EN   EN 
 
 
 EUROPEAN  
COMMISSION   
Brussels, 1.6.2018  
COM(2018) 394 final/2  
2018/0218 (COD)  
 
This document corrects document COM(2018) 394 final of 1.06.2018.  
 
Concerns the English, French and German versions.  
 
Adding of cross -references on the cover page.  
 
The text shall read as follows:  
Proposal for a  
REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL  
amending Regulations (EU) No 1308/2013 establishing a common organisation of the 
markets in agricultural products, (EU) No 1151/2012 on quality schemes for agricultural 
products and foodstuffs, (EU) No 251/2014 on the definition, description, presentation,  
labelling and the protection of geographical indications of aromatised wine products, 
(EU) No 228/2013 laying down specific measures for agriculture in the outermost 
regions of the Union and (EU) No 229/2013 laying down specific measures for 
agriculture i n favour of the smaller Aegean islands  
{SWD(2018)  301 final} - {SEC(2018)  305 final}    
EN 1  EN EXPLANATORY MEMORANDUM  
1. CONTEXT  OF THE  PROPOSAL  
• Reasons for and objectives of the proposal  
The Commission proposal for the Multiannual Financial Framework (MFF) for 2021 -2027 
(the MFF proposal)1 sets the budgetary framework and main orientations for the Common 
Agricultural Policy (CAP). On this basis, the Commission presents a set of regulations laying 
down the legislative framework for the CAP in the period 2021 -2027, together with an impact 
assessment of alternative scenarios for the evolution of the policy. These proposals provide 
for a date of application as of 1 January 2021 and are presented for a Union of 27 Member 
States, in line with the no tification by the United Kingdom of its intention to withdraw from 
the European Union and Euratom based on Article 50 of the Treaty on European Union 
received by European Council on 29 March 2017.  
The latest reform of the CAP was decided in 2013 and implem ented in 2015. Since then, the 
context in which that reform was forged has shifted significantly. In particular:  
Agricultural prices have fallen substantially – depressed by macroeconomic factors, 
geopolitical tensions and other forces.  
The emphasis of tr ade negotiations has moved more visibly from multilateral to bilateral deals 
and the EU has become more open to world markets.  
The EU has signed up to new international commitments – e.g. concerning climate change 
mitigation (through COP 21) and broad aspe cts of international development (through the 
UN's Sustainable Development Goals – SDGs), as well as efforts to better respond to other 
geopolitical developments including migration.  
These shifts have prompted a public debate about whether the 2013 reform goes far enough to 
help the CAP adequately meet broad ongoing challenges related to the economic health of the 
farm sector, care for the environment, action over climate change, and a strong and economic 
and social fabric for the EU's rural areas – especia lly in view of emerging opportunities for 
action in the areas of trade, the bioeconomy, renewable energy, the circular economy and the 
digital economy.  
The CAP must be modernised to meet these challenges, simplified to do so with a minimum 
of administrativ e burden, and made even more coherent with other EU policies to maximise 
its contribution to the ten Commission Priorities and the Sustainable Development Objectives. 
Indeed, as the Commission recalled in its recent Communication on the MFF, a modernised 
Common Agricultural Policy will need to support the transition towards a fully sustainable 
agricultural sector and the development of vibrant rural areas, providing secure, safe and high -
quality food for over 500 million consumers. Europe needs a smart, res ilient, sustainable and 
competitive agricultural sector in order to ensure the production of safe, high -quality, 
affordable, nutritious and diverse food for its citizens and a strong socio -economic fabric in 
rural areas. A modernised Common Agricultural Po licy must enhance its European added 
value by reflecting a higher level of environmental and climate ambition and addressing 
citizens' expectations for their health, the environment and the climate.  
As foreseen in its Programme of Work for 2017, the Commission consulted widely on the 
simplification and modernisation of the CAP to maximise its contribution to the 
Commission's ten priorities and to the Sustainable Development Goals (SDGs). This focused 
                                                 
1 [COM(2018) 322 final – MFF Regulation].   
EN 2  EN on specific policy priorities for the future without prejudice to the financial allocations for the 
CAP in the next MFF. The process included a large consultation, as well as analysis of 
available evidence on the performance of the CAP, including the relev ant REFIT Platform 
opinions.  
The outcome was presented in the Communication adopted on 29 November 2017 and 
entitled "the Future of Food and Farming".  The Communication enables a structured dialogue 
on the future CAP in EU Institutions as well as with sta keholders. This policy document 
outlined challenges, objectives and possible avenues for a "future -proof" CAP that needs to be 
simpler, smarter and modern, and lead the transition to a more sustainable agriculture.  
In particular, the Commission identified higher environmental and climate action ambition, 
the better targeting of support and the stronger reliance on the virtuous Research -Innovation -
Advice nexus as top priorities of the post -2020 CAP. It also proposed as a way to improve the 
performance of the  CAP a new delivery model (NDM) to shift the policy focus from 
compliance to performance, and rebalances responsibilities between the EU and the Member 
State level with more subsidiarity. The new model aims at better achieving EU objectives 
based on strate gic planning, broad policy interventions and common performance indicators, 
thus improving policy coherence across the future CAP and with other EU objectives.  
• Consistency with existing policy provisions in the policy area  
Article 39 TFEU sets out the o bjectives of the CAP:  
 to increase agricultural productivity by promoting technical progress and by 
ensuring the rational development of agricultural production and the optimum 
utilisation of the factors of production, in particular labour;  
 thus to ensure a fair standard of living for the agricultural community, in 
particular by increasing the individual earnings of persons engaged in agriculture;  
 to stabilise markets;  
 to assure the availability of supplies;  
 to ensure that supplies reach consumers at reason able prices.  
This proposal is fully consistent with the CAP Treaty objectives. It modernises and simplifies 
the way the Treaty provisions are implemented.  
 Consistency  with  other  Union  policies  
Agriculture and forestry cover 84% of the EU territory. The s ectors both depend on and 
influence the environment. Therefore, a number of the proposed CAP specific objectives will 
trigger environmental and climate action in line with the respective EU policies.  
It is well known that consumption patterns have an infl uence on public health. Via its link to 
food and sometimes also the way food is produced agricultural policies are linked to health 
policies. The proposals reinforce the links to health policy, in particular as regards healthy 
diets and the decrease of the  use of anti -microbials.  
The EU is a major importer of commodities and an exporter of valuable agriculture and food 
products and has therefore an impact on food systems outside the EU. The proposal, in line 
with Art 208 of TFEU, takes into account the EU d evelopment cooperation’s objectives of 
poverty eradication and sustainable development in developing countries, in particular by 
ensuring that EU support to farmers has no or minimal trade effects.   
EN 3  EN Finally, like in other sectors, agriculture and rural area s can make better use of new 
technology and knowledge, in particular of digital technologies. The proposals reinforce the 
links to research policy by putting the organisation of knowledge exchange prominently in the 
policy delivery model. Similarly, the em phasis placed on digitisation allows linking up to the 
EU Digital Agenda.  
2. LEGAL  BASIS,  SUBSIDIARITY  AND  PROPORTIONALITY  
• Legal  basis  
Article 43(2) TFEU as regards amendments to Regulation (EU) No 1308/2013 and Article 
114 TFEU and first paragraph of Article 118 TFEU as regards amendments to Regulations 
(EU) No 1151/2012, (EU) No 251/2014 and Articles 43(2) and 349 as regards amendments to 
Regulation (EU) No 228/2013 and Article 43(2) as regards Regulation (EU) 229/2013.  
• Subsidiarity  (for non-exclusive  competence)   
The Treaty on the Functioning of the European Union provides that the competence for 
agriculture is shared between the Uni on and the Member States, while establishing a common 
agricultural policy with common objectives and a common implementation. The current CAP 
delivery system relies on detailed requirements at EU level, and features tight controls, 
penalties and audit arra ngements. These rules are often very prescriptive, down to farm level. 
In the Union's highly diversified farming and climatic environment, however, neither top -
down nor one -size-fits-all approaches are suitable to delivering the desired results and EU 
adde d value.  
In the delivery model in this proposal, the Union sets the basic policy parameters (objectives 
of the CAP, broad types of intervention, basic requirements), while Member States bear 
greater responsibility and are more accountable as to how they m eet the objectives and 
achieve agreed targets.  
Greater subsidiarity will make it possible to better take into account local conditions and 
needs, against such objectives and targets. Member States will be in charge of tailoring CAP 
interventions to maximi se their contribution to EU objectives. While maintaining current 
governance structures – that must continue to ensure an effective monitoring and enforcement 
of the attainment of all policy objectives - the Member States will also have a greater say in 
designing the compliance and control framework applicable to beneficiaries (including 
controls and penalties).  
• Proportionality  
The economic, environmental and social challenges facing the EU's farm sector and rural 
areas require a substantial response whi ch does justice to the EU dimension of those 
challenges. The greater power of choice to be offered to MS in selecting and adapting 
available policy tools within the CAP to meet objectives, in a more results -based model, 
should make it even less likely that  the CAP oversteps a proportionate level of action.  
• Choice  of the instrument  
Since the original acts are all European Parliament and Council regulations the amendments 
must be introduced by European Parliament and Council regulation.   
EN 4  EN 3. RESULTS  OF EX-POST  EVALUATIONS,  STAKEHOLDER  
CONSULTATIONS  AND  IMPACT  ASSESSMENTS  
• Ex-post evaluations/fitness  checks  of existing  legislation  
The CAP is deeply rooted in the construction and in the development of the European Union 
(EU). Established in the early sixt ies around goals enshrined in the Treaty, it has since 
undergone several waves of reforms to improve the competitiveness of the agricultural sector, 
to foster rural development, to address new challenges and to better reply to societal demands. 
The latest major reform was adopted in 2013. In the 2013 reform , the general objectives of 
the CAP were streamlined around three blocks:  
i. Viable food production  
ii. Sustainable management of natural resources and climate action  
iii. Balanced territorial development  
To assess progress towards achieving the above objectives and identify future challenges, a 
wide consultation process encouraged a structured debate with all stakeholders, including 
non-agricultural actors. Furthermore, evidence on the performance of the CAP was gathered 
from a wealth of information available on the CAP (briefly summarised in Box 1 below), 
which served as background for assessing the achievements and shortcomings of the CAP 
over the years, but especially with respect to its most recent ref orm. This concerns in 
particular:  
 evidence collected through the Common Monitoring and Evaluation and 
Framework (CMEF) which serves for measuring the performance of the CAP2; 
 A series of evaluation studies scheduled over the current Multiannual Financial 
Framework (2014 -2020) to assess current CAP objectives, with first findings 
available in 2017/183. 
Results concerning progress towards targets and corresponding financial envelopes 
available in the Annual Implementation Reports (AIR) for Rural Development.  
 Additional background documents, data, facts, figures relevant for the impact 
assessment have been published on the internet page of DG AGRI4. 
• Stakeholder  consultations  
An open public consultation was held with more than 322.000 submissions, structured 
dialogue with stakeholders, five expert workshops, opinions of the REFIT Platform, 
contributions from the European Economic and Social Committee, the Committee of the 
                                                 
2 Established  in art. 110 of European Parliament and Council Regulation (EU) No  1306/2013 of 17 
December 2013 on the financing, management and monitoring of the common agricultural policy and 
repealing Council Regulations  and the Commission Implementing Regulation (EU) No 834/2014 of 22 
July 2014 laying down rules for the application of the common monitoring and evaluation framework of 
the common agricultural policy.  
3 European Commission ( 2017) Evaluation and studies plan  2017 -2021 , Direction General for 
Agriculture and Rural Development . 
4 See: 
https://ec.europa.eu/agriculture/statistics/facts -and-figures_en  
https://ec.europa.eu/agriculture/sites /agriculture/files/consultations/cap -
modernising/eco_background_final_en.pdf  
https://ec.europa.eu/agriculture/sites/agricultu re/files/consultations/cap -
modernising/env_background_final_en.pdf  
https://ec.europa.eu/agriculture/sites/agriculture/files/c onsultations/cap -
modernising/soc_background_final_en.pdf   
EN 5  EN Regions, and from National Parliaments. The process also took into account recommendations  
of the Agricultural Market Task Force (AMTF)5 and the Cork Conference on Rural 
Development (2016).6  
• Collection  and use of expertise  
In order to gather evidence/knowledge from experts on CAP -related issues a set of specialised 
workshops were organised b etween March 2017 and February 2018. These workshops 
allowed to exchange views between experts and Commission officials, and to advance in the 
formulation of the key conclusions/ issues to take into account in the modernisation and 
simplification process.  
The five issues to be tackled by workshops were selected in order to cover the most relevant 
areas where gaps on knowledge and disagreements on policy approaches had been detected. 
The workshops were designed according to a similar methodology based on th e following:  
 
1. collection of the latest evidence available at the level of experts, academics, 
practitioners and international institutions;  
2. focus on practical experiences on the ground;  
3. assessment on the potential of new technologies/approaches to impro ve future policy 
design in the specific area covered.  
 
The summaries of the workshops and presentations are available at:  
https://ec.europa.eu/agriculture/events/cap -have-your-say/workshops_en  
Workshop 1: Best practices addressing environmental and climate needs  (23/24 March 2017)  
 
This two -day workshop involved a wide range of experts on the environmental and climate 
challenges. It examined:  
 tools available for assessing the environmental needs;  
 methods to improve the uptake of the measures (with a focus on the role of 
behavioural approaches).  
Workshop 2: Risk management (18 /19 May 2017)  
 
This two -day workshop tried to advance in the collection of evidence in the debate on the 
tools to support the farming community to better face the production, price and income risks. 
It examined:  
 the challenges of the EU market safety net a nd the recent developments in the risk 
management system in force in the US;  
 the case of future markets in the EU, the EU agricultural insurance and 
reinsurance sector, the case of a public -private partnership and a crop insurance 
scheme;  
 behavioural aspects of risk management.  
                                                 
5 Report of the Agricultural Markets Task Force (the AMTF report) (2016) Improving market outcomes 
enhancing the position of farmers in the supply chain . 
6 European Commission ( 2016) Cork 2.0: European Conference on Rural Development , website .  
EN 6  EN Workshop 3: Food and related issues (31 May 2017)  
 
The Workshop on food and related issues examined the CAP's alignment to health policy and 
its capacity to facilitate farmers' adaptation to changes in consumption patterns. In particular 
Anti-Microbial Resistance warrants increased attention.  
Workshop 4: Socio -economic issues (9 June 2017)  
 
The workshop on socio -economic issues focused on the analysis of the dynamics of growth 
and jobs in EU agri -food sector. It ex amined the links between global agriculture and food 
value chains in the EU from both a conceptual perspective and a practical perspective, based 
on case -studies.  
 
