CIOLOS: THE OBJECTIVES OF THE 1962 CAP ARE STILL VALID. GREENING EXPECTED TO BOOST EMPLOYMENT IN AGRICULTURE.

 

Interview with the European Commissioner for Agriculture, Dacian Cioloş, for Fieragricola  

 

And as regards commodity prices, the European Union envisages that prices will remain stable in the short term in 2012, while in the long term demand will grow more quickly than product availability. The trend, therefore, will probably involve higher prices compared to average.

 

Verona, 27 January 2012.   The role of the CAP 50 years after the launch of the Common Agricultural Policy, the relationship between the CAP and the US Farm Bill, the difficulty of a common tax system for EU member states and the opportunities offered by greening as regards employment in agriculture.

In an interview the Fieragricola–VeronaFiere Press Office, the European Commissioner for Agriculture and Rural development, Dacian Cioloş, talked about the proposed post-2013 CAP reform.

Fieragricola is the most important Italian event dedicated agriculture, scheduled in Verona 2-5 February (www.fieragricola.it). And precisely CAP reform will be the central them of the inaugural convention (Thursday 2 February, 11.00 am, Verdi Auditorium), attended – among others – by the Director General of the Agriculture Commission, José Manuel Silva Rodrìguez, and the Italian Minister for Agricultural Policies, Mario Catania.

 

Here is the interview.

 

Commissioner Cioloş, in 1962 the objectives of the Common Agricultural Policy (CAP) were: increase production, improve living conditions of the rural population, ensure market stability, ensure food safety and accessible prices for consumers. Fifty years later, which of these objectives have been achieved?

"They have all been achieved but most of them will also still be important in the future. In fact, we must make an effort towards better resource management in a sustainable context.

The CAP has played an important role in supporting and driving the development of a European project. For example, most families in 1962 spent 30% of their income on food. Now, food expenditure by families has fallen to about 15%. Inasmuch, the CAP of the future must look forwards and adapt itself to the new challenges awaiting us."

 

The US Government will debate the Farm Bill next February. In your opinion, should the CAP also take what happens in the United States into account?

"We must pay close attention to the outcome of the Farm Bill but the priorities of the CAP are linked with European production and support for systems that have become detached from production, rather that aspects associated with exports. Consequently, the relationship between the Farm Bill and the CAP will be less significant than in the past."

 

Recently, the US Department of Agriculture announced that its envisages 100 thousand new young agriculturists (aged 20-30 years) over the next few years. What are the forecasts for the European Union?

"It is difficult to make precise forecasts about how the field will develop over the next few years. Yet it clear that Europe must do much more to encourage young agriculturists to stay in the sector. This is because only 7% of European agriculturists is currently under-35 years, while two thirds are above 55 years old. It was in this context that we dedicated closer attention to young people in the proposed CAP reform. And, especially, we envisaged measures to facilitate start-up stages in financial terms."

 

Agriculture and competitiveness. Commissioner Cioloş, do you feel that member states of the European Union should have a common fiscal system so that agriculture can get going from the same production costs?

"This is an extremely complex question. There will be always differences between States and regions in the EU as regards costs of work, social security costs and other production aspects. In fiscal terms, we are seeking to achieve better coordination between member states but certainly taxes and tariffs will not be harmonised between EU countries."

 

Market and prices. Recently, the new Director General of the FAO, José Graziano da Silva, announced a likely downturn in 2012 of prices for the main agricultural commodities. What does the EU Agriculture and Rural Development Commission assume for 2012?

"We expect that prices will be stable in the short term while, in the longer term, demand will grow more quickly than the availability of raw materials. So the trend will probably be towards higher than average prices."

 

Greening, as proposed by the EU Agriculture Commission, is not very popular among agriculturists. As regards Italian agriculture, how - for example - do you think greening could be applied to Montalcino? Do you not think there may be negative repercussions on profitability?

"Firstly, greening is quite different from set aside, which was introduced by the MacSharry reform in 1992 in order to reduce production. Now, we need more and safer food. At the same time, we must protect the environment and produce in a sustainable manner. If applied to all agriculturists, greening could have a massive effect throughout the EU."

 

Sub-contractors contribute to an agriculture increasingly focusing on outsourcing: do you think that they should have access to the CAP finance envisaged by the Second Pillars?

"All aspects of our future rural development will be discussed during CAP reform negotiations. Yet I believe that sub-contractors may have the requisites for access to investments, agro-environmental plans and, naturally, to innovative projects. It will depend on their qualification and how rural development programmes will be implemented."

 

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