'Proposal CAP policy does not go down well'

Nearly €4,4 billion has been reserved for income support for the Netherlands, a decrease of approximately €400 million (spread over 7 years). The fact that large companies receive less is particularly striking Eastern European businesses. However, this measure will mean that small and medium-sized businesses will receive proportionately more. Currently, 20% of farmers in Europe still receive 80% of direct payments.

The funds for rural development are also scaled back: from €100 billion to almost €80 billion. For the Netherlands, the amount would decrease from more than €600 million to €455 million. In addition, member states will have more freedom to determine what the money is used for.

To finance their priorities and actions, Member States will be able to shift up to 15% of their CAP allocations from direct payments through Pillar 1 to rural development through Pillar 2. Direct payments will also take into account labor costs (which per Member State differences). This ensures that there is a fairer distribution of direct payments.

Ecoschemes
In addition, 'eco schemes' will be introduced, with which Member States must encourage farmers to farm in a climate- and environmentally friendly way. Member States must also use at least 2% of their allocations for direct payments to help young farmers set up their businesses.

A total of €2021 billion will be allocated for the new Common Agricultural Policy (CAP), which will apply from 2027 to 365. That is 5% less than in the current budget. The European Parliament has announced a reduction not to be accepted.

Problem for farmers
However, these proposals for the new European agricultural policy are not well received by the CDA. "The reduction in the budget causes major problems for farmers. This undermines the sector and food security of 520 million consumers in the European Union," said MEP Annie Schreijer-Pierik (CDA).

The main problem is that from now on every country will be allowed to use significant parts of farmers' money for other purposes. "In this way we get unacceptable differences between countries. For example, it means that Dutch farmers receive 30% less than their German competitors, which does not benefit competition. That cannot be true. This is the end of the Common Agricultural Policy in the European Union," said Schreijer-Pierik.

The VVD believes that the proposal is still aimed at income support. Jan Huitema (VVD): "The fact that the Commission wants to impose fewer rules and offer more room for national customization is a good thing. Climate and environmental policy must be driven by results. This strengthens the leading position of the Dutch farmer, who is at the forefront in the field of innovation and sustainability."

Young farmers
The NAJK is pleased with the fact that young farmers are being taken into account more than ever. Iris Bouwers, board member at the NAJK: "The proposals focus on attracting new farmers. However, that alone is not sufficient. If we want to increase the percentage of farmers under the age of 35, we will also have to focus on successors from the sector."

It cannot be the case that people from outside the sector can enter the sector thanks to support, but there is less money for business successors in partnerships," says Bouwers. The fact that there is a definition of 'real farmers' in the proposal is also embraced. "Large sums of money ending up on companies that do not produce agricultural products, this must not happen again!"

LTO Netherlands is broadly satisfied with the proposals. However, the advocate is dissatisfied with the fact that the Commission wants to cut the agricultural budget. ''The Dutch land and labor costs are the highest in Europe. Dutch farmers will therefore feel the consequences of a budget cut sooner than their European colleagues."

The policy proposal is here to find.

Photo: Alexandros Michailidis / Shutterstock.com