Mr President, Commissioner, ladies and gentlemen, at first sight the importance of the flax and hemp sector may perhaps not be obvious, particularly to those colleagues who work less frequently on agricultural matters. Flax and hemp are crops with a very rich tradition in Europe, whose popularity has nevertheless declined over the years and whose versatility is only now being rediscovered. It is precisely the possibilities which this branch of agriculture offers of developing products with a promising future which we need to support at European level. Insulation for houses, filling materials for vehicle bodywork and presses for furniture manufacture are just some of the examples of this modern technology. The production of these materials from renewable raw materials should offer a real alternative to synthetically-produced ones and, at the same time, provide a new and attractive source of income for farmers as suppliers of those raw materials. The need for reform is justified, above all, by misuses of funds and subsidy fraud in recent years. I am firmly opposed to this subsidy hunting and strict controls are necessary to ensure compliance with legal provisions. All the same, in my opinion, the Commission proposals overshoot the mark a little. Allow me briefly to outline the basic considerations underlying my report. Area payments should be set at EUR 126/t – or EUR 600/ha – and should only be disbursed if proof of delivery to the processor is furnished. The area payments are being established under the regulation on the support system for producers of arable crops and, for this reason, this regulation also needs to be adjusted to take account of the specific characteristics of flax and hemp. It goes without saying that the regional base areas envisaged in this regulation need to be expanded to incorporate the areas for flax and hemp. Since flax and hemp are mainly grown for non-food purposes and no surpluses are produced, there should be no set-aside obligation, because set-aside serves as an instrument to regulate markets where surpluses are possible. The processing aid which is to be paid out to the primary processor will only be granted if proof can be provided that processing has taken place within the last 18 months. Since this aid is supposed to take account of the economic viability of the sector, the Committee on Agriculture and Rural Development proposes setting this at EUR 120/t for long flax fibre and EUR 70/t for short flax fibre and hemp. Of course, it is not only the premium for long fibres, but also that for short fibres which needs to be secured as a long-term measure because it is precisely short fibres which are of prime importance for innovative projects. Commissioner, the national maximum quantities and the maximum quantity for the EU, which the Commission is proposing, need to be reconsidered. The maximum quantities for each Member State should be calculated on the basis of existing processing capacities and adjusted to take account of planned processing capacities for which irreversible investments have already been made. Allow me to make one further comment on hemp because there is still some misunderstanding here. There is no risk of drugs being cultivated in Europe and the use of hempseed for nutritional purposes is deeply rooted in certain regions. The existing control mechanisms and limits are sufficient, in my view, to prevent hemp from being cultivated for the production of psychotropic substances. Specialities have developed in the individual regions – such as hempseed oil and hemp beer – which help to enrich regional identity through the food chain. Mr President, I should once more like to point out that a reform, which is admittedly necessary, of the flax and hemp sector, which, on account of its multi-functionality, is so important for the future of European agriculture and for the future of farmers as suppliers of raw materials for new spheres, must not be allowed to render the entire sector unprofitable. The Committee on Agriculture and Rural Development adopted this report by a large majority. That is why I should like to extend my warmest thanks to all those who supported me when I was drawing up this report.

Political group: PPE-DE