With its agricultural reforms of 2003, its newly structured rural development policy (known as the second pillar) which will come into effect in 2007 and its decisions concerning the Financial Perspective 2007-2013, the European Union has paved the way for sustainable, market-based, competitive farming. Further efforts are needed if rural regions are to receive a developmental push following the consolidation and restructuring of funding measures. The German Presidency will work to advance this process.
The level of effort required by agricultural and food businesses when it comes to documentation, monitoring and other administrative requirements has increased significantly in recent years. Administrative effort in the agricultural and food sectors must be reduced to a necessary minimum in keeping with practical needs by means of a comprehensive review of EU legislation.
The initiatives of some EU Member States and of the European Commission must be widened and deepened in line with the Lisbon Strategy for growth and employment. A core element of such activities is the consolidation of the existing 21 market regimes into a single common market organisation, the ultimate aim being to harmonise the rules in traditional market policy sectors.
Harmonisation will affect rules concerning intervention, private storage, import tariff quotas, export refunds, protective measures, sales promotion of agricultural products, state aid, and notification and reporting requirements. The applicable instruments and mechanisms will remain essentially unchanged. The cross compliance regime plays a key role in this regard; the German government will use this regime as a basis for its support for simplification, practice-focused de minimis limits and the recognition of quality assurance systems.
Securing a sustainable supply of energy and raw materials poses one of the biggest challenges of the 21st century. The use of renewable energy sources will help make the European Union independent of fossil fuels in the long term. Considerable reserves are available to allow use of renewable raw materials and bioenergy sources. To exploit these reserves, it is necessary to improve the conditions to allow their use in the form of heat, electricity and fuels. Research needs to be stepped up and innovation promoted for example in the area of biofuels.
Germany’s EU Presidency will strive to promote the development and greater use of renewable raw materials and of new technologies in the production of renewable energies. It is hoped that a European Conference on Renewable Resources which is to be held in Nuremberg will provide new stimulus in this regard.
The key aims in agricultural policy will be the reform of market organisation for fruit and vegetables and the commencement of wine market reforms. The German Presidency will thus work to increase the competitive stance of European producers. To do so, available funds must be invested in future-focused measures. In terms of fruit and vegetables, the main focus will be on boosting producers’ standing in relation to the retail sector. In the wine sector, the main issues will be the reduction of market support measures and production potential.
Now that, under Finnish presidency, the Agricultural Council has agreed a general approach to amending the Spirit Drinks Regulation, the German Presidency will work intensively to produce fitting proposals to resolve the issues that remain open.
Other measures to be taken involve protein standardisation in preserved milk products, revision of the requirements on fat content in drinking milk and a standard EU definition of veal.
The German Presidency intends to bring the negotiations on the amendment of the regulation on organic farming to a successful conclusion. This also applies to the reforms concerning the organisation of the banana market.
Following restructuring of the funding measures for the second pillar, agricultural structure policy has acquired a new regional planning dimension that goes beyond the agricultural sector to take in greater responsibility for regional development. The German Presidency will thus ensure that as part of a cross-sectoral dialogue, public debate places greater focus on the issues of sustainable development and job creation through innovation and increased value creation in rural regions.
In a series of conferences, it will provide a broad platform for the exchange of information and opinions and to discuss activities (including with other EU Member States) to foster the further development of existing models and instruments for rural regions. Following the national conferences on rural development to be held in 2007, an informal meeting of agriculture ministers will be held at which the EU Presidency will provide stimulus for European-level discussions that go beyond the agricultural sector. Particular attention will be paid to integrating the younger generation in rural regions – those whose future depends on rural development.
