FARMERS have reason to be concerned about the direction of the new CAP [Common Agricultural Policy] over a ‘single-fund’ approach being mooted by the EU Commission, Connacht IFA Chair, Brendan Golden told the Farming Tribune this week.

He said that while nothing by way of concrete proposals had emerged yet, there were indications from EU and Commission sources, that a new ‘single-fund’ approach was being considered.

Mr. Golden also said that there were concerns over funding being allocated to each member state who could then decide on how to apportion that budget.

“We all have memories back in 2008 at the time of the financial crash in Ireland when one of the first things to be hit was ANC [Areas of Natural Constraint] payments which were slashed by the Government at the time,” said Brendan Golden.

He said that Irish farmers would be defending strenuously the current Pillar 1 and Pillar 2 funding arrangements, as well as seeking an increased budget to provide a solid financial foundation for Irish and EU farmers over the coming years.

“What we want to ensure is that sustainability is achieved on three fronts – environmentally, economically and socially. We must keep farmers working the land and producing quality and sustainable food – that’s the future for everyone,” said Brendan Golden.

He added that the vibes coming from EU Commission President, Ursula von der Leyen [Germany] was that she favoured a single-fund or single-budget approach to the next CAP – due to come into place from 2028 until the early 2030s.

“We understand that the first major meeting of EU leaders, the Commission and Ministers is due to take place on July 16 next, probably in Brussels, which may reveal some further details of what’s envisaged in the next CAP.

“Our key demand is that the economic sustainability of farming in Ireland, and across the entire EU, must be the priority in the new CAP.

“The economic reality of CAP for farmers is that over the years, it’s value has diminished significantly due to inflation and increased costs for farmers. CAP depreciation is a major issue which hasn’t been addressed,” said Brendan Golden.

The current CAP is due to end at the end of 2027, although in the past, there has been ‘rollover’ periods of up to two years until a new policy would be fully agreed on and passed.

At a meeting last month in Kildare organised by the IFA, the Minister for Agriculture, Martin Heydon, said he wanted it made clear that the Irish government favoured the retention  of the current CAP structure with separate funding for the two pillars.

“Ultimately, the funding available for the budget, and its structure, will depend on the contributions that member states are prepared to make, and that is not an easy discussion,” the Minister said.

Another concern over the CAP budget is based on geopolitics [relationships between different countries] including the war in Ukraine with the EU now likely to sanction increased budgets for defence spending over the coming years.

Pictured: Connacht IFA Chair, Brendan Golden