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Fri 25 October 2024| View online Estimated reading time: 4-5 minutes |
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| | Germany’s ‘shortcut’ for an EU-India trade deal: ditching agriculture |
| As the EU’s farming sector grows increasingly uneasy about the potential finalisation of a trade deal with Mercosur, agriculture could once again become a stumbling block in similar negotiations with India.
After over eight years of stalled negotiations, the European Commission relaunched talks with New Delhi in June 2022, aiming for a conclusion by the end of 2023 – but failing to do so.
Yesterday (24 October), during a high-level visit to the Indian capital, German Economy Minister Robert Habeck suggested a “shortcut” to move things forward: exclude agriculture from the talks and prioritising the industrial sector – an unusual approach for the EU.
Describing agriculture as the “most problematic” part of the EU-India trade negotiations, Habeck argued that sidelining it could make things easier and faster.
“You can't compare the two agricultural systems. If you were to open the markets completely ... the disruption to the Indian market will be tremendous," Reuters quoted Habeck as saying.
The differences between the two systems—and their strategic importance for jobs and the economy— are, indeed, stark. India,home to nearly 18% of the world’s population, had its agriculture, forestry, and fisheries sectors contribute 16% to GDP in 2023, employing 44% of the workforce. In contrast, the EU’s agricultural sector employs just 5% of its workers and accounts for 1.3% of GDP.
Tariff differences also play a role, with the EU’s average tariff on agricultural goods at 11.7%, compared to India’s 39.2%.
The EU is pushing for significant tariff cuts across the board, including in agriculture and dairy, which could prove contentious. India, according to the Heinrich Böll Foundation, uses high import duties to protect its domestic market and support millions of small-scale farmers.
There are concerns from the EU side aswell. When talks resumed, the European Parliament insisted that India must eliminate its “enormous” sugar subsidies, following a WTO ruling that they breach international trade rules. European sugar producers echoed this, opposing any market access without a level playing field.
The discussions between Berlin and New Delhi will continue today, with Chancellor Olaf Scholz holding talks with Indian Prime Minister Narendra Modi. |
| | | Council document pushes for ‘farmers’ focused’ 100 days Vision |
| The vision for the future of agriculture and food, promised by Commission president von der Leyen in the first 100 days of the mandate, should be “farmers’ focused”, according to the first draft ofthe Council's Budapest Declaration on the New European Competitiveness Deal, expected to be adopted by the EU leaders on 8 November.
The document, seen by Euractiv, is a priority of the Hungarian presidency and is seen as the first formal political follow-up to the Draghi report. While agriculture is barely mentioned in the former European central banker’s recommendations, the Council draft sees it as the cornerstone of the EU’s “food sovereignty”. As such, the Commission should “present a farmers’ focused vision for agriculture and food to ensure the long-term competitiveness and sustainability of our farming,” the text reads.
Tom gives a complete overview of the text. |
| CAP simplification weakens green standards, says Birdlife |
| The 2024 CAP changes aimed at simplifying the policy implementation for farmers and national administrations weaken environmental standards and ignore civil society participation, Birdlife Europe wrote in an open letter to the Director-General of DG Agri, Wolfgang Burtscher.
The main concerns expressed in the letter relate to the farm-level requirement to set aside at least 4% of arable land as non-productive areas (GAEC 8). Changes to the CAP earlier this year made GAEC 8 a voluntary practice incentivised by eco schemes. Evidence gathered by Birdlife's partners in several Member States suggests that this change has reduced the environmental performance of the CAP.
As for civil society participation, “the process of amendments to CAP strategic plans in some countries has significant shortcomings with regards to involving partners,” writes Birdlife Europe director Ariel Brunner. The letter calls on the Commission to improve participation in the decision-making process at national level, to apply the principle of “no backsliding” on environmental commitments and to make the whole legislative process more transparent. |
| Hungary hopes to win Romania’s support on post-2027 CAP |
| "I believe we will be able to bridge the gap and achieve unanimous support," said Hungarian Agriculture Minister István Nagy after meeting his Romanian counterpart Florin Barbu on Thursday at the European Farmers' Congress in Bucharest, which ends today. Romania was the only country not to support the Council conclusions on the future of the CAP proposed by the Hungarian Presidency. Despite their different views, the ministers supported the continuation of dedicated CAP funding and the maintenance of two of the policy's main pillars."We need a more farmer-centred agricultural policy that strikes a balance between competitiveness, crisis resilience, sustainability and knowledge-based practices," Nagy said of the post-2027 agricultural policy.
