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Marek Sawicki<br />

Minister of Agriculture<br />

and Rural Development<br />

Ladies and Gentlemen!<br />

The most important event at the beginning<br />

of autumn was presentation by the European<br />

Commission of the so-called legislative package<br />

regarding changes in the Common Agricultural<br />

Policy after 2013. After the years of discussion,<br />

the time has come to give a first concrete expression<br />

of a future solution.<br />

Unfortunately, the proposals are a disappointment.<br />

I expected, not without reason, an essential<br />

reform of the CAP. Taking into account the present<br />

form of this one of the oldest EU policies, I<br />

expected it to turn into a policy which is developmental<br />

and competitive when compared to<br />

the agriculture of the non-European countries.<br />

This should be a policy which would be able to<br />

respond to growing European and global food<br />

needs over the next decades. And it turned out<br />

that the presented proposals had been subject<br />

more to the rule of maintaining budget<br />

transfers to the Member States than to actual<br />

change in the agricultural policy. Moreover, they<br />

do not include financing new tasks required by<br />

the CAP after its review in 2008.<br />

In particular, I would like to underline<br />

the issue of simplification. Eventually,<br />

all Member States unanimously<br />

obliged the EC to develop the CAP proposals<br />

which would be simple, clear to<br />

beneficiaries and taxpayers, yet these<br />

proposals are very complicated.<br />

They head towards further growth in bureaucracy<br />

and introduce many new elements to<br />

the payments, such as: a necessity to cultivate<br />

three types of crops on a holding – at least 5%<br />

of the area and no more than 70% of the area<br />

each; payment for active farmers only – direct<br />

payments must account for more than 5% of<br />

income when compared to that of the nonagricultural<br />

activity or the minimum activity<br />

determined by the Member State is conducted<br />

on agricultural land forming the holding, upper<br />

payment limits (so-called capping), direct payments<br />

higher for young farmers and an obligation<br />

of greening 30% of the national envelope.<br />

Another disappointment is the fact<br />

that the minor financial adjustments<br />

are not worth much when compared to<br />

the maintained national envelope for<br />

payments which is based on historical<br />

parameters.<br />

The reference yield of cereals or oilseed crops<br />

set 20 years ago and the population of meat<br />

beef x EUR 200 still determine the national<br />

envelopes for direct payments in the Member<br />

States. Maintenance of such financial envelopes<br />

and then a percentage calculation of<br />

compensations for greening (30% of the envelope)<br />

or the young farmer (up to 2% of the envelope),<br />

LFAs (up to 5% of the envelope) results in<br />

an increasing inequality among the countries.<br />

The states with small envelopes, e.g. new Member<br />

States, including the Baltic states, will be<br />

unable to compensate, in a proper way, farmers<br />

for compulsory requirements imposed as part<br />

of greening the CAP. Similarly, it will be difficult<br />

to disburse identical payments to young farmers<br />

in the EU from a small national envelope for<br />

direct payments. There are no proposals guaranteeing<br />

the complete leveling of direct payments<br />

across the EU. By the end of 2019, such<br />

4<br />

Autumn 2011

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