Workshop 5: Measuring the CAP environmental and climate performance (26 February 2018)  
 
The workshop examined what basic policy objectives can be set at EU level, how they can be 
implemented at Member State level, and how they can be monitored, controlled and 
evaluated.  
• Impact  assessment  
The impact assessment supporting the legislative propos als, as well as the opinions of the 
Regulatory Scrutiny Board (RSB), are available on the following site:  
List of impact assessments and the accompanying opinions of the Regulatory Scrutiny Board  
The RSB initially issued a negative opinion. While appreciating the ambition to modernise 
and simplify the CAP and the in -depth analysis of different scenarios that usefully highlight 
the trade -offs between the policy objectives, the Board c onsidered that the report should better 
explain the rationale, feasibility and functioning of the proposed new delivery model. The 
required complements were added in the impact assessment report, including in a special 
Annex on the proposals for the new de livery model. On this basis, the RSB gave a positive 
opinion with reservations. While acknowledging improvements in the report, the Board 
requested further specifications on the precise safeguards for mitigating the identified risks. 
Annex 1 of the impact assessment report (Staff Working Document) spells out adjustments 
undertaken to meet the requirements of the Board . 
Different policy options are presented and discussed in the impact assessment  report . There is 
no preferred option in the impact assessment.  Instead various combinations of elements of the 
proposals  were tested in the different options to see what optimum mix could be distilled.  
The options essentially test  contrasted approaches to achieve the identified objectives : 
1. varying levels of enviro nmental and climate ambition, focussing on the potential 
effects of obligatory and voluntary systems of delivery;  
2. different ways to support farm income and in particular its distribution between 
different farmers, focussing on the potential effects on s mall and medium -sized 
farms.  
3. broader socio -economic interventions, in particular under the rural development 
policy, as well as cross -cutting approaches for modernisation.  
The first option tests the potential of a voluntary eco -scheme to increase envir onmental and 
climate ambition. It also examines the potential role of risk management tools with lower  
EN 7  EN direct payments in supporting farmers' income. Two sub -options reflect different MS 
environmental ambitions and approaches to direct payments  within the new delivery model.   
In another option, direct payments are better targeted and the implementation of conditionality 
is more ambitious in order to improve the joint economic and environmental performance of 
the CAP, as well as address climate challenges. S ub-options are also developed to illustrate 
possible differences in MS ambition regarding environmental and climate objectives . 
A final option places strong emphasis on environmental care and employment – and shifts the 
focus on small and medium size farme rs as a way to keep jobs in rural areas. MS are obliged 
to allocate 30% of pillar I payments to provide top ups for four schemes that would be 
voluntary for farmers  - organic farming, permanent grassland, Areas with Natural Constraints 
(ANC) and linear lan dscape elements, to further encourage climate action and sustainable 
management of natural resources.  
 
The impact assessment points  out the difficult trade -offs that are inherent to a policy 
addressing so many diverse objectives , when basic parameters are significantly changed.  
A key basic parameter is the level of CAP support. The cut of 5% proposed by the 
Commission in its May 2018 Communication for the 2021 -2027 MFF is within the range 
considered in the impact assessment.  
With respect to farm income, bo th the level and the distribution of support matter. Securing an 
adequate level of support and thus farm income remains a key element for the future, in order 
to ensure food security , environmental and climate ambition,  as well as rural vitality.  Better 
targeting of support  to small and medium sized farms and areas with natural constraints can 
help keeping more jobs on farms and farming activity on the whole territory , hence 
strengthening the socio -economic fabric of rural areas. Capping and convergence can improve 
the distribution of direct payments.  It is clear that any option that significantly redistributes 
direct payments towards farms and regions of lower productivity will, in the short -term, lead 
to a reduction of EU competitiveness , while it enhan ces the protection of the environment.  
Less clear, however, is the appropriate combination of measures that could mitigate negative 
income effects while at the same time better addressing challenges that are also pertinent for 
agriculture - such as environ ment and climate, or societal expectations . This requires 
incentivising  adjustments that improve both the socio -economic as well as the environmental 
performance of the sector.  
Contributions from the stakeholder consultation and analyses demonstrate that t his is possible, 
provided that the necessary accompanying measures addressing a higher environmental and 
climate action ambition  enable the adoption of best practices (in both conventional and other 
forms of farming) that include knowledge, innovation and the latest pertinent technology.  
On the basis of the assumptions and choices made in the analysis, there are potential trade -
offs in the achievement of economic, environmental and social objectives of the CAP, as well 
as with respect to its desired moderni sation and simplification. In summary, redistribution 
could lead to manageable income impacts, and support the desired increased ambition of 
environmental and climate action and other CAP synergies . This, however, would require 
that the sector and the poli cy grasp the opportunities offered by innovation and technologies 
already allowing modernisation and simplification.  
Other assumptions and choices would certainly alter detailed results , but not the main  
underlying message – that the preferred option for t he future CAP should combine the most  
EN 8  EN performing elements of the various options, but avoid their weaknesses by introducing the 
necessary safeguards to ensure an EU level -playing field . This implies the need for clear 
criteria for the level and the distrib ution of income support  (e.g. capping and/or degresivity),  
the climate and environmental ambition , conditionality , the incentives for modernisation and 
the appropriate degree of subsidiarity/simplification.  
• Regulatory  fitness  and simplification  
The compl exity of the current policy implementation to a large extent is linked to the stress on 
compliance with detailed rules, laid down at EU level. The proposed new delivery model will 
remove the layer of EU level eligibility criteria for support which will all ow the Member 
States to define eligibility conditions that are most suited to their particular circumstances. 
This is expected to produce a substantial simplification.  
Historically the CAP developed in successive reforms into different instruments. Sometim es 
the coordination of these instruments has proved to be difficult. Under the current proposal all 
the different support elements of the CAP are brought together into one single and coherent 
framework which will reduce the administrative burden of the CAP  implementation.  
• Fundamental  rights  
The proposal respects the fundamental rights and observes the principles recognised in 
particular by the Charter of Fundamental Rights of the European Union.   
4. BUDGETARY  IMPLICATIONS  
The Commission proposal on the multiannual financial framework for 2021 -2027 
(COM(2018)  322 final ) provides that a significant part of the EU budget should continue to be 
dedicated to agriculture, which is a common policy of strategic importance. Thus, in current 
prices, it is proposed that the CAP should focus on its core activities with EUR  286.2  billion 
allocated to the EAGF and EUR  78.8 billion for the EAFRD.  
These agricultural funds are complemented by additional funding from Horizon Europe, as 
the proposed envelope for this progra mme includes EUR 10 billion to support research and 
innovation in food, agriculture, rural development and the bioeconomy. A new agricultural  
reserve will be established in the EAGF to finance additional support for the agricultural 
sector. Unused amounts of the reserve in one year shall be carried over to the following.  
As regards distribution of the direct payments among Member States, it is proposed that all 
Member States with direct payments below 90% of the EU average will see a continuation of 
the pr ocess started in the period of 2014 -2020 and will close 50% of the existing gap to 90%.  
All Member States will contribute to financing this external convergence of direct payments 
levels.  The Member States’ allocations for direct payments in the CAP Strategic Plan 
regulation are calculated on this basis.  
For rural development, it is proposed to rebalance the financing between the EU and Member 
States’ budgets. In line with what is foresee n for the European Structural and Investment 
Funds, anincrease in national co -financing rates will allow keeping public support to 
European rural areas largely unchanged. The distribution of EAFRD support is based on 
objective criteria linked to the policy  objectives and taking into account the current 
distribution. As is the case today, less developed regions should continue to benefit from 
higher co -financing rates, which will also apply to certain measures such as LEADER and the 
payments for management c ommitments.   
EN 9  EN A certain level of flexibility for transfers between allocations will be offered to the Member 
States. Up to 15% of respective direct payments can be transferred to EAFRD allocation and 
vice versa. A higher percentage can be transferred from d irect payments to EAFRD allocation 
for interventions addressing environmental and climate objectives and installation grants for 
young farmers.  
Details on the financial impact of the CAP proposal are set out in the financial statement 
accompanying the pro posal.  
5. OTHER  ELEMENTS  
• Implementation  plans  and monitoring,  evaluation  and reporting  arrangements  
A shift towards a more performance -oriented policy requires the establishment of a solid 
performance framework that, based on a set of common indicators, will allow the 
Commission to assess and monitor the performance of the policy. The current Common 
Monitoring and Evaluation Framework (CMEF)  and the current monitoring system of 
Direct Payments and Rural Development would be used as a basis for monitoring and 
assessing policy performance, but they will have to be streamlined and further developed 
(including consistency between the two pillars). Further investment into developing 
appropriate indicators and ensuring sufficient data streams would be needed.  
A new Performance Monitoring and Evaluation Framework (PMEF)  will cover all 
instruments of the future CAP:  the CAP Strategic Plans as well as those elements of the CAP 
not covered by the CAP Strategic Plans (some parts of the Common Markets Organisation, 
specific schemes). Performance would be measured in relation to the Specific Objectives of 
the policy by using a set of common indicators.  
The new model will be organised around the following principles:  
 Context indicators remain pertinent, as they reflect r elevant aspects of the general 
trends in the economy, environment and society, and are likely to have an 
influence on performance.  
 A selection of a limited, but more targeted set of indicators should be made 
primarily in a way to choose those that reflect as closely as possible whether the 
supported intervention contributes to achieving the objectives versus established 
baseline and using clear definitions.  
 Overall policy performance will be assessed multi -annually on the basis of impact 
indicators. Annual policy performance follow -up will rely on the full list of result 
indicators.  
 Output indicators would annually link expenditure with the performance of policy 
implementation. The latter is an annual exercise, and relies on a list of (primarily 
already avai lable) output indicators.  
 The reliability of relevant performance indicators can be facilitated by synergies 
between statistical and administrative data, but requires the presence of a system 
of quality controls.  
In essence, what is being proposed is a shift in responsibilities and opportunities within a 
common framework, clearly defined and enforced, to deliver on more than one key objective 
at the same time, namely simplification, result -orientation (rather than compliance) and policy 
efficiency and ef fectiveness.   
EN 10  EN An annual performance review is foreseen as the key element of the ongoing monitoring and 
steering of policy implementation. In order to make an annual performance review 
operational, adequate output indicators and result indicators will have to be submitted jointly 
in an annual report on the implementation of the CAP Strategic Plan, the so -called Annual 
Performance Report . MS will report annually on realised output and expenditure as well as 
distance to targets set for the whole period, expres sed as values of result indicators.  
Evaluations will be carried out in line with paragraphs 22 and 23 of the Interinstitutional 
Agreement on Better Law -Making of 13 April 20167, where the three institutions confirmed 
that evaluations of existing legislatio n and policy should provide the basis for impact 
assessments of options for further action.  The evaluations will assess the programme's effects 
on the ground based on the programme indicators/targets and a detailed analysis of the degree 
to which the progr amme can be deemed relevant, effective, efficient, provides enough EU 
added value and is coherent with other EU policies. They will include lessons learnt to 
identify any lacks/problems or any potential to further improve the actions or their results and 
to help maximise their exploitation/impact.  
• Explanatory  documents  (for directives)  
Not relevant.  
• Detailed  explanation  of the specific  provisions  of the proposal  
The proposal concerns three regulations:  
 Regulation of the European Parliament and of the Council on establishing rules on 
support for strategic plans to be drawn up by Member States under the Common 
agricultural policy (CAP Strategic Plans) and financed by the European 
Agricultural Guarantee Fun d (EAGF) and by the European Agricultural Fund for 
Rural Development (EAFRD) and repealing Regulation (EU) No  1305/2013 of 
the European Parliament and of the Council and Regulation (EU) No 1307/2013 
of the European Parliament and of the Council (hereinafte r: CAP Strategic Plan 
Regulation)  
  Regulation of the European Parliament and of the Council on the financing, 
management and monitoring of the common agricultural policy and repealing 
Regulation (EU) No 1306/2013 (hereinafter: CAP Horizontal Regulation)  
 Regulation of the European Parliament and of the Council amending Regulations 
(EU) No 1308/2013 establishing a common organisation of the markets in 
agricultural products, (EU) No 1151/2012 on quality schemes for agricultural 
products and foodstuffs, (EU) No  251/2014 on the definition, description, 
presentation, labelling and the protection of geographical indications of 
aromatised wine products, (EU) No 228/2013 laying down specific measures for 
agriculture in the outermost regions of the Union and (EU) No 2 29/2013 laying 
down specific measures for agriculture in favour of the smaller Aegean islands. 
(hereinafter: Amending Regulation)  
These regulations combined adjust the CAP by aligning its objectives to the Juncker priorities 
and the SDGs while at the same time simplifying the policy implementation. The CAP will 
become more adjusted to local circumstance by the removal of eligibility condition for 
                                                 
