Agricultural money: the EU will redistribute the balance again this year – Debrecen news, Debrecen news | News of Debrecen and Hajdú-Bihar counties
Agricultural money: the EU will redistribute the balance again this year
Brussels – According to the Regulation, Hungary will contribute EUR 24 904 327.
Given the significant increase in production costs, now all the money is coming in handy. Therefore, we should be glad that, as has been the case for years, the European Commission will reimburse the amount left in the agricultural crisis reserve this year as well, writes the expert of agrotrend.hu.
Photo: illustration (dehir.hu)
On 26 November 2021, the European Commission adopted a regulation that will allow them to reimburse € 686 million to European farmers.
In the financial year 2021, EUR 879.8 million was deducted from farmers’ direct solutions under the common agricultural policy (CAP) to manage the agricultural crisis reserve and to ensure that the overall ceiling of the European Agricultural Guarantee Fund (EAGF) is not exceeded. The latter is due to the fact that the boundaries of the direct solutions had to be set before the final agreement on the 2021-27 budget was reached.
The crisis reserve of EUR 487.6 million was not used in 2021 and, together with some additional return appropriations, from 1 December 2021, most of the amounts deducted from direct solutions this year will be reimbursed to farmers.
Of this, according to the above-mentioned Regulation, COMMISSION IMPLEMENTING REGULATION (EU) 2021/2091 of 26 November 2021, Hungary will contribute EUR 24 904 327.
The contingency concept of the agricultural crisis and its recovery mechanism were agreed in the 2013 CAP reform. It was applied for the first time in the 2014 budget year. The deduction only applies to income support above € 2,000, not for Croatia in the 2021 budget year. This is due to the gradual introduction of support levels after EU accession. In the case of Croatia, which joined the Union in 2013, CAP income support has not yet been fully introduced.
An important milestone in the reform of the Common Agricultural Policy, which can be dated 23 November, must be revived in connection with this refund. After the Commission, the new CAP is beyond Parliament. All that remains is the Council. The present decision did not bring any substantive changes to the submission. What is worth highlighting is the creation of a EUR 450 million crisis reserve fund, which will continue to be formed as described above. An important part of the decision is that at least 10% must be used to support small and medium-sized farms and at least 3% of the CAP budget to support young farmers.
In connection with the decision, the two conflicting interest groups, the Greens and the farmers, were forced out of their positions.
The compromise is a cornerstone of the functioning of the European Union. From this point of view, the Greens’ dissatisfaction with the final version of the reform is difficult to interpret and even more frightening. If this is not a green enough CAP, there will still be very difficult battles for the European farmer. Green litters are already looking for the legal movement to tease the decision. It is difficult to see non-political goals behind the activities of the European Green Movements. Which is successful. Think, for example, of the results of the German elections. The Department of Agriculture is now run by a Green politician who is a vegetarian by the way. Of course, this does not mean that it would not be acceptable to those who follow a traditional diet, but in its first speech, it swayed austerity towards keepers.