EUROPEAN-SEED.COM I EUROPEAN SEED I 19 YOUNG PEOPLE WANTING TO BECOME FARMERS Given the difficulty of the work involved and the scale of invest- ment required to set up a farm, there are unfortunately fewer and fewer farmers in Europe. At present 4.5 million farmers in Europe (30%) are over 65, and only 6% are under 35. So, to ensure the future of farming, it must be made more attractive, and young people need to be given help in entering the sector. To achieve these goals and encourage generation renewal in farming the CAP offers setting-up aid mechanisms. The 2013 reform introduced a new type of aid for young farmers: a bonus corresponding to 25% of the amount of direct payments payable to young farmers in their first five years of working in the sector. DIFFERENCE AGRICULTURE VS. OTHER SECTORS Agriculture is the only sector entirely funded from the EU budget, meaning that EU spending replaces national spending. Other areas, such as research, education, transport, defence, pensions and healthcare are either not included in the EU budget or take a much smaller share because they are paid for – fully or partially – out of national budgets and are implemented by the EU countries themselves. In return, the CAP guarantees the European public a dependable and plentiful supply of high-quality food, as well as a healthy environment and exceptional landscapes. WHAT ABOUT BIOFUELS, AND ARE THESE RESPONSIBLE FOR THE INCREASE IN FOOD PRICES? Various studies available suggest that the production of biofuels in the EU does not play a significant role in raising food prices. Only 1% of the EU's cereals go into the production of ethanol. Around 2/3 of our oilseed rape production goes into the production of biodiesel, but this accounts for only 2% of world demand. Nevertheless, we must invest in second and third generation biofuels. FOOD SAFETY The EU has improved food safety significantly since the 1990s by introducing hygiene measures, rules on animal and plant health, and checks on pesticide residues and additives in food, to give but a few examples. Food regulations in Europe are among the most stringent in the world. GUARANTEEING FOOD QUALITY There are a few ways in which the EU guarantees food quality for example through labelling, marketing and quality rules, such as the protection of geographical indications, mandatory nutri- tional information on labels, quality logos and animal welfare standards, etc. But apart from hygiene rules which guarantee safe prod- ucts, the EU has also developed the following: • marketing standards that products sold in the EU are required to meet; • optional quality terms to indicate the quality of the prod- uct on the label; • European systems of quality to identify products with a specific quality; • ‘Protected Designation of Origin’ (PDO) or 'Protected Geographical Indication' (PGI) for quality linked to geo- graphical origin; • ‘Traditional Speciality Guaranteed’ (TSG); • a special EU logo for organic products meeting strict pro- duction requirements; • guidelines to optimise the performance of food quality certification systems guaranteeing compliance with cer- tain product characteristics or processes. THE NEED FOR A 'COMMON' AGRICULTURAL POLICY AT EU LEVEL Unlike most other sectors which are governed by national poli- cies, agriculture is a sector which is supported almost exclusively at European level. Therefore, the EU Commission considers it important to have a public policy for a sector that is responsible for ensuring food safety and which plays a key role in the use of natural resources and the economic development of rural areas. All the EU countries share these objectives and agree that meas- ures must be taken at European level to ensure fair conditions with a common set of objectives, principles and rules. A collec- tive EU policy also makes for better use of budgetary resources than would the coexistence of national policies. PREVIOUS CAP REFORMS The most substantial reforms to the CAP began in 1992 and intensified in 2003, when the link between subsidies and pro- duction was cut. This means that, in order to receive subsidies, farmers no longer have to produce food for which there is no market. Instead, they are now free to produce what the market and consumers want, look for profitable new markets and exploit new niches. Farmers now receive income support, provided they EUROPE’S AGRICULTURE THROUGH TIME • 1957: The Treaty of Rome creates the European Economic Community (the precursor of today’s EU), between six western European countries. • 1962: The common agricultural policy is born. The CAP is conceived as a common policy, with the objectives of providing affordable food for EU citizens and a fair standard of living for farmers. • 1984: The CAP falls victim to its own success. Farms become so productive that they grow more food than needed. The surpluses are stored and lead to ‘food mountains’. Several measures are introduced to bring production levels closer to what the market needs. • 1992: The CAP shifts from market support to producer support. Price support is scaled down and replaced with direct payments to farmers. They are encouraged to be more environmentally friendly. The reform coincides with the 1992 Rio Earth Summit, which launches the principle of sustainable development. • 2003: The CAP provides income support. A new CAP reform cuts the link between subsidies and production. Farmers now receive an income support, on condition that they look after the farmland and fulfil food safety, environmental, animal health and welfare standards. • 2013: The CAP is reformed to strengthen the competitiveness of the sector, promote sustainable farming and innovation, to support jobs and growth in rural areas and to move financial assistance towards the productive use of land.