7 Interinstitutional Agreement between the European Parliament, the Council of the European Union and 
the European Commission on Better Law -Making of 13 April 2016; OJ L 123, 12.5.2016, p. 1 –14.  
EN 11  EN support at EU level. Member States will be able to define most eligibility conditions at 
national level to make them appropriate for their specific circumstances. At the same time, the 
administrative burden linked to controls will be reduced by limiting the direct link between 
EU level eligibility conditions and the final beneficiaries.  
With the aim of further impro ving the sustainable development of farming, food and rural 
areas, the CAP general objectives focus on the economic viability, the resilience and income 
of farms, on an enhanced environmental and climate performance, and on the strengthened 
socio -economic fabric of rural areas. Moreover, fostering knowledge, innovation and 
digitalisation in agriculture and rural areas is a cross -cutting objective.  
The new CAP will pursue the following specific objectives:  
(a) Support viable farm income and resilience across the  EU territory to enhance food 
security;  
(b) enhance market orientation and increase competitiveness including greater focus on 
research, technology and digitalisation ;  
(c) Improve farmers' position in the value chain;  
(d) Contribute to climate change mitigation and a daptation, as well as sustainable 
energy;  
(e) Foster sustainable development and efficient management of natural resources such 
as water, soil and air;  
(f) Contribute to the protection of biodiversity, enhance ecosystem services and preserve 
habitats and landscape s;  
(g) Attract young farmers and facilitate business development in rural areas;  
(h) Promote employment, growth, social inclusion and local development in rural areas, 
including bio -economy and sustainable forestry;  
(i) Improve the response of EU agriculture to societal demands on food and health, 
including safe, nutritious and sustainable food, as well as animal welfare.  
To deliver on these objectives Member States shall ensure simplification and performance of 
CAP supp ort. They will design interventions that are appropriate in their circumstances based 
on the types of interventions mentioned in the regulation. The Member States will have to pay 
particular attention to the environmental and climate specific objectives, t o generational 
renewal, and to the modernisation of the policy implementation by focusing on a better use of 
knowledge and advice and new (digital) technologies.  
The Member States will present their proposed interventions to achieve the EU specific 
objecti ves in a CAP Strategic Plan. The legislation lays down rules on the content of such a 
CAP Strategic Plan and the Commission will check the plans and approve them. The CAP 
Strategic Plans will combine most CAP Support instruments financed under the EAGF 
(including the sectoral programmes that until now have been established under the CMO 
regulation) and EAFRD. In this way a single coherent intervention strategy per Member State 
will be designed though Member States. In the CAP Strategic Plans Member States w ill set 
targets on what they want to achieve in the programming period using commonly defined 
result indicators.  
Once the CAP Strategic Plans are established Member States will annually report on the 
progress made in the implementation using a system of co mmon indicators. The Member  
EN 12  EN States and Commission will monitor progress and evaluate the effectiveness of the 
interventions.  
The section below provides information on the specific content of the three regulations.  
CAP  Strategic  Plan  Regulation  
Title I prov ides for the scope of the regulation as well as definitions.  
Tittle II presents the CAP general and specific objectives that have to be pursued through the 
interventions designed by the Member States in their CAP Strategic Plans. Title III introduces 
a number of common requirements for the CAP strategic Plans, as well as elements which 
apply to several interventions.  The common requirements concern compliance with general 
principles and fundamental rights such as the avoidance of distortion of competition , respect 
for the internal market and non -discrimination as well as the respect of the rules of WTO 
domestic support. They also include requirements as regards specific elements to be defined 
in the CAP plans, such as what is an agricultural area, an agric ultural activity, a genuine 
farmer, a young farmer. This section describes , the obligations under 'conditionality' (the 
requirements any beneficiary of area -based payments has to comply with concerning good 
agricultural practices but also obligations stemm ing from EU legislation, and the need to have 
well-functioning farm advisory services.  
Finally this Title presents the types of interventions that the Member States may use to 
implement their CAP Strategic Plans. Types of interventions are the broad categ ories of 
interventions that Member States my use in their CAP Strategic Plans.  
Title IV provides financial provisions. It includes in particular financial allocations per 
Member State and per Fund and defines the flexibility for transferring allocations be tween 
funds. It provides the contribution rates for EAFRD in relation to public expenditure in the 
Member States and sets out some minimum or maximum financial allocations for specific 
purposes.  
Title V presents the rules on the CAP Strategic Plans. It men tions what elements Member 
States have to take into account when drafting a CAP Strategic Plan and what shall be its 
minimum content including targets and financial planning. This title also explains what rules 
apply for the approval of the CAP Strategic P lans by the Commission and how such plans can 
be amended.  
Title VI provides the necessary elements on coordination and governance. It attributes 
responsibilities to Member States' authorities for specific tasks related to the CAP Strategic 
Plans. It establ ishes a monitoring committee to involve all stakeholders. It also establishes 
networks that have to facilitate the successful implementation of the CAP Strategic Plans. 
These networks will be established both at national and at EU level. Finally, this titl e 
establishes the European Innovation Partnership in order to stimulate the exchange of 
knowledge and innovation.  
Title VII introduces the performance monitoring and evaluation framework laying down rules 
on what and when Member States have to report progr ess on their CAP Strategic Plans and 
rules on how this progress will be monitored and evaluated. This title in particular contains 
the rules on a performance bonus for good environmental and climate performance.   
EN 13  EN Finally, Titles VIII and IX concern the competition  rules, which explain how in particular 
State aid rules have to be applied, and the final provisions that explain what regulations are 
repealed and when the regulation becomes applicable.  
CAP  Horizontal  Regulation  
It is proposed to maintain the cur rent structure of the CAP in two pillars with annual measures 
of general application in Pillar I complemented by measures reflecting the national and 
regional specificities under a multi -annual programming approach in Pillar II. However, the 
new design of the CAP for post 2020 will point to an increased subsidiarity so that Member 
States can better tailor implementing measures under both Pillars to their realities and farmers' 
concrete circumstances. More subsidiarity means rebalancing the responsibilities in the 
management of the CAP and looking for a new relationship between the European Union, the 
Member States and the farmers.  
On this basis, the current CAP Horizontal Regulation is adapted to the new delivery model 
and reflects more flexibility for Membe r States in implementing the policy (in line with their 
local needs), less bureaucracy for beneficiaries and shift to a performance -based policy.  
The move at EU level from an emphasis on compliance to performance requires a clear 
identification of the objectives which the policy has to achieve: again, these objectives will be 
established at EU level. In order to advance towards a more result -driven policy mechanism, 
there will be a shift from assurance on legality and regularity of the underlying transa ctions to 
assurance on performance and the respect of EU basic requirements, like the Integrated 
Administration and Control System (IACS) or the governance bodies (paying agencies, 
coordinating bodies, competent authorities and certification bodies). The r obust and reliable 
governance structures which characterise the CAP will be maintained.  
In addition to financing provisions, the CAP Horizontal Regulation continues to have 
provisions on general principles for checks and penalties, checks for conditionalit y and IACS. 
As a result, the regulation lays down rules on financing, management and control systems, 
clearance processes (annual financial clearance and annual performance clearance) and 
conformity procedure.  
This regulation includes various simplificatio n elements. First of all, the new annual 
performance clearance reflects the shift from compliance by the individual beneficiary to 
performance of the policy in the Member States.  
Furthermore, it foresees reducing the number of paying agencies and reinforcing the role of 
the coordinating body and certification body in line with the new delivery model. This will 
render the system more transparent and less burdensome for both national administrations and 
the Commission. The concept of the single audit  approach is introduced, in line with the 
Financial Regulation and the number of Commission audits can be reduced.  
Amending  Regulation  
The Communication on the Future of Food and Farming  confirms market orientation as a key 
element of the CAP, but also hig hlights challenges related to environmental sustainability and 
climate change. Moreover, it places the agricultural sector squarely in the debate about food 
and citizens' concerns in that regard, recalling that "the most important role for the policy is to  
help farmers anticipate developments in dietary habits and adjust their production according 
to market signals and consumers' demands". As detailed rules that may prevent the necessary 
adjustments are laid down at EU level, the reform presents an opportun ity to make necessary  
EN 14  EN changes. The CAP should furthermore address citizens' concerns regarding sustainable 
agriculture production.  
It is therefore foreseen to maintain the architecture and main features of Regulation (EU) 
1308/2013, while amending a limit ed number of provisions in view of economic, 
environmental and societal evolutions experienced since its entry into force in 2014.  
Firstly, it is foreseen to delete provisions related to sectorial interventions that have previously 
been laid down in Regul ation (EU) No 1308/2013, as these  interventions of the future CAP 
will be regulated under the CAP Strategic Plan Regulation and be part of Member States' 
strategic plans, to ensure a better coherence of CAP interventions.  
Secondly, while the successive 20 08 and 2013 reforms of the wine policy have overall 
reached their objectives, resulting in economically vibrant wine sector, new economic, 
environmental and climatic challenges have appeared. Therefore, the regulation foresees a 
number of specific amendmen ts to existing rules to cope with these challenges.  
Thirdly, the Communication on the Future of Food and Farming called for geographical 
indications (GIs) to be made more attractive to farmers and consumers, and render the system 
easier to manage. It is th erefore proposed to amend current rules on GIs, spread over four 
basic Acts, aiming at a simpler GI system, faster registration of geographical indications and 
more efficient approval of amendments to product specifications. These changes aim to a 
simplifi ed GI system that would be more understandable to consumers, easier to promote and 
would reduce administrative costs of managing the system.  
On rules for wine GIs, limiting the EU scrutiny of applications to checking them against 
manifest errors, separatin g intellectual property rules from other requirements laid down in 
the product specification as well as habilitating Member States to decide on amendments that 
do not have impacts at EU level, would streamline approvals, shorten timelines, and 
rationalise resources, in line with the twin principles of subsidiarity and proportionality. In the 
same vein, simplification of some specific procedures, for example the opposition procedure, 
is envisaged to make the approval process more efficient.  
Clarification of  the definition of 'Protected Designation of Origin' for wines will enable 
producer groups to use new varietals, also needed in response to climate change, and allow 
proper justifications of applications in line with viticulture and oenological realities. 
Strengthening protection of GIs against counterfeiting of GIs on the interned and on goods in 
transit is also proposed.  
The simplification proposed for wine GIs has to be applied also to agricultural products and 
foodstuffs: to ensure reasonable level of c oherence between the schemes and bring the above 
benefits to producers of GIs in this sector, too. The aromatised wines GI scheme that only has 
5 out of 3350 GIs, cannot be operational and should be merged into another scheme – the 
agricultural products an d foodstuffs scheme is appropriate as already covers other alcoholic 
beverages.  
Furthermore, the regulation foresees provisions that merely translate into internal legislation 
commitments taken by the EU and its Member States in the context of recent World  Trade 
Organization Ministerial Decisions, notably on export subsidies.   
EN 15  EN Finally, it is proposed to delete a number of obsolete provisions, inter alia  the system of 
production regulation and requirements applying to the sugar sector that expired at the end  of 
the 2016/2017 marketing year.   
EN 16  EN 2018/0218 (COD)  
Proposal for a  
REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL  
amending Regulations (EU) No 1308/2013 establishing a common organisation of the 
markets in agricultural products, (EU) No 1151/2012 on quality schemes for agricultural 
products and foodstuffs, (EU) No 251/2014 on the definition, description, presentation, 
labelling and the protection of geographical indications of aromatised wine products, 
(EU) No 228/2013 laying down specific measures for agriculture in the outermost 
regions of the Union and (EU) No 229/2013 laying down specific measures for 
agriculture in favour of the smaller Aegean islands  
THE EUROPEAN PARLIAMENT AND THE COUNCI L OF THE EUROPEAN UNION,  
Having regard to the Treaty on the Functioning of the European Union, and in particular 
Article 43(2), Article 114, the first paragraph of Article 118 and Article 349 thereof,  
Having regard to the proposal from the European Commiss ion, 
After transmission of the draft legislative act to the national parliaments,  
Having regard to the opinion of the European Economic and Social Committee8, 
Having regard to the opinion of the Committee of the Regions9,  
Having regard to the opinion of t he Court of Auditors,  
Acting in accordance with the ordinary legislative procedure,  
Whereas:  
(1) The Communication from the Commission to the European Parliament, the Council, 
the European Economic and Social Committee and the Committee of the Regions 
entitled ‘The Future of Food and Farming’ of 29 November 2017 sets out the 
challenges, objectives and orientations for the future Common Agricultural Policy 
(CAP) after 2020. These objectives include, inter alia,  the need for the CAP to be 
more result -driven, to boost modernisation and sustainability, including the economic, 
social, environmental and climate sustainability of the agricultural, forestry and rural 
areas, and to help reducing the Union legislation -related administrative burden for 
beneficiaries.  
(2) Since the CAP needs to sharpen its responses to the challenges and opportunities as 
they manifest themselves at Union, international, national, regional, local and farm 
levels, it is necessary to streamline the governance of the CAP and improve its 
delivery on the Union objectives and to significantly decrease the administrative 
burden. In the CAP based on delivery of performance (‘delivery model’), the Union 
should set the basic policy parameters, such as objectives of the CAP and basic 
requirements, wh ile Member States should bear greater responsibility as to how they 
meet the objectives and achieve targets. Enhanced subsidiarity makes it possible to 
                                                 
8 OJ C , , p. .  
9 OJ C , , p. .   
EN 17  EN better take into account local conditions and needs, tailoring the support to maximise 
the contribution to Union objectives.  
(3) To ensure coherence of the CAP, all interventions of the future CAP should be part of 
a strategic support plan which would include certain sectoral interventions that were 
laid down in Regulation (EU) No 1308/2013 of the European P arliament and of the 
Council10.  
(4) Annex II to Regulation (EU) No 1308/2013 sets out certain definitions concerning 
sectors falling within the scope of that Regulation. Definitions concerning the sugar 
sector set out in Section B of Part II of that Annex should be deleted because they are 
no longer applicable. In order to update definitions concerning other sectors referred to 
in that Annex, in light of new scientific knowledge or market developments, the power 
to adopt acts in accordance with Article 290 of the Treaty on the Functioning of the 
European Union should be delegated to the Commission in respect of the amendment 
of those definitions. It is of particular importance that the Commission carry out 
appropriate consultations during its preparatory wor k, including at expert level. The 
Commission, when preparing and drawing up delegated acts, should ensure a 
simultaneous, timely and appropriate transmission of relevant documents to the 
European Parliament and to the Council. Consequently, the individual empowerment 
delegated to the Commission in point 4 of section A of Part II of that Annex to amend 
the definition of inulin syrup should be deleted.  
(5) Part I of Regulation (EU) No 1308/2013 should be simplified. Redundant and obsolete 
definitions and pro visions empowering the Commission to adopt implementing acts 
should be deleted.  
(6) The limits of Union aid for the supply of fruit and vegetables and of milk and milk 
products in educational establishments, set out in Article 23(a) of Regulation (EU) No 
1308/2013 should be updated.  
(7) Provisions concerning Aid schemes set out in Sections 2 to 6 of Chapter II of Title I of 
Part II of Regulation (EU) No 1308/2013 should be deleted as all types of 
interventions in these sectors will be set out in Regulatio n (EU)…/… of the European 
Parliament and of the Council11 (CAP Strategic Plan Regulation) . 
(8) In view of the decrease in the actual area planted with vines in several Member States 
in the years 2014 -2017, and in view of the potential loss in production ens uing, when 
establishing the area for new planting authorisations referred to in Article 63(1) of 
Regulation (EU) No 1308/2013, Member States should be able to choose between the 
existing basis and a percentage of the total area actually planted with vines in their 
territory on 31 July 2015 increased by an area corresponding to the planting rights 
under Regulation (EC) No 1234/2007 available for conversion into authorisations in 
the Member State concerned on 1 January 2016.  
                                                 
