Negotiations on future shape of CAP ‘crucial for Irish agriculture’

THE outcome of upcoming negotiations on the future of the Common Agricultural Policy after 2013 will be pivotal in determining the future prospects for the development of Irish agriculture up to 2020.

That’s the view of Agriculture, Fisheries and Food Minister Brendan Smith as discussions on the new CAP are set to intensify during this year.

He said the discussions are at a very early stage, but it is already clear there will be significant change.

Mr Smith said the formal communication from the European Commission is not expected until the middle of next year, but the current informal phase of negotiations is extremely important.

“This is the time when ideas are exchanged and the main policy options are formulated. Ireland is deeply engaged in these discussions at all levels,” he said. Mr Smith said the European parliament will have a new and enhanced role in the negotiations due to the introduction of co-decision with the Council of Ministers.

He welcomed the strong engagement of Irish MEPs in the process and the major interest displayed by the Joint Oireachtas Committee on Agriculture, whose input he undertook to facilitate. Mr Smith said he has also launched a consultation exercise to garner the views of Irish interest groups on the future shape of the CAP.

He urged all stakeholders to engage collectively with their opposite numbers in the EU to ensure there is a unified message from Ireland that it wants a strong and well-resourced CAP after 2013. Mr Smith said there would be intense competition for funds from the EU budget in the coming period and Ireland needed to ensure that agriculture, and particularly Irish agriculture, received an adequate allocation. He said the CAP should retain its current structure with two “pillars” – the single farm payments and market management measures in one and the rural development schemes in the other. “I believe we must retain a core element of income support for farmers through our pillar one measures such as the single farm payment and I will fight hard for this.”

However, Mr Smith said policies cannot remain static. For example, there is huge pressure for changes to be made to the historic basis used to calculate single farm payments. “I believe we owe it to ourselves to at least examine the alternatives,” he said.

In relation to the rural development measures in pillar two of the CAP, he said Ireland has submitted a revised Rural Development Programme (RDP) to the European Commission.

This revised programme consists mainly of new targeted investment supports to promote competitive agriculture and an agri-environment measure aimed at delivering real, measurable benefits which can be enjoyed by everyone in our society. “I believe our revised RDP points the way forward for rural development, with its clear focus on competitiveness and sustainability.

“There has been much talk in the initial discussions about an increased emphasis on the delivery of public goods by farmers in return for payments.

“We should not shy away from this issue, but rather seek to shape this agenda in a way that suits Irish agriculture, as we are doing in our new RDP,” he said. Mr Smith said ultimately a CAP is needed that is based on the twin goals of competitiveness and sustainability, is properly funded and is simple to justify, understand and operate.