The Commission wants to make the CAP more flexible without distorting it
EU agriculture chief Christophe Hansen vowed on Tuesday to defend the structure of the Common Agricultural Policy (CAP), as the European Commission considers a budget reform that could reshape one of the Union's oldest and most important policies.
While the official focus of the informal meeting of agriculture ministers in Warsaw was on generational renewal, the debate quickly shifted to the upcoming reforms of the EU's seven-year budget and the proposed CAP. "It is important to keep the toolbox, including the first and second pillars," Hansen said after the discussions on Tuesday. According to drafts seen, the commission is considering giving the new CP more flexibility on conditionalities for accessing farm subsidies, an increase in the ceiling for flat-rate aid for small farmers and faster payments to those affected by the effects of climate change, such as floods and droughts.
The CAP is currently split between direct payments to farmers (pillar 1) and rural development funds (pillar 2), which aim to strengthen the social, environmental and economic sustainability of rural areas. The Commission is considering merging CAP funds with cohesion policy and linking them to national reforms, a move that many fear could spell the end of a dedicated rural development fund.
Hansen, speaking in his personal capacity, argued that the CAP has been ensuring food security for two decades and stressed that current challenges in the agri-food sector are even more pressing, which is why, he said, it is essential to maintain the current structure.
A senior EU official noted that for farmers, CAP Pillar 1 payments “help keep them afloat,” while Pillar 2 funding stimulates investment in sustainability and innovation. It is unclear whether these concerns are gaining traction within the Berlaymont, particularly with Budget Commissioner Piotr Serafin. Serafin recently told agriculture representatives at a protest in Brussels that “a single fund could be an opportunity to simplify the rules,” and noted that the “real issue” is rural development.
Agriculture ministers stressed in a joint communication that the new CAP, which the Commission said should be presented alongside the budget in mid-July, must remain autonomous from other policies and maintain two clear pillars: direct payments to farmers and rural development. French Agriculture Minister Annie Genevard called the idea of merging the CAP with cohesion funds a “very damaging” move that could lead to the renationalisation of what should be a common policy. “It seems to us that the two-pillar organisation has proven its value and should be maintained,” she said.
"We have brought agriculture back to the center of our policies, recognizing it as a strategic sector and allocating 11 billion euros to promote modernization and innovation. We strongly support the importance of a Common Agricultural Policy (CAP) and invest in generational change, because passion alone is not enough: adequate incomes and targeted training are needed. All professions related to the agricultural world play an essential role. Each figure contributes with expertise to protect, guarantee, assist and produce, strengthening the sector and ensuring its growth". This was stated by the Minister of Agriculture, Food Sovereignty and Forestry, Francesco Lollobrigida, who spoke yesterday at the conference "The European Vision for Agriculture and Food post 2027".
According to sources within the Commission, Germany also wants the CAP to remain “an independent policy area”, of which rural development is an integral part. The Commission is proposing to loosen the Good Agricultural and Environmental Conditions (GAEC), the cornerstone of the CAP’s environmental conditionality. GAEC 1, which protects permanent grassland, would allow a reduction of up to 10% compared to the 2018 baseline, a significant improvement compared to the current threshold of 5%. The EU executive justifies this as necessary to address “structural changes” in agricultural holdings, particularly in the livestock sector.
The GAEC 2 rule, which limits farming practices to protect wetlands and peatlands – crucial carbon sinks – is maintained. However, the Commission acknowledges that this measure has been particularly costly for some countries – probably referring to Ireland , where farmers are lobbying hard for exemptions – and will allow countries to compensate farmers affected by the rule.
As regards the condition to protect waters from pollution by pesticides and fertilisers, GAEC 4, the Commission grants Member States further flexibility in the definition of watercourses, provided that the definition is in line with the stated objective.
Meanwhile, Polish Agriculture Minister Czesław Siekierski acknowledged the budgetary squeeze, especially on defense spending, but made it clear that ministers remain firmly in favor of a dedicated budget for a two-pillar CAP. “A strong CAP is crucial for food security,” Siekierski said.
On the post-2027 CAP, Siekierski welcomed the recent “simplification” package, which includes the removal of two legislative provisions requiring Member States to align their CAP strategic plans with new climate and environmental regulations. The justification: “to ensure the stability” of the legal framework until the end of the current policy cycle in 2027. Internally, the decision sparked a debate between the Cabinet of the Commissioner for Agriculture and the Directorate-General for Agriculture (DG AGRI).
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This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/la-commissione-vuole-rendere-piu-flessibile-la-pac-senza-stravolgerla/ on Tue, 17 Jun 2025 15:58:31 +0000.