In the morning, Euractiv Romania's Catalina Mihai will give a full report on the meeting on the Euractiv Pro website. |
| | | Poles support new restrictions on alcohol packaging |
| A recent survey found that 69% of Poles support banning the sale of alcohol in small packaging, as it could encourage underage drinking. The poll was conducted by ARC Ryneki Opinia, along with Krzysztof Brzózka, the former head of Poland's state agency for alcohol-related issues. The survey also highlighted concerns about such products encouraging underage drinking, with 79% of respondents agreeing the government should act to curb alcohol consumption.
In September, media outlets reported that the a brand introduced “alcohol tubes” to supermarkets. These looked like kids' fruit puree pouches but contained flavoured vodka instead. The product's maker, OLV, quickly pulled the line from shelves and halted production.
In response, the government this week notified the European Commission of its plans to restrict the sale of spirits with an alcoholic content of more than 15% vol. and a unit packaging capacity of up to 200 ml in any format other than a bottle or can. "This is to prevent the marketing of so-called 'alco-pouches'," the notification said. |
| | | EU takes coordinated approach against invasive fruit flies |
| The European Commission has launched a four-week consultation on EU measures to prevent the establishment and the spread of three species of invasive fruit flies of the genus Bactrocera, included in the list of the EU quarantine pests.
Bactrocera dorsalis (oriental fruit fly), Bactrocera latifrons (solanum fruit fly) and Bactrocera zonata (peachfruit fly), are mainly found in tropical areas of Asia, in Oceania and to a lesser in Africa. Since 2019, however, they have caused outbreaks in Europe. The member states concerned (Belgium, Greece, France, Italy, Cyprus and Austria) have so far taken initiatives at national level.
The Commission proposes to coordinate the efforts in terms of surveys, contingency plans, demarcation of the outbreakareas, and measures in case of detection outside the demarcated areas. |
| | | Commission, EU states ‘must do more’ on marine protected areas |
| Speaking at the European Parliament plenary session yesterday (24 October), Agriculture Commissioner Janusz Wojciechowski urged member states to implement existing EU legislation on marine protection, in particular the 2030 Biodiversity Strategy.
Brussels wants 30% of EU waters to be designated as Marine Protected Areas (MPAs) by 2030, with 10% of them under strict protection.
But Wojciechowski said that more effort was needed and called on EU countries to ratify the UN High Seas Treaty. So far, France is the only member state to have done so.
In the hemicycle, MEP Emma Fourreau (France, The Left) said that while 12% of European seas are considered MPAs, “only 0.2% are actually protected” and called for a plan to ban bottom trawling. Meanwhile, Francisco José Millán Mon (Spain, EPP), called for international standards to ensure that EU and non-EU fishermen are “on an equal footing”. |
| | | | Warsaw – Farm minister anticipates priorities of upcoming Council presidency Polish Agriculture Minister CzesławSiekierski has outlined his priorities ahead of the Polish presidency of the Council, which begins on 1January 2025. Siekierski stressed the concept of “food security” and the need to ensure a level playing field in international trade. He said that the gap in competitiveness between EU countries is narrowing, but added that remaining differences still need to be taken into the account in the next CAP.
Bucharest – Over 400 participants in the European Farmers’ Congress More than 400 participants attended the 11th edition of the Europan Farmers’ Congress, the organisers Copa and Cogeca said in a press release. "The Congress represented a pivotal moment serving not only as a symbol of the sector’s collective strength, but also as a key platform to cultivate ideas and propose solutions,” said the umbrella organisation of EU farmers. The leaders of the national farm unions reaffirmed that "Europe must support the competitiveness and productivity" of farms and agricultural cooperatives. |
| | | | | Today’s brief was brought to you by Euractiv’s Agrifood team |
| | | Today’s briefing was prepared by the Agrifood team; Angelo Di Mambro, Maria Simon Arboleas, Sofia Sanchez Manzanaro, and Hugo Struna. Share your feedback or information with us at [email protected]. |
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