10 Regulation (EU) No 1308/2 013 of the European Parliament and of the Council of 17 December 2013 
establishing a common organisation of the markets in agricultural products and repealing Council 
Regulations (EEC) No 922/72, (EEC) No 234/79, (EC) No 1037/2001 and (EC) No 1234/2007 (OJ  L 
347, 20.12.2013, p. 671).  
11 Regulation (EU)…/… of the European Parliament and of the Council of …. establishing rules on 
support for strategic plans to be drawn up by Member States under the Common agricultural policy 
(CAP Strategic Plans) and financed by the European Agricultural Guarantee Fund (EAGF) and by the 
European Agricultural Fund for Rural Development (EAFRD) and repealing Regulation (EU) No 
1305/2013 of the European Parliament and of the Council and Regulation (EU) No 1307/2013 of the 
European  Parliament and of the Council (OJ L …, ......, p…).   
EN 18  EN (9) Rules for classifying wine gra pe varieties by Member States should be modified to 
include the wine grape varieties Noah, Othello, Isabelle, Jacquez, Clinton and 
Herbemont, previously excluded . To ensure that wine production in the Union 
develops a higher resistance to diseases and that  it uses vine varieties better adapted to 
changing climatic conditions, provision should be made allowing Vitis Labrusca 
varieties and varieties stemming from crosses between Vitis vinifera, Vitis Labrusca  
and other species of the genus Vitis to be planted  for wine production in the Union.  
(10) To enable producers to use vine varieties that are better adapted to changing climatic 
conditions and with higher resistance to diseases, provision should be made permitting 
products using designations of origin not only from vine varieties belonging to Vitis 
vinifera  but also from vine varieties stemming from a cross between Vitis vinifera  and 
other species of the genus Vitis.  
(11) Provisions concerning certificates of compliance and analysis reports for imports of 
wine should be applied in light of the i nternational agreements concluded in 
accordance with the Treaty on the Functioning of the European Union ( ‘TFEU ’).  
(12) The definition of a designation of origin should be aligned with the definition in the 
Agreement  on Trade -Related Aspects of Intellectu al Property Rights12 (‘TRIPS 
Agreement’), approved by Council Decision  94/800/EC13, in particular with Article 
22(1) thereof, in that the name is to identify the product as originating in a specific 
region or a specific place.  
(13) To ensure coherent decisi on-making as regards applications for protection and 
objection submitted in the preliminary national procedure referred to in Article 96 of 
Regulation (EU) No 1308/2013, the Commission should be informed in a timely and 
regular manner when procedures are l aunched before national courts or other bodies 
concerning an application for protection forwarded by the Member State to the 
Commission, as referred to in Article 96(5) of Regulation (EU) No 1308/2013. 
Implementing powers should be conferred on the Commiss ion in order to, in those 
circumstances and where appropriate, suspend the examination of the application until 
the national court or other national body has adjudicated on the challenge to the 
Member State’s assessment of the application in the preliminar y national procedure.  
(14) Registration of geographical indications should be made simpler and faster by 
separating the assessment of compliance with intellectual property rules from the 
assessment of compliance of the product specifications with the requ irements laid 
down in the marketing standards and labelling rules.  
(15) The assessment carried out by the competent authorities of Member States is an 
essential step in the procedure. Member States have knowledge, expertise and access 
to data and facts th at make them the best placed to verify whether the information 
provided in the application is correct and truthful. Therefore, Member States should 
guarantee that the result of that assessment, which is to be faithfully recorded in a 
single document summar ising the relevant elements of the product specification, is 
reliable and accurate. Having regard to the principle of subsidiarity, the Commission 
should subsequently scrutinise applications to ensure that there are no manifest errors 
                                                 
12 Uruguay Round of Multilateral Trade Negotiations (1986 - 1994) - Annex 1 - Annex 1C - Agreement on 
Trade -Related Aspects of Intellectual Property Rights (WTO) (OJ L 336, 23.12.1994, p. 214).   
13 Council Decision  94/800/EC of 22  December 1994 concerning the conclusion on behalf of the 
European Community, as regards matters within its competence, of the agreements reached in the 
Uruguay Round multilateral negotiations (1986 -1994) (OJ L 336, 23.12.1994, p. 1 ).  
EN 19  EN and that Union law an d the interests of stakeholders outside the Member State of 
application are taken into account.  
(16) The period during which an objection can be made should be extended to three months 
to ensure that all interested parties have sufficient time to analyse t he application for 
protection and the possibility to submit a statement of objection. To ensure that the 
same procedure for objections is applied under Regulation (EU) No 1308/2013 and 
under Regulation (EU) No 1151/2012 of the European Parliament and of th e Council14 
and thus enable Member States to forward objections stemming from natural or legal 
persons residing or established in their territory to the Commission in a coordinated 
and efficient manner, objections from natural or legal persons should be sub mitted via 
the authorities of the Member State in which they reside or are established. To 
simplify the objection procedure, the Commission should be empowered to reject 
inadmissible statements of objection in the implementing act conferring protection. 
Therefore, Article 111 of Regulation (EU) No 1308/2013  conferring implementing 
powers on the Commission to reject inadmissible objections under a separate 
implementing act should be deleted.  
(17) To increase procedural efficiency and in order to ensure unif orm conditions for the 
conferral of protection on designations of origin or geographical indications , 
implementing powers should be conferred on the Commission to adopt implementing 
acts conferring protection without recourse to the examination procedure i n 
circumstances where no admissible statement of objections to the application for 
protection has been submitted. Where an admissible statement of objection has been 
submitted, implementing powers should be conferred on the Commission to adopt 
implementing  acts in accordance with the examination procedure either conferring 
protection or rejecting the application for protection.  
(18) Having d ue regard to the TRIPS Agreement,  in particular to Articles 22 and 23 
thereof, and to the General Agreement on Tariff s and Trade15 (‘GATT Agreement’) in 
particular Article V thereof on freedom of transit,  both of which were approved by 
Council Decision 94/800/EC and aim at strengthening the protection of designations 
of origin and geographical indications, and to combat counterfeiting more effectively, 
the protection conferred by Article 103(2) of Regulati on (EU) No 1308/2013 should 
be extended to cover goods which are in transit across the Union customs territory and 
to goods which are sold over the internet or by other means of electronic commerce.  
(19) It should be possible to cancel the protection of a designation of origin or geographical 
indication in circumstances where they are no longer in use or where the applicant 
referred to in Article 95 of Regulation (EU) No 1308/2013 no longer wishes to 
maint ain that protection.  
(20) In view of the ever increasing consumer demand for innovative grapevine products 
with a lower actual alcoholic strength than the minimum actual alcoholic strength set 
out for grapevine products in Part II of Annex VII to Regulati on (EU) No 1308/2013, 
it should be possible to produce such innovative grapevine products also in the Union.  
(21) It is necessary to provide for definitions of de -alcoholised grapevine products and 
partially de -alcoholised grapevine products. These definit ions should take into account 
the definitions set out in the Resolutions of the International Organisation of Vine and 
                                                 
14 Regulation (EU) No 1151/2012 of the European Parliament and of the Council of 21 November 2012 
on quality schemes for agricultural products and foodstuffs (OJ L 343, 14.12.2012, p. 1).  
15 Uruguay Round of Multilateral Trade Negotiations (1986 - 1994) – Annex 1 – Annex 1A – General 
Agreement on Tariffs and Trade in Goods (WTO) (OJ L 336, 23.12.1994, p. 1).   
EN 20  EN Wine (OIV), OIV -ECO 433 -2012 Beverage Obtained By Partial Dealcoholisation of 
Wine and OIV -ECO 523 -2016 Wine With An Alcohol Content Modi fied by 
Dealcoholisation.  
(22) In order to ensure that the rules governing labelling and presentation of products in the 
wine sector also apply to de -alcoholised or partially de -alcoholised grapevine 
products, to establish rules governing the dealcoholisat ion processes for the production 
of certain de -alcoholised or partially de -alcoholised grapevine products within the 
Union, and rules concerning the conditions of use of closures in the wine sector in 
order to ensure that consumers are protected from misle ading use of certain closures 
associated with certain beverages and from hazardous closure materials that may 
contaminate the beverages, the power to adopt acts in accordance with Article 290 of 
the Treaty on the Functioning of the European Union should be  delegated to the 
Commission. It is of particular importance that the Commission carry out appropriate 
consultations during its preparatory work, including at expert level and that those 
consultations be conducted in accordance with the principles laid dow n in the 
Interinstitutional Agreement of 13 April 2016 on Better Law -Making. In particular, to 
ensure equal participation in the preparation of delegated acts, the European 
Parliament and the Council receive all documents at the same time as Member States'  
experts, and their experts systematically have access to meetings of Commission 
expert groups dealing with the preparation of delegated acts.  
(23) The rules on production and the requirements applying to the sugar sector expired at 
the end of the 2016/20 17 marketing year. Article 124 and Articles 127 to 144 of 
Regulation (EU) No 1308/2013 are now obsolete and should be deleted.  
(24) Measures and rules concerning imports of hemp set out in Article 189 of Regulation 
(EU) No 1308/2013 are redundant and obsol ete and should be deleted.  
(25) Articles 192 and 193 of Regulation (EU) No 1308/2013 should be deleted as such 
measures are no longer necessary in view of the end of the production regulation in the 
sugar sector. In order to ensure that the Union market is  adequately supplied by means 
of imports from third countries, implementing powers should be conferred on the 
Commission to suspend import duties for cane and beet molasses.  
(26) The Ministerial Decision of 19 December 2015 on Export Competition of the 10th 
WTO Ministerial Conference in Nairobi16 sets down rules on export competition 
measures. As regards export subsidies, WTO members are required to eliminate their 
export subsidy entitlements as of the date of that Decision. Therefore, Union 
provisions on ex port refunds set out in Articles 196 to 204 of Regulation (EU) No 
1308/2013 should be deleted.  
(27) In respect of export credits, export credit guarantees and insurance programmes, 
agricultural exporting state trading enterprises and international food ai d, Member 
States may adopt national measures respecting Union law. Since the Union and its 
Member States are WTO Members, such national measures should also comply with 
the rules laid down in that WTO Ministerial Decision of 19 December 2015, as a 
matter o f Union law and international law.  
(28) Obsolete reporting obligations of the Commission regarding the milk and milk 
products market, the extension of the school scheme scope and the application of 
competition rules to the agriculture sector should be del eted. Reporting obligations 
                                                 
16 WT/MIN(15)/45, WT/L//980   
EN 21  EN concerning the apiculture sector should be integrated in Regulation (EU) …/… ( CAP 
Strategic Plan Regulation) .  
(29) In view of the repeal of Regulation (EU) No 1306/2013 of the European Parliament 
and of the Council17 by Regulati on (EU)…/… ( CAP Strategic Plan Regulation) , 
provisions concerning checks and penalties related to marketing standards and 
protected designations of origin, geographical indications and traditional terms should 
be integrated in Regulation (EU) No 1308/2013.   
(30) Provisions concerning the reserve for crises in the agricultural sector laid down in 
Chapter III of Part V of Regulation (EU) No 1308/2013 should be deleted as updated 
provisions concerning the agricultural reserve are laid down in Regulation (EU) … /… 
of the European Parliament and of the Council18 (Horizontal Regulation) .  
(31) In view of the limited number of registrations of geographical indications of 
aromatised wines under Regulation (EU) No 251/2014 of the European Parliament and 
of the Council19 the legal framework for the protection of geographical indications for 
those products should be simplified. Aromatised wines and other alcoholic beverages 
with the exception of spirit drinks and of grapevine products listed in Part II of Annex 
VII to Regu lation (EU) No 1308/2013 should have the same legal regime and 
procedures as other agricultural products and foodstuffs. The scope of 
Regulation  (EU) No 1151/2012 should be extended to cover those products. 
Regulation (EU) No 251/2014 of the European Parli ament and of the Council should 
be amended to take account of this change as regards its title, scope, definitions and 
provisions concerning labelling of aromatised wine products. A smooth transition for 
the names protected under Regulation (EU) No 251/201 4 should be ensured.  
(32) Procedures related to the registration of protected designations of origin, protected 
geographical indications and traditional specialities guaranteed laid down in 
Regulation (EU) No 1151/2012 should be streamlined and simplified  to ensure that 
new names can be registered within shorter time periods. The opposition procedure 
should be simplified.  
(33) Provision should be made for specific derogations that permit the use of other names 
alongside the registered name of a traditiona l speciality guaranteed. The Commission 
should fix transitional periods for the use of designations that contain names of 
traditional specialities guaranteed, in line with the conditions for such transitional 
periods already in existence for protected desi gnations of origin and protected 
geographical indications.  
(34) The procedure for approval of amendments to product specifications laid down in 
Regulation (EU) No 1151/2012 should be simplified by introducing a distinction 
between Union and standard amendm ents. In accordance with the subsidiarity 
principle, Member States should be responsible for approving standard amendments 
                                                 
17 Regulation (EU) No 1306/2013 of the European Parliament and of the Council of 17 December 2013 on 
the financing, managem ent and monitoring of the common agricultural policy and repealing Council 
Regulations (EEC) No 352/78, (EC) No 165/94, (EC) No 2799/98, (EC) No 814/2000, (EC) No 
1290/2005 and (EC) No 485/2008 (OJ L 347, 20.12.2013, p. 549).  
18 Regulation (EU)…/… of the E uropean Parliament and of the Council of …. on the financing and 
monitoring of the common agriculture policy and repealing Regulation (EU) No 1306/2013 (OJ L …, 
......, p…).  
19 Regulation (EU) No 251/2014 of the European Parliament and of the Council of 26 February 2014 on 
the definition, description, presentation, labelling and the protection of geographical indications of 
aromatised wine products and repealing Council Regulation (EEC) No 1601/91 (OJ L 84, 20.3.2014, p. 
14).   
EN 22  EN and the Commission should retain responsibility for approving Union amendments to 
product specifications.  
(35) The amounts of financial resources available to finance measures under Regulations 
(EU) No 228/201320 and (EU) No 229/2013 of the European Parliament and of the 
Council 21 should be updated.  
(36) Regulations (EU) No 1308/2013, (EU) No 1151/2012, (EU) No 251/2014, (EU) No 
228/2013 and (EU) No 229/2013 should therefore be amended accordingly.  
(37) Transitional arrangements should be put in place for applications for protection and for 
the registration of protected designations of origin, geographical indications and 
traditio nal specialities guaranteed that have been submitted before the date of entry 
into force of this Regulation and for the expenditure incurred before 1 January 2021 
under the aid schemes for olive oil and table olives, fruit and vegetables, wine, 
apiculture and hops established in Articles 29 to 60 of Regulation (EU) No 1308/2013.  
(38) In order to ensure a smooth transition to the new legal framework laid down in 
Regulation (EU) …/… ( CAP Strategic Plan Regulation), the provisions concerning 
amendments to Reg ulation (EU) No 1308/2013  as regards certain aid schemes and the 
reserve for crisis in the agricultural sectors and the provisions concerning amendments 
to Regulations (EU) No 228/2013 and (EU) No 229/2013 should apply from 1 January 
2021,   
HAVE ADOPTED TH IS REGULATION:  
Article 1  
Article Amendments to Regulation (EU) No 1308/2013  
Regulation (EU) No 1308/2013 is amended as follows:  
(1) Article 3 is amended as follows:  
(a) paragraph 2 is deleted;  
(b) paragraphs 3 and 4 are replaced by the following:  
'3. The definition s set out in Regulation (EU) …/… of the European 
Parliament and of the Council* [Horizontal Regulation]  and Regulation 
(EU) …/… of the European Parliament and of the Council**  [ CAP 
Strategic Plan Regulation]  shall apply for the purposes of this 
Regulation,  save as otherwise provided for in this Regulation.  
4. The Commission shall be empowered to adopt delegated acts in 
accordance with Article 227 amending the definitions concerning the 
sectors set out in Annex II to the extent necessary to update the 
definitions in light of market developments.  
----------------------------  
                                                 
