In the negotiations regarding billions in European agricultural subsidies, a cap on funding per farmer is likely to spark debate. On Wednesday, the European Parliament’s lead negotiator, Norbert Lins (CDU), proposed raising the ceiling significantly and linking it to the individual farmer rather than the farm itself. The German Farmers’ Association also views the currently planned caps as a bone of contention.
Agricultural funding represents one of the largest items in the EU budget. Currently, around 55 billion euros flow to farms and landowners each year. A large portion of these funds is distributed based on the area of land cultivated: the larger the farmland, the more money is allocated. Consequently, major corporations—and, for years prior to Brexit, the British royal family—rank among the key recipients.
The EU is currently negotiating the budget and the allocation of agricultural funds for the 2028–2034 period. The European Commission proposed capping subsidies at a maximum of 100,000 euros per year per farm under the new scheme. Lins wants to raise this limit to 500,000 euros and apply it to natural persons rather than to the farm itself.
Image: Shutterstock
For instance, multi-family farms could receive significantly more subsidy funding, Lins argued. At the same time, he aims to prevent individual investors holding stakes in farms across multiple EU countries from pocketing large sums. He pointed, for example, to the royal family of the United Arab Emirates, which—according to media reports—collects millions in subsidies because it owns several agricultural businesses in the EU.
“The concept is not yet fully refined,” Lins told journalists on Wednesday. He plans to present his proposals to the European Parliament’s Committee on Agriculture at the end of June. According to Lins, these include further changes compared to the Commission’s proposals: greater redistribution of funds from large to small farms and more money for young farmers.
Negotiations are still in the early stages. Lins’s proposals will be followed by deliberations within Parliament and with the 27 EU member states. In addition, negotiations regarding the overall EU budget are underway; these must first determine how much funding will be available for agriculture.
Author: AFP
Sources: AFP press portal