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European Parliament approves the new CAP

23 November 2021 - Jurphaas Lugtenburg

Today (Tuesday 23 November) the European Parliament voted by a large majority in favor of the new Common Agricultural Policy (CAP). Agriculture Commissioner Janusz Wojciechowski calls this CAP 'the biggest reform of European agricultural policy in thirty years'.

The approval comes as no surprise. After three years of negotiations and a series of delays, the new CAP is now on track to be introduced on January 1, 2023. In the negotiations, parliament has pushed for the anchoring of the biodiversity goals, support for small and young farmers, a crisis reserve and measures when labor rules are violated. This will be announced by Parliament in an official response.

crisis fund
As a result, for example, at least 25% of direct payments must be spent on environmental and climate measures. The parliamentarians also stipulated that at least 10% of direct payments should go to small and medium-sized farmers and 3% of the CAP should be used for young farmers. There will also be an annual budget of €450 million for a crisis fund with which farmers can be directly supported in the event of price or market instability.   

Critical Sounds
In the debate prior to the vote, several MPs voiced some criticism of the plans. Green parliamentarians in particular believe that the CAP does not go far enough in terms of sustainability and achieving the climate objectives. They call the cap adopted today more of the current cap and only coated with a thin green layer.

Other MPs called the proposal a good compromise. So warned Chris MacManus to 'not let perfection become the enemy of good'. This was in line with increased reactions from proponents of the CAP plan. "It's not perfect, but the alternative - tune the plan and start over - is much worse," was the gist of the speeches of many proponents.

Important reform
"It is good that this CAP agreement is supported by plenary", CDA MEP Annie Schreijer-Pierik said in a message. "This result is a compromise and at the same time perhaps the most important reform since 1992. It is essential that the CAP after 2023 continues to guarantee the maintenance of family and family farms, young farmers and regional food security. This agreement will also provide more money for young farmers and business successors"

Member of the European Parliament Jan Huitema (VVD) says in a message that he is pleased that for the first time in the history of European agricultural policy, part of the greening is not controlled by generic measures from Brussels. According to Huitema, the goal has become more leading. "It is a good first step, but generic greening measures are still demanded and devised from behind a desk in Brussels. They demand a lot from the farmer, and the question is whether they have the desired greening effect in practice."

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Jurphaas Lugtenburg

He is a market specialist in grains and other agricultural commodities at DCA Market Intelligence. He also focuses on onions, potatoes, and roughage. Jurphaas also runs an arable farm in Voorne-Putten (South Holland).

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