EUROPEAN UNION
EU outlines plan to reform CAP farm payments

EU Agriculture Commissioner Dacian Ciolos on Wednesday published his proposals to reform the Common Agricultural Policy (CAP) from January 2014.

In line with recent leaks, the plans have a green bias that links a climate and environment top-up worth 30 per cent of the annual ceiling, compulsory on all farmers receiving basic payments.
Among the new rules on protecting the environment are proposed obligations to set aside at least 7 per cent of arable land to "ecological focus areas," such as forests or buffer strips, and to grow at least three different crops at any one time.
The European Commission's proposals also limit subsidies for big farms to EUR 300,000 per year. In addition, levies would be applied progressively on all payments exceeding EUR 150,000.
Subsidies for tobacco farmers remain in place.
Under the proposals farm spending would be kept at roughly its current level of EUR 55 billion (USD 75 billion) per year until 2020, according to Reuters. The overall size of the CAP budget will ultimately be decided in separate talks between EU governments on the bloc's next long-term budget for 2014-20.
Ciolos said he did not foresee any major opposition to his proposals from EU governments and lawmakers. (pi)

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