Caspian Energy (CE): What are the main challenges that the EU agricultural sector is facing today because of climate change?
Janusz Wojciechowski, EU Commissioner for Agriculture: Climate change is happening and our farmers are at the frontline of its impacts. I have seen these impacts first hand, for instance when meeting farmers in Greece, Slovenia, Spain and Italy. On the one hand we have the significant challenges of drought and wildfires, which are very severe in the South of Europe. On the other hand, there has also been an excess of rain in the northern parts of Europe and frost in certain countries that damaged fruit and vegetables’ crops and vineyards. This is why we granted €77 million of support from the agricultural reserve to Austria, Czechia, Poland and Portugal whose farmers were particularly affected by extreme weather events.
So there is no question that we need to act and promote a transition to more sustainable practices to enhance farmers’ long-term resilience.
Our current Common Agricultural Policy is the greenest one ever. Until 2027, close to €98 billion from the CAP (representing 32% of the total spending) will be devoted to delivering benefits for the climate, water, soil, air, biodiversity and animal welfare. The actions supported by this funding will primarily be delivered through eco-schemes and agri-environmental schemes and will focus on the reduction of greenhouse gas and ammonia emissions, as well as increasing the land-based sequestration of carbon.
Furthermore, under national CAP strategic plans, 176,608 farms across the EU are expected to receive funding for climate related investments. Six Member States have assigned an investment priority to the livestock sector, aiming to mitigate emissions, minimise nutrient losses, and exploit manure nutrient content.
In addition, the CAP includes a solid set of tools to help the farmers manage risks, which can be supplemented by national funds. Fifteen Member States have activated risk management tools in their CAP strategic plans, targeting crop production, livestock production and horticulture. For example, Hungary is introducing a mutual fund for insurance against weather risks for certain crops, while Greece is planning to introduce a CSP insurance intervention for crop failure.
As I said, farmers are at the frontline of the fight against climate change; but with the support of the Commission and the CAP, it is a fight they can win.
CE: Does the situation in Ukraine undermine EU’s food security? What priorities are set in this regard?
Janusz Wojciechowski: The situation in Ukraine has had huge consequences for the agricultural sector, destabilising global markets, especially for wheat. Regarding the specific situation of grains from Russia and Ukraine, I would like to recall that we put in place the Solidarity Lanes to help Ukrainian producers export their products through the EU since Russia stepped out of the Black Sea grain Corridor. In early June, we also renewed our trade liberalisation measures with Ukraine, with proper safeguards to protect EU farmers, to keep supporting Ukraine. We also now have tariffs on grain and oilseeds imported from Russia, and Belarus. It is part of our actions to support Ukraine, and to support the EU’s agricultural sector.
In the EU, of particular importance was the rapid authorisation of public emergency aid and the extension of this aid to farmers. Thanks to the integration of agriculture into the aid scheme, over the next 2 years, 22 countries provided a total of over EUR 10 billion in public aid to farmers, helping the most vulnerable sectors and branches to withstand the crisis.
In short, the Commission’s support for Ukraine is unwavering. Both the farmers of the EU and Ukraine make a vital contribution to global food security – the Commission will continue to ensure that this essential work can continue.
CE: What future do you predict to the European agricultural sector, will it be based on large farms or small/medium scale family farms?
Janusz Wojciechowski: This is indeed an important issue; the Commission is carefully monitoring the structural developments in the agricultural sector. The 2020 Eurostat census on EU agriculture shows that the number of farms declined by 25% in the last 10 years, while the average farm size increased. However, the aggregate EU figure hides different dynamics at Member State level and the picture certainly varies between Member States.
Overall, structural change and concentration in farming is a general trend across the world. Without the CAP the decrease in the number of farms would be higher and we would likely lose our traditional rural landscapes. The CAP supports small scale farmers and helps young farmers to set up their businesses. The creation and development of new viable economic activities in the agricultural sector by young farmers is essential for the competitiveness, and the long-term sustainability of the EU’s agricultural sector, and rural and remote areas.
Beyond the direct support to young farmers, the CAP is also investing in rural areas. Close to €25 billion, corresponding to 8% of the total Common Agricultural Policy (CAP) allocations from 2023 to 2027, will directly contribute to the development of rural areas and communities. We launched earlier this year an online tool, called Rural Toolkit, to help small businesses find their best source of EU financing. I invite your readers to check it online.
It is important to retain a diversity of farmers, in terms of sizes and sectors, for both our rural areas and our food security. This diversity has always been a feature of European agriculture and it must be reinforced for the future.
