The European Commission will present its proposal for the EU multiannual budget after 2027 on July 16. According to multiple sources, the current structure of agricultural financing will be fundamentally reformed.
For example, the rural development fund would be merged with structural funds for regional development. The remaining resources would be combined into broader national subsidy totals.
Brussels states that a major financial overhaul in the EU is necessary. First, EU countries want to significantly increase their defense spending in the coming years, considering the increased Russian military threat. Additionally, they aim to strengthen their economic position in light of growing American and Chinese trade practices.
In the overviews published so far, no mention is made of a proposal for the Common Agricultural Policy (CAP). According to Dutch Member of the European Parliament Bert-Jan Ruissen (SGP), this reinforces signals that agricultural policy may be incorporated into broader 'National & regional partnership plans.'
Critics say this could lead to serious distortions. Fourteen countries, including both Northern and Southern European states, have therefore jointly lodged objections. They warn that cutting existing EU funds will increase inequality between regions and put essential support for the agricultural sector under pressure.
"With the plans to abolish the agriculture budget, the European Commission is leaving farmers out in the cold," said Bert-Jan Ruissen. He was responding to signals from the European Commission about abolishing the agricultural budget as such in the new Multiannual Financial Framework (MFF) and merging it into a kind of 'single fund' country fund that EU countries can use for various purposes.
The Commission’s plan means that member states will receive one larger subsidy amount per country with EU funds incorporating agriculture, cohesion, and other policy areas. This would then eliminate the direct link between European policy and European funding. There are fears that agriculture will become subordinate to other national priorities.
Although direct income support to farmers seems to be maintained for now, it remains unclear whether this level is sustainable in the long term. The total savings on the agriculture budget could amount to tens of billions of euros.
On Monday, July 7, the agriculture committee of the European Parliament will hold an urgent meeting on this issue. On the morning of Thursday, July 10, an urgent plenary debate will take place concerning the future of the common agricultural policy after 2027. The content of that statement is not yet known at this time.