The Common Agricultural Policy (CAP) affects every farmer in Europe with farmers relying on CAP for almost 50% of their farm income.

The European Commissioner for Agriculture Phil Hogan will outline his proposals for the next CAP in Brussels today, with the proposals focussed on limiting CAP payments, the environment and young farmers.

Limiting CAP

A long-standing complaint among many people about CAP, is that farmers with the most land receive the most money, with 20% of farmers in Europe receiving 80% of the payments.

In an exclusive interview with the Irish Farmers Journal, Commissioner Hogan told Phelim O’Neill that: “We have looked at options in relation to figures of €60,000 to €100,000 but it is a matter for the Member States and the EU Parliament to decide what the figure should be and if it should be mandatory or voluntary.”

Many farmers will hope that their member states avail of the flexibility permitted by their governments and apply a limit on individual CAP payments.

Proposals to limit CAP payments include -

  • Compulsory capping of direct payments taking into account labour to avoid negative effects on jobs
  • Degressive payments could be also be introduced, as a way of reducing payments to larger farms
  • More focus on redistributing payments to target more payments to small to medium sized farms
  • Ensure support is only given to genuine farmers who are actively farming in order to earn a living
  • Environment

    The next CAP budget is likely to be the most environmentally minded in the history of the EU.

    But in the interest of simplifying farm paperwork and achieving increased environment protection, Commissioner Hogan will propose that the the current three distinct policy instruments – cross compliance, green direct payments and voluntary agri-environmental and climate measures will be replaced, and amalgamated into one integrated payment.

    Young farmers

    There will also be a drive to attract more young farmers into farming, by ensuring that top-up payment for new entrants into farming remains in place.

    The Commissioner’s proposals also outline a need to recognise the generational aspect of farming and incentivise older farmers to hand over farms to young farmers.

    In this aspect, it may be likely that something similar to the Early Retirement Scheme, that was in place a number of years ago may be reintroduced.

    Read more

    CAP 2020 proposals will be launched today

    Brexit divorce payment reached

    Current CAP is inefficient and environmentally harmful - Gove