CE: Europe is demonstrating growth in organic farming development. Noteworthy are France, Spain, Italy, Austria and Germany. What measures/reforms are taken or what kind of support is provided to other member countries in order to enable them to catch up with the leaders in terms of organic farming development?
Janusz Wojciechowski: Indeed, organic farming in the EU is growing. The share of EU agricultural land under organic farming has already increased almost 80% between 2012 and 2022. It now accounts for 10.5% of the total, or 17 million hectares. Furthermore, retail sales for organic products have increased by over 128% in the last 10 years, from approximately €18 billion in 2009 to €41 billion in 2019.
However, after impressive growth in 2020 and 2021, the sector has faced difficulties in the recent period, like food price inflation due to the situation in Ukraine.
That is why the continued support of the Commission is crucial. We have set out a comprehensive Organic Action Plan, to strengthen production and to stimulate the increased consumption of organic products.
We need to ensure a balanced development of organics across the EU. And that is what we are doing. All 28 CAP Strategic Plans include funding to support organic farming and between 2012 and 2022, the area used for organic farming increased in almost all EU countries. The sharpest rates of expansion in this period were in Croatia (+306%), Portugal (278%) and Bulgaria (182%).
Even in Member States where the share of organic farming is small, we are seeing a big expansion. For example, in Ireland the share of organic land is 2.2%, which is below the EU average. However, this has grown from 52.8 thousand hectares in 2012 to 95.7 thousand hectares in 2022 – an impressive 81% growth.
Furthermore, we recently announced the finalists of our 2024 EU Organic Awards. The finalists came from across Europe, showing that the development of organics is spreading to every Member State. The winners will be announced at a ceremony in Brussels on 23rd September. I invite you and your readers to watch this space!
CE: To what extent do organic agriculture techniques contribute to mitigation of climate change and does the EU share its experience in this area with neighboring or other regions (Caspian region states, Central Asian states, North Africa)?
Janusz Wojciechowski: Compared to conventional farming, organic farming has positive impacts per unit of agricultural land for biodiversity, carbon sequestration, greenhouse gas emissions, energy use, eutrophication, nutrients loss and soil biological quality.
For instance, organic farming systems perform better for soil organic matter content, soil organic stocks, and the soil organic carbon sequestration rate. On greenhouse gases, a decrease in emissions (both for CH4 and N2O) per unit of land has been shown for both animal and crop producing organic farms.
To answer the second part of your question, the EU wants to share its organic experiences with our international partners. For instance, I recently led a high-level trade mission to Kazakhstan, a country that intends to boost its potential for organic production, as well as its exports of organic products to the EU. This interest was expressed during a number of bilateral meetings. I recall my visits to Rodina farm, where the rich and naturally fertile soils were ideal for organic practices, as well as Karaganda University, where they were developing a very exciting range of organic products. So there is indeed great potential here.
The main assistance tool that the Commission has in this area is the Technical Assistance and Information Exchange (TAIEX) instrument. Kazakhstan has already benefitted of TAIEX initiatives in the organic sector and further opportunities could be explored.
Technical assistance was provided on the development of local organic agriculture, and on the preparation of a control residue plan for honey, for which a dedicated TAIEX mission was organised in November 2023. On 11-15 March 2024, the EU organized a week-long TAIEX workshop, attended by around 70 veterinary inspectors and agri-food producers from all over Kazakhstan, to ensure that Kazakh veterinary control systems for animal-derived products (like meat, eggs, dairy products, caviar, honey) align with EU requirements to allow these products to be exported to the EU in the future.
This is just one example of how the EU is encouraging our international partners to embrace the potential of organics. We are also providing support through other initiatives, such as the EU-Africa Rural Transformation action agenda and international cooperation projects under Horizon Europe. I am confident that by working together, we can achieve great results for rural economies and the global environment.
CE: What is the specific role of agriculture in achieving the Green Deal’s objectives?
Janusz Wojciechowski: First, I want to challenge the premise that farmers do not want to act in favour of the environment. During my term in office, I have met with farmers in nearly every Member State and I can report that this assumption is far from true.
Farmers have an essential role in the fight against climate change, as well as in protecting our natural resources and conserving biodiversity. Since 1990, EU agriculture has lowered its GHG emission by 23% while increasing productivity. And EU agricultural methane decreased by 21%, mainly thanks to a decreasing cattle herd. A very high number of farmers subscribed to eco-schemes proposed by Member States in their CAP Strategic Plans. 47% of EU farmland will be covered by voluntary practices of sustainable management of natural resources, with substantial efforts on soil protection.
There is no opposition between producing high quantity of quality food and protecting natural resources. Both can be done. Both must be done.
Thank you for the interview.