{"id":777,"date":"2019-11-01T12:46:05","date_gmt":"2019-11-01T10:46:05","guid":{"rendered":"https:\/\/www.ypaithros.gr\/en\/?p=777"},"modified":"2019-11-01T12:46:05","modified_gmt":"2019-11-01T10:46:05","slug":"pekka-pesonen-the-future-cap-must-seriously-consider-investments-and-innovation-in-agriculture","status":"publish","type":"post","link":"https:\/\/www.ypaithros.gr\/en\/pekka-pesonen-the-future-cap-must-seriously-consider-investments-and-innovation-in-agriculture\/","title":{"rendered":"Pekka Pesonen: The future CAP must seriously consider investments and innovation in agriculture"},"content":{"rendered":"

The challenges that the European agricultural sector is currently facing and the issues that have not yet been addressed in view of the future CAP, was the main topics of the speech of Secretary-General of Copa and Cogeca, Pekka Pesonen<\/strong> at the 6th<\/sup> Panhellenic Congress on the development of Greek Agriculture by GAIA EPICHEIREIN<\/a>.<\/strong><\/p>\n

\"\"You can read the whole speech below:<\/strong><\/p>\n

\u2013 Ladies and gentlemen\u00a0 \u2013 Let me first thank the organisers for the invitation to this important event.\u00a0 \u2013 My name is Pekka Pesonen; I am the Secretary-General of Copa and Cogeca. I am a European of Finish nationality coming from a family farming background dating already for various generations. \u2013 Copa represents some 22 million farmers and their families across the EU and Cogeca represents more than 7 million farmers that across the EU are organised in 22 000 agri-cooperatives. These cooperatives process and trade 40% of the total output of the agricultural sector. \u2013 When I look at the title of your Congress, I realise that it clearly captures the changing moments that we are facing.\u00a0 \u2013 We are renewing the European Institutions having entered in a new cycle; yet we are promoting and defending Europe. We are working on the future CAP to make it more modern and innovative; yet we are setting the CAP as one of the cornerstones of the construction of the European Union. \u2013 This brings immediately to my memory a quote from Heraclitus of Ephesus: \u201cthe only thing that is constant is change\u201d. \u2013 So let me refer to some of the challenges we are currently facing:<\/p>\n

(Future MFF) \u2013 We believe that the EU requires, in the future, a more ambitious budget. One that calls for a higher level of commitment by Member States. One that will deliver on the Union\u2019s challenges and priorities. One that will not undermine nor put at stake current common policies such as the CAP. One that matches<\/p>\n

farmers\u2019 delivery of a higher degree of ambition for the environment and the climate. \u2013 The CAP is indeed a cornerstone of the construction of the European Union and must remain a strong, common and adequately financed policy. \u2013 For us this means maintaining the EU agricultural spending. That is keeping the CAP budget in real terms. This is how the ambitious targets for the climate, environment, competitiveness, growth and jobs can be met.\u00a0 \u2013 We understand all the uncertainties that we have had since the Commission\u2019s proposal on the MFF was presented, but I would urge the decision-makers to reach an agreement, sooner rather than later, on the future MFF. And to do so before an agreement on the future CAP.\u00a0 \u2013 We firmly oppose the proposed cuts in the EU financing. We need sufficient additional funding to deliver on the CAP objectives and priorities. This is vital. The CAP is not for discount sale. \u2013 The CAP budget delivers excellent value for money for all EU citizens. It must continue to do so in the future, without any cuts.<\/p>\n