20 Regulation (EU) No 228/2013 o f the European Parliament and of the Council of 13 March 2013 laying 
down specific measures for agriculture in the outermost regions of the Union and repealing Council 
Regulation (EC) No 247/2006 (OJ 78, 20.3.2013, p. 23).  
21 Regulation (EU) No 229/2013 of the European Parliament and of the Council of 13 March 2013 laying 
down specific measures for agriculture in favour of the smaller Aegean islands and repealing Council 
Regulation (EC) No 1405/2006 (OJ L 78, 20.3.2013, p. 41).   
EN 23  EN * Regulation (EU) …/… of the European Parliament and of the Council of …. on the financing 
and monitoring of the common agriculture policy and repealing Regulation (EU) No 
1306/2013 (OJ L …, ......, p…).  
** Regulation (EU) …/… of the European Parliament and of the Council of …. establishing rules 
on support for strategic plans to be drawn up by Member States under the Common 
agricultural policy (CAP Strategic Plans) and financed by th e European Agricultural 
Guarantee Fund (EAGF) and by the European Agricultural Fund for Rural Development 
(EAFRD) and repealing Regulation (EU) No 1305/2013 of the European Parliament and of the 
Council and Regulation (EU) No 1307/2013 of the European Parl iament and of the Council 
(OJ L …, ......, p…).';  
(2) Article 5 is replaced by the following:  
'Article 5  
Article Conversion rates for rice  
The Commission may adopt implementing acts fixing the conversion rates for rice at 
various stages of processing.  
Those i mplementing acts shall be adopted in accordance with the examination 
procedure referred to in Article 229(2).';  
(3) Article 6 is deleted;  
(4) Chapter II of Title I of Part II is amended as follows:  
(a) the title is replaced by:  
'CHAPTER II  
Aid for the supply of fruit and vegetables and of milk and milk products in 
educational establishments';  
(b) the heading 'Section 1' and its title are deleted;  
(c)  Article 23a is amended as follows:  
(i) paragraph 1 is replaced by the following:  
'1. Without prejudice to paragraph 4, the aid under the school 
scheme allocated for the distribution of products, the 
accompanying educational measures and the related costs 
referred to in Article 23(1) shall not exceed 
EUR  220 804 135 per school year.  
Within that overall limit, the aid shall not exceed:  
(a) for school fruit and vegetables: EUR  130 608 466 per 
school year;  
(b) for school milk: EUR  90 195 669 per school year.';  
(ii) in the third subparagraph of paragraph 2, the last sentence is deleted;  
(iii) paragraph 4 is replaced by the following:   
'4. Without exceeding the overall limit of EUR  220 804 135 laid 
down in paragraph 1, any Member State may transfer once 
per school year up to 20% of either one or the other of its 
indicative allocations.';  
(d)  Sections 2 to 6 covering Articles 29 to 60 are deleted;   
EN 24  EN (5) in Article 63, paragraph 1 is replaced by the following:  
'1. Member States shall make available each year authorisations for new plantings 
corresponding to either:  
(a) 1% of the total area actually planted with vines in their territory, as 
measured on 31 July of the previous year; or  
(b) 1% of an area comprising the area actually planted with vines in their 
territory, as measured on 31 July 2015, and the area covered by  planting 
rights granted to producers in their territory in accordance with Article 
85h, Article 85i or Article 85k of Regulation (EC) No 1234/2007 and 
available for conversion into authorisations on 1 January 2016, as 
referred to in Article 68 of this Reg ulation.';  
(6) in Article 81, paragraph 2 is replaced by the following:  
'2. Subject to paragraph 3, Member States shall classify which wine grape 
varieties may be planted, replanted or grafted in their territories for the purpose 
of wine production.  
Member S tates may classify wine grape varieties where:  
(a) the variety concerned belongs to the species Vitis vinifera or Vitis 
Labrusca; or  
(b) the variety concerned comes from a cross between the species Vitis 
vinifera, Vitis Labrusca and other species of the genus Vitis.  
Where a wine grape variety is deleted from the classification referred to in the 
first subparagraph, grubbing up of this variety shall take place within 15 years 
of its deletion .'; 
(7) in Article 90, paragraph 3 is replaced by the following:  
'3.  Save as otherwise provided for in international agreements concluded in 
accordance with the TFEU, the import of the products referred to in paragraph 
1 shall be subject to the presentation of:  
 (a) a certificate evidencing compliance with the provisions r eferred to in 
paragraphs 1 and 2, drawn up by a competent body, included on a list to be 
made public by the Commission, in the product's country of origin;  
(b) an analysis report drawn up by a body or department designated by the 
product's country of origi n, if the product is intended for direct human 
consumption.';  
(8) in Section 1 of Chapter 1 of Title II of Part II, the following Subsection 4a is 
inserted:  
'Subsection 4a  
Checks and penalties  
Article 90a  
Checks and penalties related to marketing rules  
1. Without prejudice to acts concerning the wine sector that have been adopted 
pursuant to Article 57 of Regulation (EU) […/… ] (Horizontal Regulation) , in 
the event of infringement of Union rules in the wine sector, Member States  
EN 25  EN shall apply proportionate, ef fective and dissuasive administrative penalties in 
accordance with Title IV, Chapter I of that Regulation ( Horizontal Regulation ). 
2. In order to protect Union funds and to protect the identity, provenance and 
quality of Union wine, the Commission shall be  empowered to adopt delegated 
acts in accordance with Article 227 relating to:  
(a) the establishment of an analytical databank of isotopic data to help detect 
fraud to be constructed on the basis of samples collected by Member 
States;  
(b) rules governing  control bodies and the mutual assistance between them;  
(c) rules governing the common use of the findings of Member States.  
3. The Commission may adopt implementing acts laying down all measures 
necessary for establishing:  
(a) the procedures relating t o Member States' own databanks and to the 
analytical databank of isotopic data that will help detect fraud;  
(b) the procedures relating to cooperation and assistance between control 
authorities and bodies;  
(c) as regards the obligation referred to in par agraph 3, rules for performing 
checks on compliance with marketing standards, rules governing the 
authorities responsible for performing the checks, as well as on the 
content, the frequency and the marketing stage to which those checks are 
to apply.  
Those  implementing acts shall be adopted in accordance with the examination 
procedure referred to in Article 229(2).';  
(9) Article 93 is amended as follows:  
(a) in paragraph 1, point (a) is replaced by the following:  
'(a) 'a designation of origin' means a name which identifies a product, 
referred to in Article 92(1):  
(i) whose quality or characteristics are essentially or exclusively due 
to a particular geographical environment, with its inherent natural 
factors and, where relevant, human factors;  
(ii) as originatin g in a specific place, region or, in exceptional cases, a 
country;  
(iii) produced from grapes which originate exclusively from that 
geographical area;  
(iv) the production of which takes place in that geographical area; and  
(v) which is obtained from vine varieties belonging to Vitis vinifera or 
a cross between the Vitis vinifera species and other species of the 
genus Vitis. '; 
(b) in paragraph 2, point (c) is replaced by the following:  
'(c) fulfil the requirements referred to in points (a)(i) to (v) of paragra ph 1; 
and';  
(c) paragraph 4 is replaced by the following:   
EN 26  EN '4. Production, as referred to in points (a)(iv) and (b)(iii) of paragraph 1, 
shall cover all the operations involved, from the harvesting of the grapes 
to the completion of the wine -making processes, with the exception of 
any post -production processes.';  
(10) in Article 94(1), the introductory sentence is replaced by the following:  
'Applications for protection of names as designations of origin or geographical 
indications shall include:'  
(11) in Article 96, the  following paragraphs 6 and 7 are added:  
'6.  The Member State shall inform the Commission without delay if any procedure 
is initiated before a national court or other national body concerning an 
application for protection that the Member State has forward ed to the 
Commission, in accordance with paragraph 5.  
7. Where appropriate, the Commission may adopt implementing acts to suspend 
the examination of the application referred to in Article 97(2) until a national 
court or other national body has adjudicated on a challenge to an application 
for protection where the Member State has considered that the requirements are 
fulfilled in a preliminary national procedure in accordance with paragraph 5.  
Those implementing acts shall be adopted without applying the proc edure 
referred to in Article 229(2) or (3).' ;  
(12) In Article 97, paragraphs 2, 3 and 4 are replaced by the following:  
'2. The Commission shall examine applications for protection that it receives in 
accordance with Articles 94 and 96(5). It shall scrutinise them for manifest 
errors, taking into account the outcome of the preliminary national procedure 
carried out by the Member State concerned.  
Scrutiny by the Commission should not exceed a period of six months from the 
date of receipt of the application from  the Member State. Where this period is 
exceeded, the Commission shall inform the applicants in writing of the reasons 
for this delay.  
3. Where, on the basis of the scrutiny carried out pursuant to paragraph 2 of this 
Article, the Commission considers tha t the conditions laid down in Articles 93, 
100 and 101 are met, it shall adopt implementing acts concerning the 
publication, in the Official Journal of the European Union , of the single 
document referred to in point (d) of Article 94(1) and of the referenc e to the 
publication of the product specification made in the course of the preliminary 
national procedure.  
Those implementing acts shall be adopted without applying the procedure 
referred to in Article 229(2) or (3).  
4. Where, on the basis of the scrutin y carried out pursuant to paragraph 2 of this 
Article, the Commission considers that the conditions laid down in Articles  93, 
100 and 101 are not met it shall adopt implementing acts rejecting the 
application.  
Those implementing acts shall be adopted in ac cordance with the examination 
procedure referred to in Article 229(2).';  
(13) Articles 98 and 99 are replaced by the following:   
EN 27  EN 'Article 98  
Objection procedure  
Within three months from the date of publication in the Official Journal of the 
European Union,  of the single document referred to in point (d) of Article 94(1), the 
authorities of a Member State or of a third country, or any natural or legal person 
having a legitimate interest and resident or established in a third country, may submit 
a statement o f objection to the Commission opposing the proposed protection. A 
statement of objection shall be duly substantiated.  
Any natural or legal person having a legitimate interest and resident or established in 
a Member State other than the Member State that fo rwarded the application for 
protection may submit the statement of objection via the authorities of the Member 
State in which it is resident or established within a time limit permitting a statement 
of objections to be submitted lodged within the time limi t referred to in the first 
paragraph.  
Article 99  
Decision on protection  
1. Where the Commission has not received an admissible statement of objection 
in accordance with Article 98, it shall adopt implementing acts conferring the 
protection. Those implement ing acts shall be adopted without applying the 
examination procedure referred to in Article 229(2) or (3).  
2.  Where the Commission has received an admissible statement of objection it 
shall adopt implementing acts either conferring protection or rejectin g the 
application. Those implementing acts shall be adopted in accordance with the 
examination procedure referred to in Article 229(2).  
3.  Protection conferred pursuant to this Article shall be without prejudice to 
compliance of products concerned with o ther Union rules relating in particular 
to the placing of products on the market, marketing and to food labelling.'  
(14) in Article 103, the following paragraph 4 is added:  
'4. The protection referred to in paragraph 2 shall also apply with regard to goods 
entering the customs territory of the Union without being released for free 
circulation within the customs territory of the Union and with regard to goods 
sold through means of electronic commerce in the Union.';  
(15) Article 106 is replaced by the following:  
'Article 106  
Cancellation  
The Commission may, on its own initiative  or at the duly substantiated request of a 
Member State, a third country, or a natural or legal person having a legitimate 
interest, adopt implementing acts cancelling the protection of a desig nation of origin 
or a geographical indication in one or more of the following circumstances:  
(a) where compliance with the corresponding product specification is no longer 
guaranteed;  
(b) where no product has been placed on the market bearing the designation of 
origin or geographical indication for at least seven consecutive years;   
EN 28  EN (c) where an applicant satisfying the conditions laid down in Article 95 declares 
that it no longer wants to main tain the protection of a designation of origin or a 
geographical indication.  
Those  implementing acts shall be adopted in accordance with  the examination 
procedure referred to in Article 229(2).';  
(16) Article 111 is deleted;  
(17) in Section 2 of Chapter I of Title II of Part II, the following Subsection 4 is added:  
'Subsection 4  
Checks related to designations of origin, geographical indications and traditional terms  
Article 116a  
Checks  
1. Member States shall take the necessary steps to stop unlawful use of protecte d 
designations of origin, protected geographical indications and protected 
traditional terms referred to in this Regulation.  
2. Member States shall designate the competent authority responsible for carrying 
out the checks in respect of the obligations lai d down in this Section. To that 
end, Articles 4(2), 4(4), 5(1), 5(4) and 5(5) of Regulation (EU) 2017/625 of the 
European Parliament and of the Council * shall apply . 
3. Within the Union, the competent authority referred to in paragraph 2 or one or 
more del egated bodies within the meaning of point (5) of Article 3 of 
Regulation (EU) 2017/625 operating as a product certification body in 
accordance with the criteria laid down in Chapter III of Title II of that 
Regulation, shall verify annual compliance with th e product specification, 
during the wine production and during or after conditioning.  
4. The Commission shall adopt implementing acts concerning the following:  
(a) the communication to be made by the Member States to the Commission;  
(b) rules governing the auth ority responsible for verifying compliance with 
the product specification, including where the geographical area is in a 
third country;  
(c) the actions to be implemented by the Member States to prevent the 
unlawful use of protected designations of origin, protected geographical 
indications and protected traditional terms;  
(d) the checks and verification to be carried out by the Member States, 
including testing.  
Those implementing acts shall be adopted in accordance with the examination 
procedure referred to in Article 229(2).  
* Regulation (EU)  2017/625 of the European Parliament and of the Council of 15  March 2017 
on official controls and other o fficial activities performed to ensure the application of food and 
feed law, rules on animal health and welfare, plant health and plant protection products, 
amending Regulations (EC) No  999/2001, (EC) No  396/2005, (EC) No  1069/2009, (EC) 
No 1107/2009, (EU)  No 1151/2012, (EU) No  652/2014, (EU)  2016/429 and (EU)  2016/2031 of 
the European  Parliament and of the Council, Council Regulations (EC) No  1/2005 and (EC) 
No 1099/2009 and Council Directives  98/58/EC, 1999/74/EC, 2007/43/EC, 2008/119/EC 
and 2008/120/EC, and repealing Regulations (EC) No  854/2004 and (EC) No  882/2004 of the  
EN 29  EN European  Parliament and of the Council, Council Directives  89/608/EEC, 89/662/EEC, 
90/425/EEC, 91/496/EEC, 96/23/EC, 96/93/EC and  97/78/EC and Council 
Decision  92/438/EEC (Official Cont rols Regulation) (OJ L 95, 7.4.2017, p. 1).';  
(18) Article 119 is amended as follows:  
(a) in paragraph 1, the introductory sentence is replaced by the following:  
'Labelling and presentation of the products referred to in points 1 to 11, 13, 15, 
16, 18 and 19 of Part II of Annex VII marketed in the Union or for export shall 
contain the following compulsory particulars:';  
(b) the following paragraph 4 is added:  
'4 Member States shall take measures to ensure that the products referred to in 
paragraph 1 which  are not lab elled in conformity with the provisions of this 
Regulation are not placed on the market, or are withdrawn from it if already 
placed on the market.'   
(19) in Article 120(1), the introductory sentence is replaced by the following:  
'Labelling and presentation of the products referred to in points 1 to 11, 13, 15, 16, 
18 and 19 of Part II of Annex VII may, in particular, contain the following optional 
particulars:';  
(20) in Article 122, paragraph 1 is amended as follows:  
(a) in point (b), point (ii) is deleted;  
(b) in point (c ), the following point (iii) is added:  
'(iii) terms referring to a holding and the conditions for their use.';  
(c) in point (d), point (i) is replaced by the following:  
'(i) the conditions of use of certain bottle shapes and of closures, and a list of 
certai n specific bottle shapes;';  
(21) Section 1 of Chapter II of Title II of Part II is amended as follows:  
(a) Article 124 is deleted;  
(b) the heading "Subsection 1" and its title are deleted;  
(c) Subsections 2 and 3 covering Articles 127 to 144 are deleted;  
(22) in Article 145(3) , the first sentence is replaced by the following:  
'Member States which provide in their CAP strategic plans for restructuring and 
conversion of vineyards in accordance with point (a) of Article 52(1) of Regulation 
(EU) …/…[ CAP Strategic Plan Regulation ], shall on the basis of the vineyard 
register submit to the Commission by 1 March each year an updated inventory of 
their production potential.';  
(23) Article 189 is deleted;  
(24) Articles 192 and 193 are deleted;  
(25) in Chapter IV, the following Article 193a is added:   
EN 30  EN  'Article 193a  
Suspension of import duties for molasses  
The Commission may adopt implementing acts suspending import duties in whole or 
in part for molasses falling within CN Code 1703.  
Those implementing acts shall be adopted without applying the procedure referred to 
in Article 229(2) or (3).';  
(26) In Part III Chapter VI, covering Articles 196 to 204, is deleted;  
(27) In Article 225, points (a) to (d) are deleted;  
(28) In Part V, Chapter III covering Article 226 is deleted.  
(29) Part II of Annex II is amended as f ollows:  
(a) in point 4 of Section A, the second sentence is deleted;  
(b) Section B is deleted;  
(30) Annex III is amended as follows:  
(a)  the title is replaced by the following:  
'STANDARD QUALITY OF RICE AND SUGAR AS REFERRED TO IN 
ARTICLE 1a OF REGULATION (EU) No 1370/2013*  
* Council Regulation (EU) No 1370/2013 of 16 December 2013 determining measures on fixing 
certain aids and refunds related to the common organisation of the markets in agricultural 
products (OJ L 346, 20.12.2013, p. 12)';  
(b)  in Part B, Section I i s deleted;  
(31) Annex VI is deleted;  
(32) in Part II of Annex VII, the following points (18) and (19) are added:  
'(18) The term 'de -alcoholised' may be used together with the name of the grapevine 
products referred to in points 1 and 4 to 9, where the product:  
(a) is obtained from wine as defined in point 1, sparkling wine as defined in 
point 4, quality sparkling wine as defined in point 5, quality aromatic 
sparkling wine as defined in point 6, aerated sparkling wine as defined in 
point 7, semi -sparkling wine as d efined in point 8, or from aerated semi -
sparkling wine as defined in point 9;  
(b) has undergone a dealcoholisation treatment in accordance with the 
processes specified in Section E of Part I of Annex VIII;  and 
(c) has a total alcoholic strength of no more  than 0,5% by volume.  
(19) The term 'partially de -alcoholised' may be used together with the name of the 
grapevine products referred to in points 1 and 4 to 9, where the product:  
(a) is obtained from wine as defined in point 1, sparkling wine as defined i n 
point 4, quality sparkling wine as defined in point 5, quality aromatic 
sparkling wine as defined in point 6, aerated sparkling wine as defined in 
point 7, semi -sparkling wine as defined in point 8, or from aerated semi -
sparkling wine as defined in point  9; 
(b) has undergone a dealcoholisation treatment in accordance with the 
processes specified in Section E of Part I of Annex VIII; and   
EN 31  EN (c) has a total alcoholic strength of more than 0,5% by volume and following 
the processes specified in Section E of Pa rt I of Annex VIII its total 
alcoholic strength is reduced by more than 20% by volume compared to 
its initial total alcoholic strength.';  
(33) in Part I of Annex VIII, the following Section E is added:  
'E. Dealcoholisation processes  
The following dealcoholisat ion processes, whether used each of its own or in 
combination, shall be allowed to reduce part of or almost all the ethanol 
content in grapevine products referred to in points 1 and 4 to 9 of Part II of 
Annex VII:  
(a) partial vacuum evaporation;  
(b) membrane techniques;  
(c) distillation.  
The dealcoholisation processes shall not result in organoleptic defects of the 
grapevine product. The elimination of ethanol in grapevine product must not be 
done in conjunction with the increase of the sugar content  in the grape must.'.  
Article 2  
Amendments to Regulation (EU) No 1151/2012  
Regulation (EU) No 1151/2012 is amended as follows:  
(1) in Article 2, paragraphs 2 and 3 are replaced by the following:  
'2. This Regulation shall not apply to spirit drinks or grapevi ne products as 
defined in Part II of Annex VII to Regulation (EU) No 1308/2013, with the 
exception of wine -vinegars.  
3. This Regulation, and in particular the registrations made pursuant to Article 52, 
shall be without prejudice to compliance of products concerned with other 
Union rules relating in particular to the placing of products on the market, 
marketing and to food labelling.;  
(2) in paragraph 1 of Article 5, point (b) is replaced by the following:  
'(b) whose quality or characteristics are essentially  or exclusively due to a 
particular geographical environment, with its inherent natural factors and 
where relevant human factors;';  
(3) in paragraph 1 of Article 7, point (d) is deleted;  
(4) in paragraph 1 of Article 10, the introductory sentence is replaced by the following:  
' A reasoned statement of opposition as referred to in Article 51(1) shall be 
admissible only if it is received by the Commission within the time limit set out 
in that p aragraph and if it:';  
(5) in Article 13, the following paragraph 4 is added:  
'4. The protection referred to in paragraph 1 shall also apply with regard to goods 
entering the customs territory of the Union without being released for free 
circulation within th e customs territory of the Union and with regard to goods 
sold through means of electronic commerce.';   
EN 32  EN (6) Article 15 is amended as follows:  
(a) in paragraph 1, the second subparagraph is replaced by the following:  
'Those implementing acts shall be adopted with out applying the 
examination procedure referred to in Article 57(2).';  
(b) in paragraph 2, the introductory sentence is replaced by the following:  
'Without prejudice to Article 14, the Commission may adopt implementing acts 
extending the transitional period m entioned in paragraph 1 of this Article in 
justified cases where it is shown that:';  
(7) the following Article 16a is inserted:  
 'Article 16a  
Existing geographical indications for aromatised wine products  
Names entered in the register established pursuant to  Article 21 of Regulation (EU) 
No 251/2014 of the European Parliament and of the Council * shall automatically 
be entered in the register referred to in Article 11 of this Regulation. The 
corresponding specifications shall be deemed to be the specifications  for the 
purposes of Article 7 of this Regulation.  
* Regulation (EU) No 251/2014 of the European Parliament and of the Council of 26 February 
2014 on the definition, description, presentation, labelling and the protection of geographical 
indications of aro matised wine products and repealing Council Regulation (EEC) No 1601/91 
(OJ L 84, 20.3.2014, p. 14).';  
(8) in paragraph 1 of Article 21, the introductory sentence is replaced by the following:  
'A reasoned statement of opposition as referred to in Article 51(1) shall be admissible 
only if it is received by the Commission before expiry of the time limit and if it:';  
(9) the following Article 24a is inserted:  
 'Article 24a  
Transitional periods for us e of traditional specialities guaranteed  
The Commission may adopt implementing acts granting a transitional period of up to 
five years to enable products the designation of which consists of or contains a name 
that contravenes Article 24(1) to continue to use the designation under which they 
were marketed on condition that an admissible statement of opposition under Article 
49(3) or Article 51 shows that such name has been legally used on the Union market 
for at least five years preceding the date of the pu blication provided for in point (a) 
of Article 50(2).  
Those implementing acts shall be adopted without applying the examination 
procedure referred to in Article 57(2).';  
(10) in Article 49, the following paragraphs 8 and 9 are added:  
'8. The Member State shall inform the Commission without delay if any procedure 
is initiated before a national court or other national body concerning an 
application lodged with the Commission, in accordance with paragraph 4.  
9. Where appropriate, the Commission may adopt implementi ng acts to suspend 
the scrutiny of the application for registration referred to in Article 50 until a 
national court or other national body has adjudicated on a challenge to an  
EN 33  EN application for registration where the Member State has taken a favourable 
decision in a national procedure in accordance with paragraph 4.  
Those implementing acts shall be adopted without applying the examination 
procedure referred to in Article 57(2).';  
(11) Article 50 is replaced by the following:  
'Article 50  
Scrutiny by the Commissi on and publication for opposition  
1. The Commission shall examine applications for registration that it 
receives in accordance with Article 49(4) and (5). The Commission shall 
review the applications for manifest errors, taking into account the 
outcome of  the scrutiny and opposition procedure carried out by the 
Member State concerned.  
Scrutiny by the Commission should not exceed a period of six months 
from the date of receipt of the application from the Member State. Where 
this period is exceeded, the Com mission shall inform the applicant in 
writing of the reasons for the delay.  
The Commission shall, at least each month, publish the list of names for 
which applications for registration have been submitted to it, as well as 
the date of their submission.  
2. Where, based on the scrutiny carried out pursuant to paragraph 1, the 
Commission considers that the conditions laid down in Articles 5 and 6 
are fulfilled as regards registration applications under the scheme set out 
in Title II, or that the conditions la id down  in Article 18(1) and (2) are 
fulfilled as regards  applications under the scheme set out in Title III, it 
shall publish in the Official Journal of the European Union : 
(a) for applications under the scheme set out in Title II, the single 
document and  the reference to the publication of the product 
specification;  
(b) for applications under the scheme set out in Title III, the 
specification.';  
(12) Article 51 is amended as follows:  
(a) paragraph 1 is replaced by the following:  
'1. Within three months from the date of publication in the Official Journal 
of the European Union , the authorities of a Member State or of a third 
country, or a natural or a legal person having a legitimate interest and 
established in a third country may lodge a reasoned statement of 
opposition with the Commission.  
A natural or a legal person having a legitimate interest, established or 
resident in a Member State other than that from which the application 
was submitted, may lodge a reasoned statement of opposition with the 
Member State in  which it is resident or established within a time limit 
permitting an opposition to be lodged pursuant to the first subparagraph.';  
(b) paragraph 2 is replaced by the following:   
EN 34  EN '2. The Commission shall examine the admissibility of the reasoned 
statement of  opposition based in particular on grounds of opposition laid 
down in Article 10 as regards protected designations of origin and 
protected geographical indications and based in particular on the grounds 
for opposition laid down in Article 21 as regards tra ditional specialities 
guaranteed.';  
(c) paragraph 3 is replaced by the following:  
'3. If the Commission considers that the reasoned statement of opposition is 
admissible it shall, within five months from the date of publication of the 
application in the Official Journal of the European Union , invite the 
authority or person that lodged the reasoned statement of opposition and 
the authority or body that lodged the application with the Commission to 
engage in appropriate consultations for a reasonable period tha t shall not 
exceed three months.  
The authority or person that lodged the reasoned statement of opposition 
and the authority or body that lodged the application shall start such 
appropriate consultations without undue delay. They shall provide each 
other w ith the relevant information to assess whether the application for 
registration complies with the conditions laid down in this Regulation. If 
no agreement is reached, this information shall be provided to the 
Commission.  
At any time within the period of consultations, the Commission may, at 
the request of the applicant extend the deadline for the consultations by a 
maximum of three months.';  
(d) paragraph 5 is replaced by the following:  
'5.  The reasoned statement of opposition and other documents which are 
sent to the Commission in accordance with paragraphs 1, 2 and 3 shall be 
in one of the official languages of the Union.';  
(13) in Article 52, paragraph 2 is replaced by the following:  
'2. If the Commission receives no admissible reasoned statement of oppositio n 
under Article 51, it shall adopt implementing acts, without applying the 
examination procedure referred to in Article 57(2), registering the name.';  
(14) in Article 53, paragraphs 2 and 3 are replaced by the following:  
'2. Amendments to a product specificat ion are classified into two categories as 
regards their importance: Union amendments, requiring an opposition 
procedure at the Union level and standard amendments to be dealt with at 
Member State or third country level.  
An amendment is considered to be a U nion amendment where:  
(a) it includes a change in the name of the protected designation of origin, 
protected geographical indication or traditional speciality guaranteed;  
(b) it risks to void the links referred to in point (b) of Article 5(1) for 
protected  designations of origin and of Article 5(2) for protected 
geographical indications;   
EN 35  EN (c) it introduces changes to the production method or to the use of raw 
materials and ingredients that deviate from the traditional practice and 
uses for traditional speci alities guaranteed;   
(d) it entails new restrictions on the marketing of the product.  
All other amendments to product specifications are considered standard 
amendments. A temporary amendment that concerns a temporary change in the 
product specification re sulting from the imposition of obligatory sanitary and 
phytosanitary measures by the public authorities or a temporary amendment 
necessary because of a natural disaster or adverse weather conditions formally 
recognised by the competent authorities are also  considered to be standard 
amendments.  
Union amendments shall be approved by the Commission. The approval 
procedure shall follow, mutatis mutandis , the procedure laid down in 
Articles  49 to 52.  
Standard amendments shall be approved by the Member State in  whose 
territory the geographical area of the product concerned is located and notified 
to the Commission. Third countries shall approve standard amendments in 
accordance with the law applicable in the third country concerned and notify 
them to the Commiss ion. 
Amendments shall be scrutinised taking into account other elements of the 
product specifications. Where appropriate, the Commission or the Member 
State concerned may invite the applicant to modify other elements of the 
product specifications.  
3. In or der to facilitate the administrative process of Union and standard 
amendments to product specification, including where the amendment does not 
involve any change to the single document, the Commission shall be 
empowered to adopt delegated acts, in accordan ce with Article 56, 
complementing the rules of the amendment application process.  
The Commission may adopt implementing acts laying down detailed rules on 
procedures, form and presentation of an amendment application and 
notification of standard amendments  to the Commission. Those implementing 
acts shall be adopted in accordance with the examination procedure referred to 
in Article 57(2).';  
(15) in Point I of Annex I, the following indents are added:  
'- aromatised wines as defined in Article 3(2) of Regulation (EU) No 251/2014;  
- other alcoholic beverages, except for spirit drinks and grapevine products as 
defined in Part II of Annex VII to Regulation (EU) No 1308/2013.'.  
Article 3  
Amendments to Regulation (EU) No 251/2014  
(1) the title is replaced by the following:  
'Regulation (EU) No 251/2014 of the European Parliament and of the Council of 
26 February 2014 on the definition, description, presentation and labelling of 
aromatised wine products and repealing Council Regulation (EEC) No 1601/91'  
(2) in Article 1, paragraph 1 is replaced by the following:   
EN 36  EN '1. This Regulation lays down rules on the definition, description, presentation and 
labelling of aromatised wine products.';  
(3) in Article 2, point 3 is deleted;  
(4) in Article 5, paragraph 4 is replaced by the following:  
'4. Sales denominations may be supplemented or replaced by a geographical 
indication of aromatised wine product protected under Regulation (EU) No 
1151/2012.  
(5) in Article 8, paragraph 2 is replaced by the following:  
'2. The name of the geographical indication of aromatised wine product protected 
under Regulation (EU) No 1151/2012 shall appear on the label in the language 
or languages in which it is registered, even where the geographical indication 
replaces the sales denomination in accordance with Article 5(4) of this 
Regulation.  
Where the name of a geographical indication of aromatised wine product 
protected under Regulation (EU) No 1151/2012 is written in a non -Latin 
alphabet, it may also appear in o ne or more of the official languages of the 
Union.';  
(6) Article 9 is deleted;  
(7) Chapter III is deleted.  
Article 4  
Amendment to Regulation (EU) No 228/2013  
In Article 30, paragraphs 2 and 3 are replaced by the following:  
'2. In respect of each financial year, t he Union shall finance the measures provided 
for in Chapters III and IV, up to a maximum annual sum of:  
- in the French overseas departments:   EUR 267 580 000  
- Azores and Madeira:     EUR 102 080 000  
- Canary Islands:     EUR 257 970 000  
3. The sums for ea ch financial year to finance the measures provided for in 
Chapter  III may not exceed the following amounts:  
- in the French overseas departments:   EUR 25 900 000  
- Azores and Madeira:     EUR 20 400 000  
- Canary Islands:     EUR 69 900 000  
The Commission s hall adopt implementing acts establishing the requirements in 
accordance with which Member States may amend the allocation of resources 
allocated every year to the various products benefiting from the supply arrangements. 
Those implementing acts shall be a dopted in accordance with the examination 
procedure referred to in Article 34(2).'.  
Article 5  
Amendment to Regulation (EU) No 229/2013  
In Article 18, paragraphs 2 and 3 are replaced by the following:   
EN 37  EN '2. The Union shall finance the measures provided for i n Chapters III and IV up to a 
maximum amount of EUR 23 000 000.  
3. The amount allocated to finance the specific supply arrangements referred to in 
Chapter III shall not exceed EUR 6 830 000.'  
Article 6  
Transitional provisions  
1. The rules applicable before the date of entry into force of this Regulation shall 
continue to apply to applications for protection of designations of origin or 
geographical indications received by the Commission pursuant to Regulation (EU) 
No 1308/2013 before the date of entry  into force of this Regulation and to 
applications for registration of protected designations of origin, protected 
geographical indications or traditional specialities guaranteed received by the 
Commission pursuant to Regulation (EU) No 1151/2012 before th e date of entry into 
force of this Regulation.  
2. The rules applicable before the date of entry into force of this Regulation shall 
continue to apply to applications for protection of names of aromatised wines as 
geographical indication received by the Com mission pursuant to Regulation (EU) No 
251/2014 before the date of entry into force of this Regulation. However, the 
decision on registration shall be adopted pursuant to Article 52 of Regulation (EU) 
No 1151/2012 as amended by point (13) of Article 2 of t his Regulation.  
3. Articles 29 to 60 of Regulation (EU) No 1308/2013 shall continue to apply after 1 
January 2021 as regards expenditure incurred before 1 January 2021 within the aid 
schemes referred to in those Articles.  
Article 7  
Entry into force and application  
This Regulation shall enter into force on the [X] day following that of its publication in the 
Official Journal of the European Union . 
Points (1)(b), (4), (8), (17), (22), (27), (28) and (31) of Article 1 and Articles 4 and 5 shall 
apply from 1  January 2021.  
This Regulation shall be binding in its entirety and directly applicable in all Member States.  
Done at Brussels,  
For the European Parliament  For the Council  
The President  The President   
EN 1  EN LEGISLATIVE FINANCIAL STATEME NT 
1. FRAMEWORK  OF THE  PROPOSAL/INITIATIVE   
 1.1. Title of the proposal/initiative  
 1.2. Policy area(s) concerned in the ABM/ABB structure  
 1.3. Nature of the proposal/initiative  
 1.4. Grounds for the proposal/initiative  
 1.5. Duration and financial imp act  
 1.6. Management mode(s) planned  
2. MANAGEMENT  MEASURES   
 2.1. Monitoring and reporting rules  
 2.2. Management and control system  
 2.3. Measures to prevent fraud and irregularities  
3. ESTIMATED  FINANCIAL  IMPACT  OF THE  PROPOSAL/INITIATIVE   
 3.1. Heading(s) of the multiannual financial framework and expenditure budget 
line(s) affected  
 3.2. Estimated impact on expenditure  
 3.2.1.  Summary of estimated impact on expenditure  
 3.2.2.  Estimated impact on appropriations of an administrative nature  
 3.2.3.  Third -party contributions  
 3.3. Estimated impact on revenue 
EN 2  EN 1. FRAMEWORK  OF THE  PROPOSAL   
1.1. Title of the proposal  
a) Proposal for a Regulation of the European Parliament and of the Council on the financing, 
mana gement and monitoring of the common agricultural policy and repealing Regulation 
(EU) No 1306/2013;  
b) Proposal for a Regulation of the European Parliament and of the Council establishing rules 
on support for strategic plans to be drawn up by Member States  under the Common 
agricultural policy (CAP Strategic Plans) and financed by the European Agricultural 
Guarantee Fund (EAGF) and by the European Agricultural Fund for Rural Development 
(EAFRD) and repealing Regulation (EU) No 1305/2013 of the European Parli ament and of 
the Council and Regulation (EU) No 1307/2013 of the European Parliament and of the 
Council;  
c) Proposal for a Regulation of the European Parliament and of the Council amending 
Regulations (EU) No 1308/2013 establishing a common organisation of  the markets in 
agricultural products, (EU) No 1151/2012 on quality schemes for agricultural products and 
foodstuffs, (EU) No 251/2014 on the definition, description, presentation, labelling and the 
protection of geographical indications of aromatised wine  products, (EU) No 228/2013 laying 
down specific measures for agriculture in the outermost regions of the Union and (EU) No 
229/2013 laying down specific measures for agriculture in favour of the smaller Aegean 
islands.  
1.2. Policy area(s) concerned  (Programme cluster)  
Programme cluster 8 - Agriculture & Maritime Policy under Heading 3 of the 
Multiannual Financial Framework (MFF) 2021 -2027 – Natural Resources and 
Environment  
1.3. The proposal/initiative relates to:  
 a new action following a pilot p roject/preparatory action22  
 the extension of an existing action   
 a merger or redirection of one or more actions towards another/a new action   
1.4. Grounds for the proposal/initiative  
1.4.1.  Requirement(s) to be met in the short or long term including a detailed timeline for 
roll-out of the implementation of the initiative  
The objectives of the Common Agricultural Policy (CAP), set out in Article 39 of the 
Treaty on the Functioning of the European Union, aim at:  
(a) increasing agricultural productivity (including through technical progress and 
optimum usage of the factors of production);  
(b) thus ensuring a fair standard of living for the agricultural community (including 
by increasing earnings);  
(c) stabilising markets;  
(d) ensuring the availability of supplies; and  
(e) ensuring that supplies reach consumers at reasonable prices.  
                                                 
