Europe briefing March 2010 - Common Agricultural Policy Reform

When Bishop John asked me to take on the role of European Adviser it was not to involve myself with twinning (e.g. Magdeburg etc.) which happens perfectly well without any interference from me. It was to see where things coming from the EU would impact on life in the diocese and this fits with my main role – agricultural & rural chaplain – as agriculture is significantly affected by the EU. This is the first in what I intend will be a series of occasional briefings on how the EU is affecting us and the issues it is addressing. My hope is that better understanding EU will enable prayerful engagement.

1)  History and current situation. The CAP is a major part of the EU’s budget. It originated with the memory of post-war food shortages and starvation in Europe and was designed to ensure a reliable food supply. It was too successful with infamous wine lakes and butter mountains of previous decades, so it was revised so that instead of guaranteeing prices to farmers the policy gives payment to farmers for providing environmental benefits.  The current system runs till 2013. The debate is now on as to what policy should start on 1st January 2014.
The CAP at €53bn amounts for 40% of European Union expenditure but is only 1% of the total public expenditure by European governments and 0.4% of EU GDP.  It covers 80% of the total area of the EU in which 40% of EU residents live. Without the CAP EU agriculture would struggle and in many areas stop. In 2008 roughly 40% of Agriculture’s income in Europe came from the CAP. Decline in prices mean that it will have been a higher figure in 2009. Without the CAP much of Europe’s agriculture would not be viable.

2)The issues being discussed include,

• With a world population predicted to rise significantly between now and 2050 should the focus revert from environmental benefits to ensuring a food supply for all? Based on best estimates for world population growth, agriculture will need to increase output by 70%. European agriculture has increased output by more than that over the last 50 years but at a cost to the environment that wasn’t anticipated.
• There is now greater awareness of environmental damage, degradation of soils, loss of biodiversity etc. In any future CAP should there be a greater link between payments and environmental benefits? Should the CAP be requiring greater environmental benefits?
• Can the free market deliver a safe food supply using acceptable animal welfare and plant standards as well as environmental protection?
• Farmers provide significant public goods - landscape management, carbon sequestration, water filtration, flood meadows, grazed moorland, amenity - for which the free market gives no financial reward.   Should the CAP be rewarding this?
• How much (if any) “wriggle room” should there be in the CAP so different member states implement the CAP to suit their own circumstances rather than being the same across the whole of Europe   
• If farming is not viable, what will be the knock on effects on 
• tourism?
• communities – especially in remote areas?
• If not farmers, who will manage the land and what will their priorities be?

 3) The UK position. The British Government’s position is that the CAP should be scrapped.  The argument is that food security is best delivered by having lots of trading relationships and buying food from wherever in the world it can be produced most cheaply. This argument takes the view that it doesn’t matter if our beef comes from Argentina, our chicken from Thailand and that it’s all been fed on GM soya from Brazil with different animal welfare standards and working conditions.
The Conservative party’s position is that they will press for a shift of existing resources (i.e. money currently going to farmers) to the rural development programme. More details here 

4) The possible outcomes. The reality is that neither of these positions is likely to achieve agreement with the rest of Europe, and a cynical view would be that both parties only made those arguments knowing that the rest of Europe won’t allow anything so nonsensical to happen! Even in an enlarged Europe the French and German farming lobby have sufficient “clout” to prevent it.   However there is likely to be pressure for a redistribution of money in the CAP which currently seems to depend more on the accidents of history than anything else. Thus Greece gets more per hectare than anyone else because in the past they grew a lot of tobacco and Latvia, Lithuania and Romania are getting least per hectare.



5) Faith Issues. CAP reform raises faith issues. It raises questions about ;

• our role as stewards of God’s creation especially as weather patterns change. 
• food – bread and wine are at the heart of our worship and Jesus taught us to pray “give us this day…”
• community  
• world poverty
• justice

6) Actions. Christians will come to different views about the future of the CAP.  I would hope that Christians & churches will;

• Pray for farmers particularly in the UK & the rest of Europe but also throughout the world as they face political uncertainty that will shape their futures (or lack of them!)
• Shop fairly buying food & products (whether local produce or not) that have a just reward going to all stages of the supply chain.
• Pray for MEPs, MPs & Dacian Ciolos (EU Agricultural Commissioner) as they consider these issues.
• Pray for the media as it reports (or doesn’t report) the debate.

If you have views on the CAP or other European matters and want to express them to MEPs the details of MEPs can be found here

7) And finally. If there are European matters you feel I have neglected then let me know.
Thank you for reading this. I hope it helps,
  Agricultural & Rural Chaplain and European Adviser