(Common Agricultural Policy) \u2013 The CAP is an EU success story. Despite its flaws, it has delivered significant benefits for all European citizens: food security, the vitality of rural areas, and contribution to environmental challenges. \u2013 We welcome the European Commission\u2019s efforts to modernise and simplify the CAP. But these efforts come with a reduction in its financing that we cannot accept. In particular, for Rural Development we are facing a significant reduction of the funds as well as a decrease in the EU co-financing rates.\u00a0 \u2013 Besides creating imbalances between Member States, this will heavily impact our ability to achieve not only the CAP objectives, but also the EU\u2019s international commitments. We strongly oppose these cuts.\u00a0 \u2013 The co-legislators continue to work on the Commission\u2019s proposals for the future CAP. However, there are a number of issues that still need to be clarified.\u00a0 \u2013 On Simplification: The next CAP must become easier to use, and its system of controls and sanctions must be simplified. In this regard, we see some positive moves but ultimately all Member States must demonstrate their use of the simplest and least burdensome administrative requirements on farmers, the beneficiaries of the CAP. \u2013 The New Delivery Model must provide simplification and ensure the commonality of the CAP \u2013 one with common EU rules. We recognise the need to provide Member States with some degree of flexibility. However, Member States must ensure that they adopt a balanced approach to all three pillars of sustainability, when designing their strategic plans.\u00a0 \u2013 The CAP Strategic Plans based on the nine specific objectives are of key importance. These must address sustainability in a balanced manner between its three pillars \u2013 economic, environmental and social.<\/p>\n

\u2013 These must be developed with the involvement of farmers and agri-cooperatives and should be flexible enough to adjust to changes in conditions and structures in Member States over time. \u2013 We have concerns that the Enhanced Conditionality will represent a significant increase in the requirements that farmers must comply with as well as on their costs of production. Ultimately it will not deliver on simplification.\u00a0 \u2013 Conditionality should comprise rules that are simple, realistic, easy to execute and control and should not jeopardise the well-functioning voluntary measures in Pillar II.\u00a0 \u2013 We support measures to address environmental sustainability and climate policy in the CAP. However, this must not be done at the expense of the economic sustainability and competitiveness of the agricultural sector.\u00a0 \u2013 It is imperative to maintain the communality of the policy when implementing voluntary measures in Pillar I. That is why we believe that Eco-schemes must be mandatory for Member States but voluntary for farmers.\u00a0 \u2013 We also need more clarity regarding the type of agricultural practices that benefit the climate and environment that could be included under the eco-schemes. These must not compromise the agri-environmental measures under pillar II that have proven to work.\u00a0 \u2013 The agri-environment-climate measure must continue to play an important role in the future, be responsive, adapted to working practices on the ground and the needs of farmers. We also believe that its potential contribution to the environment and the climate, by being a multi-annual commitment, is higher than Eco-schemes. \u2013 Capping of support: Copa and Cogeca opposes mandatory capping and degressivity of direct payments but we support the continued harmonisation of the level of direct support between Member States. In particular, on capping we can support a voluntary approach that takes in consideration the differences if farm structures across the EU. It must also allow for the full deduction of salaries of employees and non-remunerated family members.\u00a0 \u2013 Copa and Cogeca strongly oppose the exclusion of areas facing natural or other specific constraints (ANCs) from the eligible interventions that contribute to the environmental objectives and that are part of the 30% minimum ring-fencing of the budget dedicated to agri-environment-climate measures (AECM). \u2013 The ANC measure helps farmers in these areas to continue to sustainably manage the agricultural land. It also plays a crucial role in preventing land abandonment, contributing to biodiversity, the natural landscape and to tackling climate change. Allowing a re-delimitation of ANC is therefore positive. \u2013 In this respect, it is fundamental that ANC support is re-integrated within the AECM as we currently have and as the Commission\u2019s impact assessment suggests. ANC support does indeed have a positive impact to the climate and environment. \u2013 More specifically on AECM these need to be more attractive and adapted to working practices on the ground, local needs and farmers and forest owners\u2019 actual conditions.\u00a0 \u2013 Agriculture is facing a number of challenges and needs to respond to societal expectations.<\/p>\n