22 As referred to in Article 5 8(2)(a) or (b) of the Financial Regulation.   
EN 3  EN Those are adjusted and articulated to the challenges mentioned in section 1.4.2 below 
in order to put the emphasis on the 10 Commission priorities for 2015 -2019 and UN 
Sustainab le Development Goals and in order to fulfil the above the proposals aiming 
to lay down the legislative framework for the Common Agricultural Policy for the 
period 2021 -2027 – A simpler, smarter, modern and more sustainable CAP.  
1.4.2.  Added value of Union involvement (it may result from different factors, e.g. 
coordination gains, legal certainty, greater effectiveness or complementarities). For 
the purposes of this point 'added value of Union involvement' is the value resulting 
from Union intervention which  is additional to the value that would have been 
otherwise created by Member States alone.  
The cross -border and global nature of key challenges faced by EU agriculture and 
rural areas require a common policy at EU level. The CAP addresses those 
challenges by: 
● securing a single market and level playing field via a common income safety net 
system of support that underpins food security and avoids potential distortions of 
competition;  
● shoring up EU farming sector resilience necessary to harness globalisati on and  
● delivering on key dimensions of sustainability challenges like climate change, 
water use, air quality and biodiversity via the CAP environmental architecture.  
In other areas, a strong EU -wide dimension needs to be combined with more 
subsidiarity. These areas include food safety (e.g. harmonisation of standards), rural 
area challenges (with big gaps in rural unemployment existing between Member 
States), poor rural infrastructure and services, weaknesses in research and innovation, 
and problems relat ed to food quality, public health and nutrition. An appropriate EU -
level response to these challenges allows more effective and efficient action when 
combined with more flexibility at Member State level.  
1.4.3.  Lessons learned from similar experiences in t he past  
On the basis of the evaluation of the current policy framework, an extensive 
consultation with stakeholders as well as an analysis of future challenges and needs, 
a comprehensive impact assessment has been carried out. More details can be found 
in the impact assessment and the explanatory memorandum that are accompanying 
the legal proposals.  
1.4.4.  Compatibility and possible synergy with other appropriate instruments  
Predominantly as regards the CAP, significant synergies and simplification effects 
will be obtained by including under one strategic framework of the CAP Strategic 
Plan the implementation of interventions financed by the EAGF and EAFRD. The 
structures already in place in the Member States shall be sustained while 
management and control r ules simplified and tailored to specific interventions 
implemented by the Member States.  
The CAP maintains strong synergies with climate and environment policies, food 
safety and health -related issues, digital agenda in rural areas and bioeconomy, 
knowledg e and innovation enlargement and neighbourhood policy, trade and 
development policies, Erasmus+.  
The CAP will work in synergy and complementarity with other EU policies and 
funds such as actions implemented under the European Structural and Investment  
EN 4  EN Funds, the InvestEU fund, the ninth Framework Programme for Research as well as 
environmental and climate -related policies. Where appropriate, common rules will be 
established in view of maximising consistency and complementarity between funds, 
while making s ure that specificities of these policies are respected.  
Synergies with the Research Framework Programme (FP) will be secured in the FP9 
cluster on “Food and Natural Resources” whose objective is to make agriculture and 
food systems fully safe, sustainable , resilient, circular, diverse and innovative. The 
CAP will forge even stronger links to EU Research and Innovation policy by 
introducing bioeconomy as a priority for the CAP. Under the cluster on “Food and 
Natural Resources”, emphasis is also given to rea ping the benefits of the digital 
revolution, so Research and Innovation activities will contribute to the digital 
transformation of agriculture and rural areas.  
The legislative proposals concerned by this financial statement should be seen in the 
broader c ontext of the proposal for the Common Provisions Regulation laying down 
a single framework of common rules for funds such as the EAFRD, the European 
Regional Development Fund, the European Social Fund, the Cohesion Fund, the 
European Maritime and Fisheries  Fund and others. That framework regulation will 
make an important contribution to reducing administrative burden, to spending EU 
funds in an effective way, and to put simplification into practice.  
1.5. Duration and financial impact  
 limited duration  
–  in effect from 01/01/2021 to 31/12/2027  
–  Financial impact from 2021 to 2027 for commitment appropriations and from 
2021 to beyond 2027 for payment appropriations.  
 unlimited duration for Proposal for a Regulation of the European Parliament and 
of the Co uncil amending Regulations (EU) No 1308/2013 establishing a common 
organisation of the markets in agricultural products, (EU) No 1151/2012 on quality 
schemes for agricultural products and foodstuffs, (EU) No 251/2014 on the 
definition, description, present ation, labelling and the protection of geographical 
indications of aromatised wine products, (EU) No 228/2013 laying down specific 
measures for agriculture in the outermost regions of the Union and (EU) No 
229/2013 laying down specific measures for agricul ture in favour of the smaller 
Aegean islands  
– Implementation as from 2021 (budget year).  
1.6. Management mode(s) planned23  
 Direct management  by the Commission  
–  by its departments, including by its staff in the Union delegations;  
–  by the executive agencies  
 Shared management  with the Member States  
 Indirect management  by entrusting budget implementation tasks to:  
                                                 
