Chart: How much of the EU’s overall spend goes on CAP?

Earlier today AgriLand published a report detailing the likely budget that will be allocated for the Common Agricultural Policy (CAP) next year.

Also Read: EU allocates just over €40 billion for direct payments for 2021

There is a growing concern in the farming community that CAP accounts for an ever-decreasing proportion of overall EU spending.

This info-graphic (below) details the level of expenditure on CAP as a percentage of the overall EU expenditure (based on ‘2011 constant prices’).

Data source: European Commission

It’s clear that the share of overall EU expenditure that goes to on CAP spending has seen a marked decline over the past two to three decades. It has fallen from well over 70% (in the 1980s) to less than 40% (in 2018).

Farm organisations have expressed growing concern over this development – questioning how much financial support will be available to agriculture in the years to come.

Funding for 2021

Earlier today, AgriLand reported that the EU will set aside some €40 billion for the European Agriculture Guarantee Fund for 2021, the pot of funds which is used to make Pillar I payments (direct payments) under the CAP scheme.

The commission has decided to allocate €55.8 billion altogether to its agriculture and maritime policy. In addition to this (under the budget heading of Natural Resources and Environment), the commission will allocate €429.3 million for environment and climate action.

This will be reinforced by around €7.3 billion from the EU’s new recovery instrument, ‘Next Generation EU’. This gives a total funding figure for Natural Resources and Environment of €63.5 billion, with some €55 billion going to CAP payments.