
The V4 agricultural chambers organized a joint protest standing up for common issues that make life more difficult for farmers.Continue reading
The support system, which has been in place for decades, is now facing serious challenges, as the Common Agricultural Policy budget would be radically cut from 2027, with negative effects for both producers and consumers. The EU’s ever-increasing expenditure will require additional resources, which they intend to finance at the expense of the current target areas, writes Dr. Tibor András Cseh, Secretary General of the Association of Hungarian Farmers’ Clubs and Farmers’ Cooperatives (MAGOSZ) and Vice President of the Hungarian Chamber of Agriculture, in an opinion piece published on the Világgazdaság website.
Dr. Tibor András Cseh pointed out that Europe has the most sustainable agriculture in the world. However, as the possibility of internal border crossing is hampered, the European food production system is facing unprecedented challenges. The reform of the Common Agricultural Policy is well underway, but under current plans it would lead to a decline in the high quality of production that has existed up until now.
He noted that a significant part of agricultural subsidies has always been an EU competence, as food security has always been a priority for the EU. Its strategic position is reflected in the fact that agricultural policy currently accounts for almost a third of the EU’s total budget (almost €400 billion), but the European Commission’s latest proposal foresees a significant reduction in funding, communicated as if this were in the interests of European farmers.
This is what true courage looks like.
Belgian Farmers break through police roadblocks that were put up to stop them from protesting in front of the EU institutions.
Don’t mess with the farmers. pic.twitter.com/I29CXFpJBC
— Eva Vlaardingerbroek (@EvaVlaar) February 26, 2024
Dr. Cseh remarked that
the European Commission President, Ursula von der Leyen, has entrusted the agricultural proposals to a German professor of humanities, without any farmers’ organization from Central and Eastern Europe being invited to the ‘expert’ panel.
“The proposal drawn up by the professor and his team would eliminate area payments across the board, making them available only to a narrow group of farmers (young farmers, farmers in disadvantaged areas, new entrants), but would still require strict green standards from every single European producer.
It also set a clear target to reduce meat consumption and shift to plant-based foods.
What is even more painful is that Ukraine’s possible accession to the EU is not even mentioned among the challenges facing the agricultural sector, while this would lead to the mass bankruptcy of domestic producers.”
The expert pointed out that a reduction in the area-based normative subsidies would most likely lead to an increase in the price of food produced in the EU, which would have an inflationary effect. At the same time, it would encourage some of the population to buy and consume cheaper food of uncertain origin and quality from third countries. He added that two thirds of the raw material needs of European livestock production (maize, soya) already come from outside the EU.
Last but not least, the proposal would have serious consequences for Hungarian farmers. In Hungary, the recent farming and market difficulties (severe droughts, dumping of Ukrainian goods, drastic increases in production costs) have made the role of subsidies even more important than before. The Hungarian economic model, based on family farming, could therefore undergo a radical transformation if area-based support were to cease to exist in its present form: the number of farmers facing market and climatic challenges would be drastically reduced.
WOAH
Massive crowd of farmers have gathered outside the EU in Brussels to protest against the climate agenda that is destroying their livelihood.pic.twitter.com/Ac4Do8mc6r
— PeterSweden (@PeterSweden7) February 1, 2024
As European production declines, imports of goods from third countries would continue to increase. Among these, the dumping of Ukrainian products stands out, as Ukraine has almost a third of the EU’s total arable land, with the added bonus of a strong presence of Western capital and technological sophistication.
The scale of dumping is illustrated by the fact that before the war, Ukraine sent $5 million worth of grain to Hungary, which by 2022 – after the outbreak of the war – had already exceeded $400 million, but also huge quantities of oilseeds, poultry, and eggs. “It is clear that the European agri-food economy will not be sustainable if the strict food safety rules set by the EU are only expected of European producers, but not of the operators who are given access to the market through free trade agreements.”
The expert concluded his opinion piece by emphasizing that we cannot afford to lose our strategic autonomy in food production, neither for farmers nor for consumers.
Via Világgazdaság, Featured photo via Pixabay