THE reform of the CAP is one of the most important issues facing Wales at the moment. At present we receive more than £300 million per annum under the CAP with funds provided to the development of rural communities and businesses as well as farmers and landowners.
According to Welsh Government figures the single farm payment, which makes up the largest element of the CAP budget, accounted for around 80 per cent of all farm income in Wales in 2009. Any changes to that level of support could be the difference between farmers making a profit or a loss.
Like many other sectors of the economy agriculture faces rising prices at a time when retailers and consumers are looking to save their own costs.
There is of course an increased emphasis and public expectation that farming methods will be sustainable. Clearly the Welsh agricultural sector is working in a challenging climate.
Within Europe, there are calls for further change.
CAP payments currently account for 40 per cent of the EU’s total budget. While it is likely that total CAP budget will remain the same, the amount allocated to the agricultural industry may not and with the inclusion of new member states, in real terms, there is less money to spread around.
We are now opening a public consultation on the CAP proposals.
We want to know how the European Commission’s proposals will affect Wales and what the Welsh Government should prioritise in future CAP reform negotiations.
We also want to act as a forum for all stakeholders in Wales to engage with debate on CAP reform.Š
It is vital that the voice of North Wales is heard throughout the negotiation process.
We are keen to ensure that the Group’s findings help do this, have the maximum impact and are able to directly influence negotiations on CAP reforms.
We know that there are some issues which may have a specific impact on farmers in North Wales, including proposals to change the criteria for Less Favoured Areas and the potential targeting of single farm payments at Active Farmers.
To ensure that our work has the biggest impact we are asking when you respond to the consultation that you consider telling us about specific changes you would like to see made to the CAP proposals.
When we report, we think that by suggesting specific amendments to the proposals it will increase the impact of our work and help us influence the on-going negotiations.Š
As well as considering written evidence, we will also talk to stakeholders and the Deputy Minister for Agriculture, Fisheries, Food and European Programmes throughout November. We then intend to publish our interim findings before Christmas.ŠAs well as making recommendations to the Welsh Government, we will also be sharing our findings with the European Parliament.
Our work will not finish at this point, and we will continue to monitor progress of the CAP negotiations and the impact for Wales.
If there is something you want us to consider as part of our inquiry you can email ES.comm@wales.gov.uk or write to the Clerk of the CAP Task and Finish Group, National Assembly for Wales, Cardiff Bay, Cardiff, CF99 1NA.