23 Details of management modes and references to the Financial Regulation may be found on the 
BudgWeb site: 
https://myintracomm.ec.europa.eu/budgweb/EN/man/budgmanag/Pages/budgmanag.aspx    
EN 5  EN –  third countries or the bodies they have designated;  
–  international organisations and their agencies (to be specified);  
– the EIB and the European Investment Fund;  
–  bodies referred to in Articles 70 and 71 of the Financial Regulation;  
–  public law bodies;  
–  bodies governed by private law with a public servic e mission to the extent that 
they provide adequate financial guarantees;  
–  bodies governed by the private law of a Member State that are entrusted with 
the implementation of a public -private partnership and that provide adequate 
financial guarantees;  
–  persons entrusted with the implementation of specific actions in the CFSP 
pursuant to Title V of the TEU, and identified in the relevant basic act.  
– If more than one management mode is indicated, please provide details in the ‘Comments’ section.  
Comments  
No s ubstantive change compared to the present situation, i.e. the bulk of expenditure 
concerned by the legislative proposals on the CAP will be managed by shared management 
with the Member States. However, a very minor part will continue to fall under direct 
management by the Commission.   
EN 6  EN 2. MANAGEMENT  MEASURES   
2.1. Monitoring and reporting rules  
Specify frequency and conditions.  
A performance, monitoring and evaluation framework shall be established with a 
view to:  
(a) assess the impact, effectiveness, efficiency, relevance, coherence and EU 
added value of the CAP;  
(b) set milestones and targets for CAP Strategic Plans specific objectives;  
(c) monitor progress made towards achieving the CAP Strategic Plan targets;  
(d) assess the i mpact, effectiveness, efficiency, relevance and coherence of the 
CAP Strategic Plans interventions;  
(e) support a common learning process related to monitoring and evaluation.  
The Managing Authority and the Monitoring Committee will monitor the 
implementat ion of the CAP Strategic Plan and progress made towards achieving 
CAP Strategic Plan targets.  
Annual performance reports  
By 15 February 2023 and 15 February of each subsequent year until and including 
2030, Member States shall submit to the Commission annual performance reports on 
the implementation of the CAP Strategic Plan in the previous financial year. These 
reports shal l set out key qualitative and quantitative information on implementation 
of the CAP Strategic Plan by reference to financial data, output and result indicators. 
They shall also include information about realised outputs, realised expenditure, 
realised resu lts and distance to respective targets.  
The data transmitted shall relate to achieved values for indicators for partial and fully 
implemented interventions. They shall also set out a synthesis of the state of 
implementation of the CAP Strategic Plan reali sed during the previous financial year, 
any issues which affect the performance of the CAP Strategic Plan, in particular as 
regards deviations from milestones, underlining reasons and, where relevant, the 
measures taken.  
The Commission shall carry out an Annual Performance Review and an Annual 
Performance Clearance based on the information provided in the Annual 
Performance reports.  
CAP strategic Plan evaluation  
Member States shall carry out ex ante evaluations, including an analysis of the 
strength, weakn esses, opportunities and threats relevant for the CAP Strategic Plan 
concerned in order to identify the needs to be addressed by the CAP Strategic Plan.  
Evaluations of CAP Strategic Plans shall be carried out by the Member States to 
improve the quality of  the design and implementation of plans, as well as to assess 
their effectiveness, efficiency, relevance, coherence, EU added value and impact in 
relation to their contribution to the CAP general and specific objectives.   
EN 7  EN Performance assessment by the Commi ssion  
The Commission shall establish a multiannual evaluation plan of the CAP to be 
carried out under the responsibility of the Commission.  
The Commission shall carry out an interim evaluationto examine the effectiveness, 
efficiency, relevance, coherence and EU added value of the Funds taking into 
account the indicators set out in Annex VII. The Commission may make use of all 
relevant information already available in accordance with Article 128 of Financial 
Regulation.  
The Commission shall carry out a retr ospective evaluation to examine the 
effectiveness, efficiency, relevance, coherence and EU added value of the Funds.  
Based on evidence provided in evaluations on the CAP, including evaluations on 
CAP Strategic Plans, as well as other relevant information s ources, the Commission 
shall present an initial report on the implementation of this Article, including first 
results on the performance of the CAP, to the European Parliament and the Council 
by 31 December 2025. A second report including an assessment of the performance 
of the CAP shall be presented by 31 December 2031.  
Reporting based on a core set of indicators  
The information provided by the Member States is the basis on which the 
Commission shall report on the progress towards the achievement of specif ic 
objectives over the whole programming period using for this purpose a core set of 
indicators.  
In compliance with its reporting requirement pursuant to Article 38(3)(e)(i) of the 
Financial Regulation, the Commission shall present to the European Parliame nt and 
the Council the performance information referred to in that Article measured by the 
core set of indicators.  
2.2. Management and control system(s)  
2.2.1.  Justification of the management mode(s), the funding implementation mechanism(s), 
the payment modalities and the control strategy proposed  
The CAP is primarily implemented in shared management with the Member States. 
The existing governance bodies set up in the Member States, notably the paying 
agencies and certification bodies, have shown their ef fectiveness in protecting the 
EU budget and ensuring sound financial management. The steady low error rate 
levels under the CAP in the most recent years show that the management and control 
systems set up by the Member States function properly and provide reasonable 
assurance.  
The new delivery model under the CAP acknowledges this situation by conferring 
more subsidiarity on Member States in deciding and managing the control systems in 
place within a more general set of rules at the level of the Union. More over, 
following the strategy on budgeting focused on results and performance oriented 
payments, the CAP will link the eligibility of the payments to the actual delivery on 
the ground. Performance is therefore at the heart of the financial management and 
assurance model in the legislative proposals for the CAP post 2020.  
The control strategy for the new period will be fully in line with the single audit 
approach, ensuring that accredited paying agencies and certification bodies provide 
the necessary assuranc e. The Commission will pay particular attention to the  
EN 8  EN effective functioning of the governance systems in place and the reliability of the 
performance reporting. As currently, there will be an audit strategy drafted at the 
beginning of the period and a mul ti-annual working programme.   
To summarize, the Commission will ensure that the governance systems set up in the 
Member States are functioning effectively, will reimburse the payments incurred by 
the accredited paying agencies and will carry out annual pe rformance clearance 
assessing the achieved outputs reported by the Member States.  
2.2.2.  Information concerning the risks identified and the internal control system(s) set up 
to mitigate them  
There are more than seven million beneficiaries of the CAP, rece iving support under 
a large variety of different aid schemes. The downward trend in the reduction of the 
error rate in the domain of the CAP shows robust and reliable management and 
control systems in the paying agencies.  
The CAP has been implemented so fa r through detailed eligibility rules at the level 
of the beneficiary which added complexity, administrative burden and risk of error. 
The costs of the management and control system, in order to mitigate this risk, have 
been considered as somewhat dispropor tionate.   
The legislative package for the CAP post 2020 reduces substantially the compliance 
element, increasing the focus on performance. Obligations stemming from EU rules 
are to be fulfilled by Member States who then should put in place the appropriate  
management and control system. Member States will have more flexibility to design 
the schemes and measures that better fit their concrete realities. Therefore, the CAP 
funding will be conditioned to a strategic delivery of the policy towards common 
object ives defined at EU level. The CAP Plan will be the agreement between the 
Member States and the Commission whereby the strategy for 7 years, targets, 
interventions and planned expenditure are laid down and approved.  
The proposal for the regulation on the fi nancing, management and monitoring of the 
common agricultural policy adapts the current set up to this new delivery model, 
while maintaining the well -functioning governance bodies (paying agencies and 
certification bodies). As in the current situation, eve ry year the head of each paying 
agency is required to provide a management declaration which covers the 
completeness, accuracy and veracity of the accounts, the proper functioning of the 
governance structures, including fulfilment of EU basic requirements,  and the 
reliability of the performance reporting. An independent audit body (Certification 
Body) is required to provide an opinion on these elements.  
Expenditure will be reduced if the Member State has not delivered outputs to the 
agreed standards. Compli ance audits will still be carried out to assess the functioning 
of the governance structures. The Commission will continue to audit agricultural 
expenditure, using a risk -based approach in order to ensure that its audits are targeted 
to the areas of highes t risk, in accordance with the single audit principle. 
Furthermore, there are clear mechanisms for suspensions of payments for cases of 
serious deficiencies in the governance structures or significant underperformance 
trends.  
The main risk envisaged for t he new period is that the alleviation of concrete and 
detailed rules on how the management and control system in the Member State 
should be established at the level of the paying agencies may have a reputational  
EN 9  EN impact for the Commission in cases where eli gibility rules established by the 
Member States are not respected. It should be stressed that the Commission will 
ensure that governance systems are in place and outputs and results are being 
achieved. In the spirit of budgeting focused on results, the Com mission will put the 
focus to what the policy delivers.  
2.2.3.  Estimation and justification of the cost -effectiveness of the controls (ratio of "control 
costs ÷ value of the related funds managed"), and assessment of the expected levels 
of risk of error ( at payment & at closure)  
The new delivery model for the CAP is expected to significantly reduce the cost of 
controls, both for Member States and beneficiaries.  
The EU level requirements have been significantly reduced and they have been set at 
the level o f the Member States, who should use this opportunity to adapt the 
obligations to be fulfilled by beneficiaries to the concrete national or regional 
circumstances.  
Member States will define the management and control system within the simplified 
EU framewo rk defined in the legislative proposals. The Integrated Administration 
and Control System (IACS), accountable for roughly 88% of the CAP payments, is 
maintained although specific elements, so far defined at EU level, will be left to 
Member States. Therefor e, intensity and scope of controls which is the main cost 
driver is no longer defined at EU level.  
The focus on performance requires a robust and reliable reporting system, which as 
mentioned in previous sections, will be subjet to independent audits. It is not 
expected though that this has a significant impact on the administrative burden of the 
Member States, since most of the output indicators are already available in the 
accredited paying agencies.  
The Member States have the potential to simplify and reduce the administrative 
burden linked to the management and control of the CAP, since they will be able to 
tailor eligibility rules at beneficiary level and decide most suitable way to control (no 
one-size-fits-all). As stated in the Impact Assessment ac companying the CAP 
legislative proposals, chapter on simplification, the delivery costs for the new CAP 
are not expected to be higher (currently at 3.6%), even when taking into account the 
enhanced focus on performance reporting.  
As regards the expected l evel of errors, according to the new delivery model, the 
eligibility of the expenditure is assessed in terms of outputs achieved. Therefore, 
errors would not be calculated in respect to legality and regularity of individual 
transactions but on the level of  outputs achieved in relationship with the expenditure 
reimbursed. The expenditure which has not a corresponding output will be reduced in 
the framewok of the annual performance clearance, so the EU budget remains 
protected.  
2.3. Measures to prevent fraud and irregularities  
Specify existing or envisaged prevention and protection measures, e.g. from the Anti -Fraud Strategy.  
The legislative package envisages that Member States shall ensure effective 
prevention against fraud, especially in the areas with a higher level of risk, 
preventing, detecting and correcting irregularities and fraud. Member States must  
EN 10  EN impose effective, d issuasive and proportionate penalties as laid down in Union 
legislation or national law, and recover any irregular payments plus interests.  
These EU basic requirements are part of the governance structures that will be 
audited by the Certification Bodies and on a risk -based approach, also by the 
Commission following the single audit principle.  
Details will be addressed, as appropriate, in a revised AGRI Anti -fraud Strategy. It is 
however not expected that the typology of fraud and other serious irregulari ties will 
substantially change in the future compared to the status quo.  
The current approach of delivering targeted training to Member States on the 
prevention, detection and correction of fraud and other serious irregularities is likely 
to be extended on to the future CAP. The same applies to thematic guidance notes for 
Member States on specific areas of high risk.  
  
