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Transitional provisions for support from the EAFRD and EAGF in the years 2021 and 2022 ***I

TA-9-2020-0354 · P9_TA(2020)0354 · PE646.753

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Parliament adopted its first-reading position on a regulation laying down transitional rules for EAFRD and EAGF support in 2021 and 2022, amending several agricultural regulations. The text approves statements by Parliament, joint statements with the Council, and takes note of Commission statements on the crisis reserve, outermost regions and smaller Aegean islands, olive oil marketing rules and ANC payments. Parliament calls for a fully-financed crisis reserve fund of EUR 400 million, continued support for POSEI and Aegean islands programmes, and flexibility for interbranch organisations in outermost regions. The joint statement says the EU funding arrangements for POSEI and the smaller Aegean islands for 2021 and 2022 are exceptional and not a precedent for future CAP financing.

Key points

  1. Parliament adopts its first-reading position on the proposed regulation on transitional provisions for EAFRD and EAGF support in 2021 and 2022.
  2. Parliament approves its own statements, joint statements with the Council, and takes note of Commission statements annexed to the resolution.
  3. Parliament calls on the Commission to refer the matter back to it if the Commission replaces, substantially amends or intends to substantially amend its proposal.
  4. Parliament states the crisis reserve has never been activated because funding is drawn from direct payments and unused money is returned, so it has never been used to avoid withholding resources from farmers.
  5. Parliament stresses the need for a fully-functioning crisis reserve fund that can be activated responsively, and says a fully-financed fund of EUR 400 million in addition to EAGF and EAFRD budgets, cumulative with unused funds carried over, would work better.
  6. Parliament calls for undisturbed continuation of programmes under Regulations (EU) No 228/2013 and (EU) No 229/2013 and maintenance of at least the current level of support for outermost regions and smaller Aegean islands.
  7. Parliament emphasises exploring instruments to allow member states, in extended interbranch agreements and after consulting stakeholders, to make non-member operators on the local market pay contributions to the interbranch organisation.
  8. Parliament and the Council recall the importance of specific measures for outermost regions under Article 349 TFEU and Regulation (EU) No 228/2013, and for smaller Aegean islands under Regulation (EU) No 229/2013, justifying special support.
  9. Parliament and the Council underline that EU funding arrangements for POSEI and the smaller Aegean islands in the Transitional Regulation for 2021 and 2022 are exceptional and not a precedent for future CAP financing.
  10. The Commission notes the political agreement on amendment 106 inserting Article 167a into the CMO Regulation on olive oil, says it is not in line with continuity and lacks an impact assessment, and recalls its commitment to competition and CAP objectives.
  11. The Commission notes the agreement that EURI funds integrated into the EAFRD may finance ANC payments, but says their inclusion under environmental and climate objectives should not be a precedent for future CAP negotiations.

Who is affected

  • Farmers in the EU, who receive direct payments and rural development support affected by the transitional rules.
  • Outermost regions and smaller Aegean islands, which receive specific support under Regulations (EU) No 228/2013 and (EU) No 229/2013.
  • Interbranch organisations in outermost regions, which may gain flexibility to collect contributions from non-members.
  • The olive oil sector, affected by the new Article 167a on marketing rules.
  • Areas facing natural or other specific constraints, which may receive ANC payments from EURI funds.

Figures and deadlines

  • EUR 400 million, the initial amount for a fully-financed crisis reserve fund in addition to EAGF and EAFRD budgets.
  • 2021 and 2022, the years for which the transitional provisions apply.
  • 2014, the year the crisis reserve was established.

Legal basis: Article 294(2) and Article 43(2) of the Treaty on the Functioning of the European Union.