European Commissioner unveils €500m farming support package
Farmers hit by soaring fertiliser costs could be set to benefit from a €500 million support package announced by the European Commission.
The Commissioner for Budget, Anti-Fraud and Public Administration, Piotr Serafin, today (Wednesday, June 10) confirmed details of the crisis funding.
Commissioner Serafin told the European Parliament Committee on Budgets that the European Commission intend to deliver financial support directly to farmers.
"Following last month's fertilisers action plan, we propose to increase the agricultural reserve for 2026 by €300 million.
"Together with €200 million already available in the reserve, that gives a €500 million package to support the most affected farmers already this year.
"We also propose to reinforce the European Agricultural Guarantee Fund by €140 million. This will help avoid a shortfall later in the year, as expected, assigned revenues for 2026 are lower than forecast," the commissioner added.
Copa Cogeca, the umbrella organisation representing European farmers and agri-cooperatives, said confirmation of the €500 million package "represents an initial positive step by the European Commission in the face of a crisis that may prove to be prolonged".
However it warned that it might not be enough.
It said that Commissioner Serafin's announcement "deserves to be analysed and placed into perspective".
Copa Cogeca stated: "The amount announced by the commission, when spread across the millions of European farmers affected, will fall far short of compensating for the additional costs generated by soaring fertiliser prices in the short and medium term.
"Moreover, the introduction of the EU's Carbon Border Adjustment Mechanism (CBAM) on fertilisers – the costs of which are borne exclusively by farmers – is estimated by Copa-Cogeca to be €820 million in 2026 alone.
"This levy will remain and increase even after the crisis in the Straight of Hormuz. Yet the commission has chosen not to suspend this mechanism."
European Commission
Commissioner Serafin was before the the European Parliament Committee on Budgets today to set out the European Commission's Draft Budget for 2027.
He told the parliament that "we are indeed living in a very unstable, we can even say chaotic, times".
"While Europe is facing real pressures, from security concerns to a challenging economic environment, this budget ensures that Europe stays focused on its core priorities, making Europe safer, stronger, and more competitive.
"It is a responsible and forward-looking budget that protects key priorities and delivers results for people across the union," the commissioner said.
The European Commission has proposed to set the 2027 annual EU budget at €200 billion, which includes €54 billion for the Common Agricultural Policy (CAP).
