The EU needs to adopt a more multi-dimensional approach to the Common Agricultural policy (CAP) to focus on “managing land and natural resources”, according to a sustainability think tank.
As discussions get underway on the post-2027 CAP – which will cover the period up to 2034 – the Institute for European Environmental Policy (IEEP) has warned that “funding structures
should evolve to better reflect sustainability challenges”.
The IEEP has published a new policy vision which examines how to transform EU land use and CAP in the coming decade.
The vision calls for deeper changes to the CAP and EU budget, which the think tank claims “has not delivered sufficient action to date”.
It has highlighted that “changes to the current CAP and the reform of the CAP in the next EU budget cycle (2028-2034) will be critical”.
The IEEP’s policy vision sets out that future policy should support farmers and other land managers in a “transition” that makes sure they are viable businesses and can make a contribution to vibrant rural areas.
It added: “There is also a clear need to provide incentives for farmers and land managers, to support them in implementing sustainable practices and systems and to compensate vulnerable groups from negative shocks as part of a just transition.”
According to the think tank the transition to “sustainable and resilient” agriculture and land use should be a key priority for European policy.
But it also acknowledges that agriculture is a key sector that is also essential for food production.
“The sustainability transition in agriculture and land use will therefore have to encompass the need to also produce sufficient food, support rural livelihoods, and link into the wider transition of the EU food system,” the IEEP stated.
It has identified four priorities for funding in the next decade to support a transition to a “sustainable and resilient agriculture and land use sector in the EU”. These include:
- Transitional aid to support resilient and sustainable future business models;
- Funding for ongoing provision of environmental services and public goods;
- Advice, training and stakeholder engagement;
- Research and innovation.
CAP funding
One key area which the IEEP examined in its new policy vision was how current CAP funding operates to support sustainability and suggests that a new sustainable land management and
transition fund could be established that would involve “redirecting the large EU budget (multiannual financial framework – MFF) allocation for direct payments”.
“Other forms of support for the environment currently integrated into the CAP, such as agri-environmental payments, also could go into this new fund.
“Several current CAP instruments would therefore continue under this new fund, but with higher budgetary allocations and there would be increased focus on assessing and improving the
effectiveness of schemes, monitoring of performance and results,” IEEP stated.
The current CAP funding for Ireland for the period 2021 to 2027 is €8.148 billion in direct payments.