\u2013 I have already mentioned how we have been delivering on the Sustainable Development Goals (SDGs) and how we are committed to do more for the environment and the climate. \u2013 In all of this the CAP plays a crucial role in maintaining vibrant rural areas and ensuring a sector that is economically, environmentally and socially sustainable at a moment where it is being faced with volatile markets and extreme weather events.\u00a0 \u2013 It is therefore important to ensure that the CAP is equipped with the necessary tools to help farmers to remain economically viable and competitive while they respond to these challenges.\u00a0 \u2013 Cooperatives are also facing challenges. They mostly are twofold: \u2013 On the one hand, they have reason to exist only linked with the activity of their farmer-members, as the cooperative projects are basically founded as response to producers\u2019 needs.\u00a0 \u2013 On the other hand, the construction and success of these projects are based on the active participation of the cooperators in the governance of the company. \u2013 We need to engage young farmers in agri-coops and in their decision-making bodies. We need their vision and hunger for the better future for their families. \u2013 Copa and Cogeca also welcome the Commission\u2019s proposal to allow for producer organisations to be expanded as a tool for intervention in the market in other sectors.\u00a0 \u2013 Recognizing the specificities of the agricultural sector and allowing farmers to work collectively are essential to strengthen farmers\u2019 position in the food supply chain. The end result will be to improve their bargaining power and get a better share of the consumer euro. But we need to provide farmers with legal certainty to guarantee that they will use these policy tools.\u00a0 \u2013 Within the CAP National Strategic Plans, the measures targeting investments and innovation recognised POs and cooperatives beyond the SME threshold must also be eligible for support. \u2013 The diversity of European agriculture along with its culinary heritage and consumers \u2018expectations leads to quality differentiation as a strategic goal. This is what European Farmers and their cooperatives do in an effort to improve addedvalue, efficiency and competitiveness. \u2013 The CAP must therefore provide different ways to promote quality policy. To achieve this, quality must also be highlighted when developing the CAP strategic plans considering that it contributes to boost our competitiveness and meet consumers \u2018expectations. \u2013 It is very important to promote and support farmers that want to differentiate themselves in the market. This can be done either through a Geographical Indication, or organic labelling, or certification under a recognised national quality scheme or any other tool that helps them to achieve this quality differentiation.\u00a0 \u2013 Throughout the years, it has proved to be a very important instrument for European farmers and agri-cooperatives to increase consumers\u2019 awareness of the high quality and added value of our products and the merits of EU agriculture.<\/p>\n

\u2013 My last comment goes to the need to put in practice clear effective measures that will secure generation renewal and attract young people to farming. \u2013 In most countries, the farming population is ageing and in many countries, large numbers of farmers appear to have no successor.\u00a0 \u2013 If we don\u2019t curb this trend and find effective measures to attract new entrants and young farmers to the sector and remove obstacles we will be facing a situation where in ten years we will have lost a significant part of the farming population. \u2013 This is why generation renewal is key and a challenge for agriculture. We need to secure not only an adequate transition of the ageing farmers into retirement but also attract young farmers into the sector and keeping them in. \u2013 The future CAP must seriously consider the future of investments in agriculture and the innovations that we will need to feed Europe\u2019s future.\u00a0 \u2013 The ability to attract investment, like in any sector, is crucial for the future of our farming sector and of our cooperatives. But it also means supporting investments through grants, facilitating access to credit and helping out in providing guarantees for loans. \u2013 All this requires stability and the tools to adequately manage risks.\u00a0 \u2013 Long-term support for young farmers to start and develop their businesses must be made available through the proposed CAP national strategic plans.\u00a0 \u2013 Let me underline that with the current low level of income in the agricultural sector, it is difficult to attract new and young entrants to the sector. It is difficult to see a bright future. \u2013 Therefore, the income side of this equation must be addressed if we are to be effective in tackling generation renewal. This is clearly the role of the CAP. \u2013 To conclude, commonality, simplification and farmers\u2019 income, alongside sustainability and climate change are key priorities for us. \u2013 If we do not see clear results on these, the economic viability and sustainability of the sector will be at stake. As a consequence we will have a rural exodus and farmers will not be able to deliver on environment and climate.<\/p>\n","protected":false},"excerpt":{"rendered":"

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