MFF and the CAP Legislative financial statement

Transcription

1 MFF and the CAP Legislative financial statement COMAGRI meeting 10 July 2018

2 CAP POST-2020 LEGAL PROPOSALS COM(2018) 392 Proposal for a Regulation establishing rules on support for strategic plans to be drawn up by Member States under the Common agricultural policy - CAP Strategic Plans COM(2018) 393 Proposal for a Regulation on the financing, management and monitoring of the common agricultural policy COM(2018) 394 Proposal for a Regulation amending Regulations (EU) No 1308/2013 (CMO) and (EU) No 1151/2012, (EU) No 251/2014, (EU) No 228/2013 and (EU) No 229/2013

3 MFF PROPOSAL FOR THE CAP

4 CAP FINANCING FOR COM(2018) 321 EUR 365 billion for the CAP for EU-27 (current prices) Around 5% cut for CAP Baseline = (2020 CAP allocation minus UK) x 7 UK allocation of 2020 = EUR million, for 7 years EUR 27.7 billion (in EUR million) CAP 2020 EU-28 UK allocation 2020 CAP 2020 EU-27 Baseline EU-27 MFF proposal A B C=A-B D=Cx7 E F=(E-D)/F Pillar 1 - EAGF % Pillar 2 - EAFRD % Total CAP % EUR 10 billion from Horizon Europe for research & innovation in food, agriculture, rural development and bioeconomy

5 CAP FINANCING FOR BREAKDOWN EAGF EUR billion (in commitments) Slightly increasing annual profile (convergence, market expenditure, assigned revenue) From EUR 40.3 billion in 2021 to 41.4 billion in 2027 EAFRD EUR 78.8 billion (in commitments) Equal annual amounts EUR 11.3 billion (in EUR million) TOTAL Pillar 1 - EAGF Pillar 2 - EAFRD Total CAP

6 MFF CAP PILLAR 1 EAGF

7 CAP PILLAR 1 EAGF ALLOCATION EUR million = EAGF sub-ceiling EAGF needs are financed from commitments and assigned revenue Less assigned revenue expected with CAP delivery model (in EUR million) TOTAL EAGF sub-ceiling in the MFF Assigned revenue Available for EAGF expenditure

8 CAP PILLAR 1 EAGF ASSIGNED REVENUE EUR million (estimate) Effects of introduction of new delivery model Conformity clearance of accounts to decrease to EUR 80 million Takes into account deferrals already decided Irregularities to decrease to EUR 50 million (in EUR million) TOTAL Conformity Deferrals Irregularities EAGF assigned revenue

9 CAP PILLAR 1 EAGF MARKET RELATED EXPENDITURE Financed under the CAP Plan Wine -3.9% Fruit and vegetables POs Olive oil -3.9% Hops -3.9% Beekeeping Other sectors limited to % VMP(*) EUR 60 million/year up to 3% of DP up to 5% VMP Financed outside the CAP Plan School schemes POSEI and SAI -3.9% Promotion -3.9% Deduct UK envelope No amounts estimated for safety net and exceptional measures=> Agricultural reserve (*) Value of marketed production of producer organisation (Art 46 of COM(2018)392)

10 CAP PILLAR 1 EAGF AGRICULTURAL RESERVE Article 14 of proposal COM(2018) 393 Flexible tool to finance safety net and exceptional measures Roll over mechanism so no longer annual carousel of financial discipline and reimbursement At least EUR 400 million at start of budget year, can be refilled if needed Unused 2020 crisis reserve amount to roll over to 2021 to constitute new reserve

11 CAP PILLAR 1 EAGF DIRECT PAYMENTS Direct payments (including cotton) = initial 2020 envelopes - 3.9% [Note: Croatia phasing-in] For MS not subject to convergence: stable profile For MS benefitting from convergence: increase in 6 equal steps from calendar year 2021 (= financial year 2022) Annexes subject to Member States choices: Flexibility between direct payments and rural development Reduction of direct payments Transfer from and to sectoral allocations NB: calendar year 2020 in Reg 1307/2013

12 DIRECT PAYMENTS: External convergence Convergence of direct payments (2027) EUR 2.4 billion over Based on potentially eligible areas 2016 EUR/ha MT EL NL BE IT HR CY DK DE SI FR EU 27 Average DP/ha baseline Average DP/ha after cut after convergence (2027) Baseline EU average LU AT IE HU CZ ES SE FI PL BG SK RO PT LT LV EE Average DP/ha after cut before convergence New EU average 90% of EU average after cut before convergence *Amounts after cut includingcotton

13 MFF CAP PILLAR 2 EAFRD

14 CAP PILLAR 2 EAFRD ALLOCATION EUR million MS allocations (99.75%) EU technical assistance (0.25%) Annex IX of COM(2018) 392 (in EUR million, current prices) TOTAL MS allocations EU technical assistance (0.25%) EAFRD

15 CAP PILLAR 2 EAFRD CO-FINANCING EUR million = EAFRD contribution Rebalance financing between EU and MS Lower EU co-financing [Art 85 of COM(2018)392] Aim = to keep total public support to rural areas largely unchanged All MS envelopes % from 2020 initial allocations Annexes subject to Member States choices: Flexibility between direct payments and rural development Reduction of direct payments

16 FLEXIBILITY BETWEEN CAP PILLARS CHOICE OF EACH MEMBER STATE Up to 15% between direct payments and rural development (both ways) Additional flexibilty for transfers to rural development: Up to 15% points for environmental and climate related objectives Up to 2% points for installation aid to young farmers 100% EU co-financing of amounts transferred to rural development