The New Common Agricultural Policy from 2014: Ministers give their views
4th February 2011
The Europeans Union’s (EU) publication of the future of the Common Agricultural Policy (CAP) “The CAP towards 2020” suggested that any new regime will retain the established two –pillar approach to financial support for farmers, albeit with some changes. Currently the CAP has two Pillars of payment; Pillar 1 provides direct payments to farmers and market support measures and Pillar 2 supports rural development measures.
Speaking at the Oxford Farming Conference, Caroline Spelman MP has outlined her views on the reform of the CAP stating that it must be fundamentally different. She has stated that Europe should rely less on direct farming subsidies and reward farmers more for their environmental efforts and the other work they do to enhance the countryside. Mrs Spelman has specified that the European Commission’s (EC) plans for CAP reform should be ambitious in its approach and be more reflective of farmers delivering public goods.
Currently under the CAP the Single Payment Scheme provides around £280 million annually in direct payments to Welsh Farmers and Wales’ Rural Affairs Minister Elin Jones has welcomed the clear indication from the EC that direct payments will remain central to CAP from 2014. Ms. Jones has indicated that she believes that there should be no fundamental change in the process of the CAP, which is to provide income support for farmers to sustain food production and carry out sustainable land management practices.
It is evident that there needs to be reform to the CAP to make farming more sustainable and promote international competitiveness. Charis Denham, Associate at Roger Parry & Partners, property experts, comments that “Ministers should promote reform which helps develop a sector which can depend less on public support and enable farmers to depend on the market for their income” but believes that direct payments should remain until there are the correct measures are in place to provide fair returns to producers with no further environmental conditions being placed on Pillar I and Pillar 2 being developed to target rural development and environmental sustainability.
Roger Parry & Partners are able to advise and assist with all areas of subsidies, quotas and entitlements; we are able to effectively deal with any issues which may arise. Our rural practice surveyors have extensive knowledge of all aspects of the Single Payment Scheme and in dealing with the necessary authorities. With many farmers recently receiving their 2010 Single Payment Scheme Entitlement Statements Roger Parry & Partners are now receiving increasing enquiries from both buyers and sellers of entitlements.
For further information or advice please contact one of our rural practice surveyors at any of our three regional offices or visit our website at www.rogerparry.net