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The 2007-2013 EU rural development plan and the international context

The 2007-2013 EU rural development plan and the international context. Sabine LARUELLE Ministre des Classes Moyennes et de l’Agriculture. FSAGx – November 30, 2005. Context. Globalization of exchanges on planetary scale Qualitative requirements of the consumers Enlargement of the Union

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The 2007-2013 EU rural development plan and the international context

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  1. The 2007-2013 EU rural development plan and the international context Sabine LARUELLE Ministre des Classes Moyennes et de l’Agriculture FSAGx – November 30, 2005

  2. Context • Globalization of exchanges on planetary scale • Qualitative requirements of the consumers • Enlargement of the Union • CAP reforms (1999, 2003, 2004, 2005) • => European agriculture / new realities & challenges

  3. Context • Rural territory = 90 % of the European territory • Agriculture & forestry = 77 % of the European territory • Agricultural and agro-food sectors = • 8.3 % of total employment • 4.4 % of BNP of the EU-25 • Future of the agricultural sector narrowly linked to the balanced development of rural territory • Rural agricultural policy has an important role to play in the territorial, economical and social cohesion of the Union

  4. Rural development : basic principles • Multifunctionality of agriculture • Acknowledgement en encouraging of the range of services provided by farmers • Multisectorial & integrated approach of rural economy • Diversification of activities • Creation of new income & employment ressources • Protection of rural heritage • Flexibility of aid • Based on subsidiarity and favouring decentralisation, consultation on the local level & partnership • Simplification of the legislation (1 single FEADER fund) • Program 2007(?) – 2013 in continuity of the 2 latter

  5. Timing • Göteborg (2001) et Lisbon (2003) : definition of principles “ A performing economy needs to go together with a sustainable use of natural resources…” • July 2004: proposition from the Commission of a new regulation to rule the 2nd pillar of the CAP • June 20, 2005: political agreement of the aid for rural development through the FEADER fund • July 2005: proposition of strategic orientations • November 2005 : adoption of strategic orientations • 1st semester 2006: detailed program of the strategic plans to be approved by the Commission (1 plan per Region in Belgium) • January 1st, 2007 – December 31, 2013 : start

  6. Financing • One single financing tool and program-tool: the FEADER • Agreement on the financing of rural development in the framework of financial perspectives • Setback in June 2005 • Agreement in December 2005 ? • Global Budget Union : 1 … à 1.26 % of the BNP • Belgian position : 1.15 % • Budget rural development 2007-2013 : 90 billion € • Approximate Belgian budget : 450 million € • Threats – Opportunity (British presidency) • Reduction aiming to sustain R&D • Increase of modulation

  7. 3 axes + LEADER • AXE 1: Improvement of competition of agriculture and forestry: • Aid for installation of the juniors • Promotion of human capital through education • Improvement & extension of infrastructures • Innovation, aid and improvement of food-quality • Development new outcomes • Anticipated retirement • … • BUDGET : minimum 10 % of the national envelop ; rate of common co-financing limited to 50 %

  8. 3 axes + LEADER • AXE 2: Environment & rural space • Payment NATURA 2000 • MAE • Indemnities for animal well-being • Measures in favor of sustainable development and forestry • Compensation aid for natural handicaps (mountains) • … • BUDGET : minimum 25 % of national envelop ; rate of common co-financing limited to 55 %

  9. 3 axes + LEADER • AXE 3: Improvement of life quality in rural areas & diversification of rural economy • Development of economic activity and employment rate • Diversification of non agricultural activities • Aid for starting up micro-enterprises • Promotion of tourism • Renovation villages • … • BUDGET : minimum 10 % of the national envelop ; rate of common co-financing limited to 50 %

  10. 3 axes + LEADER • AXE 4: LEADER Approach • Combination of the latter 3 objectives • Implementation of development strategies of local action groups according to the ascendant approach. • BUDGET : at least 5 % of the funds for national programs

  11. Common strategic orientations will help to : • Identify regions where aid creates the most added value on the UE level Belgian concern: strong population density) • Establish a link with the principal priorities of the UE (Göteborg, Lisbon) & translation in the DR policy • Insure coherence with other common policies, in particular in the area of cohesion & environment • Support implementation of the new CAP which is market-oriented and the necessary subsequent re-structuring in all the Member States.

  12. Sabine LARUELLE Ministre des Classes Moyennes et de l’Agriculture Thank you

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