Evidence taken before Sub-committee D (Environment and Agriculture)

The 2003 reform of the Common Agricultural Policy marked the culmination of a gradual reorientation of EU farm subsidies from product support to direct income support. A mid-term "Health Check" of this reform is now underway, exploring what further adjustments may be required for the period 2009 to 2013. The Commission's proposals for short-term adjustments to the CAP merit broad support. The Committee is not convinced of the long-term justification for maintaining direct subsidy payments in their present form, and advocates a phased reduction in direct payments over the course of the next financial period beginning in 2014. A significant proportion of the funds released should remain earmarked for the CAP, but be spent on the rural development element of the policy rather than on farm subsidies. The report also addresses the challenges and opportunities that lie ahead for the EU agriculture industry. The sector is a significant contributor to climate change, but also vulnerable to its effects. Climate change may present a business opportunity for the industry, which is uniquely placed to deliver environmental services. Soaring global demand for many agricultural commodities has allowed some sectors of the European farming industry to prosper, while others are grappling with rising input prices and stagnant or falling output prices. Were supply shortages to ensue in future, the Committee expects that food scarcity would be a function of income rather than of production capacity. Those most at risk are consumers on low incomes in the developing world. Further trade liberalisation in the agriculture sector is supported, but if direct payments are withdrawn and import tariffs reduced-as the UK Government advocates-then the production standards that EU producers of agricultural goods are obliged to meet should be re-examined.

This publication contains oral and written evidence taken by the European Union Committee (Sub-Committee D on the Environment and Agriculture) for its inquiry into the proposed changes to the financing of the Common Agricultural Policy (CAP) and the future of European agricultural and rural policy. The Committee's report is available separately (HLP 7-I, session 2005-06, ISBN 0104006722).

After five years of debates, consultations and negotiations, the European institutions reached an agreement in 2013 on the Common Agricultural Policy (CAP) for the 2014-2020 period. The outcome has major implications for the EU’s budget and farmers’ incomes, but also for Europe’s environment, its contribution to global climate change and to food security in the EU and in the world. It was decided to spend more than €400 billion during the rest of the decade on the CAP. The official claims are that the new CAP will take better account of society's expectations and lead to far-reaching changes by making subsidies fairer and ‘greener’ and making the CAP more efficient. It is also asserted that the CAP will play a key part in achieving the overall objective of promoting smart, sustainable and inclusive growth. However, there is significant scepticism about these claims and disappointment with the outcome of the decision-making, the first in which the European Parliament was involved under the co-decision procedure. In contrast to earlier reforms where more substantive changes were made to the CAP, the factors that induced the policy discussions in 2008-13 and those that influenced the decision-making did not reinforce each other. On the contrary, they sometimes counteracted one another, yielding an ‘imperfect storm’ as it were, resulting in more status quo and fewer changes. This book discusses the outcome of the decision-making and the factors that influenced the policy choices and decisions. It brings together contributions from leading academics from various disciplines and policy-makers, and key participants in the process from the European Commission and the European Parliament.

Additional written evidence is contained in Volume 3, available on the Committee website at www.parliament.uk/efracom

In December 2005 the Government launched a "Vision for the Common Agricultural Policy", which was intended to stimulate debate and show how the Common Agricultural Policy should change in 10-15 years. This report examines the proposals and finds them a lost opportunity. The Government should have directed the debate towards scrapping the existing CAP and replacing it with a Rural Policy for the European Union. There should thus be a new Vision document, launched in a more subtle way so that allies for reform can be enlisted. The credibility of the document depends on the Government providing full and detailed evaluation of the impact of proposals on biodiversity, the environment, markets for agricultural goods and individual farm enterprises. This should be done by mid 2008. The long-term justification of the expenditure of taxpayers' money is the provision of public benefit. These public goods should be measurable and capable of evaluation.

Following an introductory discussion of the Treaty provisions on agriculture, this illuminating work examines the four regulations that currently govern the Common Agricultural Policy in the areas of Direct Payments, Rural Development, Finance, and the Common Organisation of the markets and considers their interpretation by the European Courts. It concludes with an astute assessment of the proposals for further reform, which will give Member States greater discretion in fine-tuning the principles of the policy established at European level to the particular characteristics of their agricultural sector.

Policies for the Future of Farming and Food in the European Union applies the OECD Productivity, Sustainability and Resilience (PSR) analytical framework along with the latest data from the OECD Agri-Environmental Indicators to benchmark the sustainable productivity performance of the EU’s agricultural sector and to identify the main challenges ahead.

European Monographs Series, Volume 9 This second and much-revised edition of the pre-eminent work on European Union (EU) agricultural law emphasises the sweeping changes that have led to the gradual expansion of the common agricultural policy to encompass the food chain as a whole. Although the new edition’s purpose and methodology remain the same, the author presents a completely new overview of the field as it now exists, including the effects of the latest reform measures up to 2021 and their implications for the future. Imparting in-depth awareness of the multifunctional character of agriculture today – its importance for environmental protection, preservation of biodiversity, public health, mitigation of climate change, and rural development, as well as its international obligations – the book provides matchless insight and clarifications on such critical legal details as the following: analysis of the Green Deal, the Farm to Fork Strategy, and the Biodiversity Strategy for 2030; extensive treatment of the TFEU provisions on agriculture and the impact of international legal instruments; clear and easily accessible treatment of the legislation on market and price policy, competition, and the agri-food chain; thorough analysis of administrative law aspects, in particular, the rights and obligations of operators in the framework of numerous subsidy arrangements and related topics such as sanctions and force majeure; and in-depth treatment of the importance of the general principles of EU law for legal protection. Given that about one-third of the EU’s budget is spent on agriculture – and that European legislation on agriculture is voluminous and complicated and case law is abundant – this well-organised and lucid exposition will be of immeasurable value to any practitioner asked to deal with a case involving agriculture anywhere in the EU. Academics aware of the growing intricacy of the field will welcome the author’s reflections on the meaning and significance of EU agricultural law.

Agriculture has been an enduring human tradition key to survival and civilization. However, after the advent of industrialization and agricultural growth, the industry has been met with several challenges including pollution, land use, and food insecurity. With the agricultural industry contributing to pollution and emissions, many have found it imperative to investigate the causes and seek out solutions. The Research Anthology on Strategies for Achieving Agricultural Sustainability discusses the issues that the agricultural industry currently faces and the technological opportunities that can be explored to help protect and predict crop growth and achieve more resilient agricultural processes. It analyzes the impact of agricultural pollution and food insecurity on a global scale, but also proposes solutions to promote agricultural sustainability. Covering topics such as bio-farming, smart farming, and population growth, this book is an indispensable resource for government officials, agricultural scientists, farmers, students and professors of higher education, activist groups, researchers, and academicians.