Fischler spells out the fundamentals of CAP reform
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CTA. 2003. Fischler spells out the fundamentals of CAP reform. Agritrade, December 2003. CTA, Wageningen, The Netherlands.
Permanent link to this item: http://hdl.handle.net/10568/52814
Addressing the International Forum on Agriculture and Food in...
Addressing the International Forum on Agriculture and Food in Cernobbio on October 25th 2003, Agriculture Commission Franz Fischler highlighted how through CAP reform the EU has 'chosen to increase the efficiency of direct payments'. He noted that this has 'improved the competitive position of EU farmers' and strengthened the EU's position in international negotiations. He maintained that the EU will continue to rein in trade-distorting aspects of its policy, and will continue to make its agricultural policy more market oriented and sustainable. However, the policy will still require continued support, albeit more efficiently and effectively targeted. Commissioner Fischler went on to review the background to the reform of the tobacco, olive and cotton regimes. He noted that the Commission was keenly aware of how production of these products was concentrated on holdings which are often located in areas which are lagging economically. This reality had been incorporated into the Commission's proposals for reform. Comment: Commissioner Fischler sees no contradiction between the increased price competitiveness of EU production which CAP reform will bring about and the needs of ACP countries to deepen agricultural processing so they can move up the value chain and reduce their dependence on basic commodity markets. Significantly the Commission in its approach to tobacco, olive and cotton-sector reform recognised that where production was concentrated in more disadvantaged regions special treatment would be required. This principle could usefully be applied to EU agricultural trade with ACP countries in the context of ongoing EPA negotiations.