This item was published during the term of a previous administration that ended in April 2007
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Future of farming following CAP reform
22/07/2003
Details of a consultation on the future of agricultural
support in Scotland following the most radical reform of
the EU Common Agricultural Policy in a decade, were
announced today.
The Executive intends to consult widely to ensure that
future support for farming underpins the objectives set out
in its document
A Forward Strategy for Scottish Agriculture
Outlining the consultation process, Deputy Environment
and Rural Development Minister Allan Wilson said:
"Radical reform of the CAP provides us with real
opportunities to meet our priorities for Scottish
agriculture. We want to see an industry focused on meeting
the needs of customers; that plays a major role in
sustainable rural development and helps to maintain the
prosperity of our rural communities.
"Agriculture must be a leading player in the protection
and enhancement of our environment. We look to Scottish
farming to embrace the change and new opportunities that
are now available.
"A key issue will be to establish a consultation process
that is effective, given the range of detailed issues to be
considered, and which is inclusive, involving everyone with
an interest. We want to see a wide ranging consultation
which will provide a forum for the industry, environmental
bodies, rural interest groups, and consumer representatives
to make a real contribution on the future of Scottish
farming.
"A stakeholder working group will be convened next month
to agree the process and scope of the consultation which
will be launched formally in October.
"We are working now to analyse the implications of the
various options for decoupling support from production, the
use of the flexibility provided within a national envelope,
and the provisions for national modulation.
"A one-day stakeholder conference is planned for the
Autumn and a series of regional focus groups will be held
to ensure that a wide cross-section of interest groupings
have an opportunity to express their views.
"We have made clear the Executive's commitment to work
with all interested parties in order to ensure that we
deliver the best outcomes for Scotland. Decisions will only
be taken once this comprehensive process has been
completed."
Agreement on CAP Reform was reached at the Agriculture
Council in Luxembourg on June 26, 2003.
The main elements of the agreement are:
- Main CAP subsidies to be decoupled from production
and replaced by a single farm payment based on average
subsidy receipts in the years 2000 to 2002
- Payments to be conditional upon compliance with
statutory conditions covering environment, food safety,
animal and plant health, and animal welfare. Land must
be kept in good agricultural and environmental
condition
- The agreement provides a number of options to
address concerns of moving to a decoupled system,
including the possibility of retaining all or part of
some existing schemes in the arable, beef and sheep
sectors as well as establishing a National
Envelope
- Modulation of direct payments and transfer of the
money to Rural Development expenditure will start in
2005
- A new financial discipline mechanism has been
agreed to reduce direct payments to fund policy changes
and restrain overall expenditure with agreed
limits
- By 2007 Member States must set up a farm advisory
service that will be available to help them meet their
cross compliance obligations