Earlier this week I was invited to take part in a round table discussion, as part of a major conference on the future of the CAP, organised by Birdlife/SEO and WWF. The conference began with a joint presentation by SEO and WWF of an interesting new proposal for CAP reform in Spain. The proposal envisages an end to Pillar 1 by 2019 and the transfer of all CAP funds to an environmental and rural policy oriented around the principle of ‘public money for public goods’, by which is meant those environmental ‘services’ provided by farmers, particularly in areas of high nature value (HNV) farming such as upland pastures and native grasslands.
Jamie Oliveoil explains the politics of the CAP
I don’t much agree with the Taxpayer Alliance, a right-wing campaign group based in London. The TA thinks taxes are theft and believes governments are rife with waste, fraud and abuse. I think paying taxes is patriotic and believe most public servants are well motivated and do a good job. The TA uses the CAP as a stick to beat the EU. I think the CAP gives the EU a bad name and want to see it reformed because I am a strong supporter of the EU.
Our differences aside, I’ll admit that TA has produced an amusing viral video to publicise its new report on the economics and the politics of the CAP, featuring a spoof of Jamie Oliver, the TV chef. Be warned, the report itself doesn’t have much greater analytical depth than the video. But that shouldn’t be much of a surprise as it was written by a former researcher to loony tunes MEP and YouTube sensation Daniel Hannan who, only a few years ago, was waxing lyrical about the economic miracle of, erm, Iceland.… Read the rest
Fischer Boel golden goodbye: "Because I'm worth it"
The anti-EU agitprop outfit Open Europe has been huffing and puffing over the golden goodbyes that await those European Commissioners who will be put out to pasture when the current Commission’s five year mandate comes to an end later this year. Among their number is thought to be our own Agriculture Commissioner, Mariann Fischer Boel who, after five years of service in Brussels stands to receive approximately 270,000 euros of ‘transition money’ before her 43,000 euro a year pension kicks in.
The 66-year old Dane, who sports a trademark shock of snow white hair, has invoked the spirit of Hollywood actress Jennifer Aniston in the L’Oréal commercials, insisting the payout is entirely justifiable “because I’m worth it”. It’s just as well that the Commission scheme is so generous since Fischer Boel, who together with her husband owns several large livestock farms, is too old to qualify for the EU-funded early retirement scheme for farmers, which pays out a maximum of €18,000 a year to farmers who quit before turning 55.… Read the rest
Fischer Boel golden goodbye: “Because I’m worth it”
The anti-EU agitprop outfit Open Europe has been huffing and puffing over the golden goodbyes that await those European Commissioners who will be put out to pasture when the current Commission’s five year mandate comes to an end later this year. Among their number is thought to be our own Agriculture Commissioner, Mariann Fischer Boel who, after five years of service in Brussels stands to receive approximately 270,000 euros of ‘transition money’ before her 43,000 euro a year pension kicks in.
The 66-year old Dane, who sports a trademark shock of snow white hair, has invoked the spirit of Hollywood actress Jennifer Aniston in the L’Oréal commercials, insisting the payout is entirely justifiable “because I’m worth it”. It’s just as well that the Commission scheme is so generous since Fischer Boel, who together with her husband owns several large livestock farms, is too old to qualify for the EU-funded early retirement scheme for farmers, which pays out a maximum of €18,000 a year to farmers who quit before turning 55.… Read the rest
Why CAP reform happened
The latest Journal of Common Market Studies (vol.47, 2, March 2009) contains an important article exploring the determinants of CAP reform. It is written by Alan Swinbank, a distinguished agricultural economist and a leading proponent of reform and Arlindo Cunha who was chair of the Agriculture Council in 1992 at the time of the MacSharry reform.
Pressure building on Commission to postpone milk quota reform
If there was a jewel in the crown of the CAP health check deal agreed last November it was probably the decision to phase out milk quota between now and 2015, with a one per cent increase in quota each year. But this prize is now under threat as several powerful EU member states led by Germany have argued at today’s Agriculture Council meeting that the reform should be postponed.
Farming and the depression
Is it too early to call it a depression? Difficult to tell, but all the news this month is pointing in that direction. So it is timely that over at the CAP2020 blog, Martin Farmer has written a lengthy post on the impact of the global economic slowdown on farming. In many respects, it’s a case of swings and roundabouts. Commodity prices are down, but so too are key input prices like oil. Consumers have less money to spend, but they still need to eat. Recent spikes in profits provide new money for investment, but bank loans have never been more costly. Governments have less revenue for costly handouts to farmers, but there is talk of a new wave of trade protectionism.
UK Tories on a crooked path to protectionism?
I realise that opposition politicians have to say all things to all persons and jump on any bandgwagon that’s going on, but I must say that I found an interview with Nick Herbert, the shadow Defra secretary, in Farmers Weekly a bit disappointing. It remains to be seen whether the MP for Arundel and South Downs will be Defra secretary in David Cameron’s Conservative government, or even whether Defra will remain in his present form. However, if his thinking is typical of that in the shadow cabinet on agriculture and food matters, it’s a bit worrying. It looks as if we could be lurching back towards productionism.
Spending money to pay it out
One of the many drawbacks of the CAP is that it costs a lot of money to run which reduces the sums that reach the supposed beneficiaries. It has now emerged in response to a parliamentary question that each claim for the Single Farm Payment (SFP), irrespective of its value costs £742 to process. Junior Defra minister Jane Kennedy said that the figure was obtained by considering the direct processing costs and the total number of claims received.
Vision for the future of the CAP
The influential Land Use Policy Group will be launching their vision for the future of the CAP after 2013 in Brussels on March 30th. This will be an important event in the long-term effort to clarify thinking about future policy so that it delivers benefits to the environment and rural communities.
