on a compromise mandate on the Common Fisheries Policy reform after 36 hours of negotiations which it is hoped will be the basis for a political agreement with the Parliament before the end of the Irish Presidency in June.
We are not yet at the same point with the CAP reform dossier (see this recent update to the Irish Parliament by Simon Coveney, the Irish Minister representing the Council in the trilogue negotiations and this view from Mairead McGuinness, one of the shadow rapporteurs in the European Parliament).… Read the rest

A short bibliography on CAP greening

As this was a relatively quiet week for news on CAP reform, I thought it might be useful to gather together in one place some references to the debate that has taken place on CAP greening since the publication of the Commission’s proposals in October 2011. This remains one of the knottiest issues to resolve in the CAP trilogues. These papers provide a guide to the general issues in this debate. There is also an emerging literature which attempts to estimate the impact for particular regions and farming systems of implementing the greening measures which I do not cover here. The papers are presented in rough chronological order and include a number of my own contributions so there is a certain amount of repetition.… Read the rest

The significance of Rule 70 for CAP reform negotiations

To understand the possible timing of the CAP reform negotiations it is crucial to understand the new decision-making process under the Lisbon Treaty involving both the Parliament and the Council. In a recent post, I set out my understanding of the process, based on the assumption shared by most commentators (for example, see this Brussels briefing) that the Parliament would vote in plenary on its position on CAP reform in March, thus making a first reading agreement impossible.
I now think another scenario is more likely, namely, that COMAGRI will appoint its formal trilogue negotiating team at its next meeting in a week’s time based on the mandate arising from the voting on the compromise amendments.… Read the rest

Forum on CAP reform

I did not get time before Christmas to draw attention to the Forum on the Common Agricultural Policy after 2013, a series of articles on the CAP reform process published in the Nov/Dec issue of Intereconomics. This is a review of European economic policy published jointly by the Centre for European Policy Studies and the Leibniz Information Centre for Economics. I contributed one of the articles, and the contributions of my colleagues are uniformly excellent even if they take different views on some of the main issues.
The full list of contents is as follows:
Jean-Christophe Bureau Where is the Common Agricultural Policy heading?Read the rest