Commission proposals for Rural Development Policy after 2013: Title I, “Objectives and strategy”

1. Commission proposals for Rural Development Policy after 2013: Title I, “Objectives and strategy” Working Party F02 (Rural Development) Meeting of 04/11/11 – session 2

2. Scope and Definitions (articles 1 and 2) • Scope (article 1): • Lays down general rules on European Agricultural Fund for Rural Development, plus rules on programming, networking, management, monitoring and evaluation and rules to ensure co-ordination with other Union instruments, notably the CAP’s 1st pillar; • Defines rural development policy’s objectives, priorities and measures • Complements the provisions of Part II of the regulation establishing common provisions for funds covered by the Common Strategic Framework («CSF Funds regulation») • Definitions (article 2): • Expanded and updated list of definitions for sake of clarity • Legal references in list of definitions will be updated before adoption of Regulation

3. Mission and Objectives (articles 3 and 4) Mission (article 3): to contribute to the Europe 2020 Strategy By promoting sustainable rural development In a complementary manner to other instruments of the CAP, Cohesion Policy and European Maritime and Fisheries Policy With a focus on territorially and environmentally balanced, climate-friendly and resilient and innovative Union agricultural sector Objectives (article 4): Contributing to the competitiveness of agriculture Contributing to the sustainable management of natural resources, and climate action Contributing to a balanced territorial development of rural areas Innovation, environment and climate change adaptation and mitigation are cross-cutting objectives (recital 5 and article 5) 3

4. Priorities (article 5) • Rationale: • Reflecting the rural development contribution to the CSF Funds Thematic Objectives (art. 9 of CSF Funds Regulation), and therefore to the EU-2020 Strategy • Outlining the rural development focus areas / key actions of greatest added value • Facilitating programming, by logically linking the objectives of the policy to possible operational outcomes • Scope of the priorities: • Horizontal (recital 5): priority 1, • Mainly sectorial: priorities 2, 3 and 5, • Based on land management practices: priority 4 • Applying at broad territorial scale: priority 6 • Link to horizontal principles of Union support • Priorities shall be pursued in the framework of sustainable development and the Union’s aim of protecting the environment (recital 5 of rural development regulation & art. 8 of CSF Funds Regulation)

5. Rural development priorities Focus areas / key actions 1. Knowledge transfer and Innovation (a) fostering innovation and the knowledge base in rural areas (b) strengthening the links between agriculture and forestry and research and innovation (c) fostering lifelong learning and vocational training in the agricultural and forestry sectors 2. Competitiveness of all types of agriculture and farm viability (a) facilitating restructuring of farms facing major structural problems, notably farms with a low degree of market participation, market-oriented farms in particular sectors and farms in need of agricultural diversification (b) facilitating generational renewal in the agricultural sector (a) better integrating primary producers into the food chain through quality schemes, promotion in local markets and short supply circuits, producer groups and inter-branch organisations (b) supporting farm risk management 3. Food chain organisation and risk management (a) restoring and preserving biodiversity, including in Natura 2000 areas and HNV farming, and the state of European landscapes (b) improving water management (c) improving soil management 4. Restoring, preserving and enhancing ecosystems (a) increasing efficiency in water use by agriculture (b) increasing efficiency in energy use in agriculture and food processing (c) facilitating the supply and use of renewable sources of energy, of by-products, wastes, residues and other non food raw material for purposes of the bio-economy (d) reducing nitrous oxide and methane emissions from agriculture (e) fostering carbon sequestration in agriculture and forestry 5. Resource efficiency and shift towards a low carbon and climate resilient economy 6. Social inclusion, poverty reduction and economic development in rural areas (a) facilitating diversification, creation of new small enterprises and job creation (b) fostering local development in rural areas (c) enhancing accessibility to, use and quality of information and communication technologies (ICT) in rural areas Innovation, Climate Change and Environment as cross-cutting objectives 5

6. Consistency (article 6) • This article complements art. 4 of CSF Funds Regulation (“general principles”) • It refers to the specific requirement of ensuring consistency and compatibility of support provided under the two pillars of the CAP • Support from the EAFRD: • Shall be consistent with the measures financed by the European Agricultural Guarantee Fund (EAGF), and • Shall not cover operations supported under common market organisations