EN 11  EN 3. ESTIMATED  FINANCIAL  IMPACT  OF THE  PROPOSAL   
The amounts indicated in this financial statement are expressed in c urrent prices.  
In addition to the changes resulting from the legislative proposals as listed in the 
accompanying tables below, the legislative proposals imply further changes which 
have no financial impact.  
As regards the market -related expenditure, it sho uld be underlined that the amounts 
taken into account for market -related expenditure are based on the assumption of no 
public intervention buying -in and other measures related to a crisis situation in any 
sectors.  
A new agricultural reserve will be establ ished in the EAGF, to provide additional 
support for the agricultural sector for the purpose of safety -net measures in the 
context of market management or stabilisation and/or in case of crises affecting the 
agricultural production or distribution. The amo unt of the reserve will be at least 
EUR 400 million at the beginning of each financial year. The unused amounts of the 
agricultural crisis reserve in financial year 2020 will be carried forward to financial 
year 2021 to set up the reserve; an annual roll -over of the unused amounts will apply 
in the period 2021 -2027. In case the reserve is used, it will be re -filled using existing 
budgetary availabilities or by fresh appropriations. In case the specific EAGF sub -
ceiling fixed in the MFF 2021 -2027 is overshoo t, the financial discipline will apply 
to cover all needs above the sub -ceiling, including those for refilling the reserve. 
Therefore, the repeated application of financial discipline for the purpose of setting 
up the reserve is not foreseen in the period 2021 -2027. The financial discipline 
mechanism will remain for the purpose of ensuring the respect of the EAGF sub -
ceiling.  
As concerns direct payments types of interventions, the net ceilings for financial year 
2021 (calendar year 2020) set by Regulation (EU) No 1307/2013 of the European 
Parliament and of the Council, are higher than the amounts allocated to direct 
payments types of interventions indicated in the accompanying tables, consequently 
they will need to be adjusted in line with the final agreeme nt on the CAP financal 
envelope within the deadlines needed for timely implementation in the Member 
States.  
The proposal includes a continuation of the process of external convergence of direct 
payments: Member States with an average support level below 9 0% of the EU 
average will close 50% of the gap to 90% of the EU average in 6 gradual steps 
starting in 2022. All Member States will contribute to financing this convergence. It 
is reflected in the Member States allocations for direct payments in Annex IV t o the 
CAP Strategic Plans Regulation.  
The impact of the reduction of payments inf direct support to farmers is budgetary 
neutral for the direct payments allocation, as the product of the reduction of 
payments will be used to finance redistributive payment  within the same Member 
State. In case the product of the reduction of payments cannot be accomodated in the 
financing of direct payments types of interventions, it will be transferred to the 
EAFRD allocation of the Member State concerned. The amounts of s uch possible 
transfer cannot be quantified at this stage.  
As regards the revenue assigned to the EAGF, the estimate reflects the effect of 
granted deferrals and instalments on the past clearance decisions that will be cashed  
EN 12  EN in after 2020, and the estimate d assigned revenue from clearance and irregularities to 
be collected. The latter is assumed to decrease compared to current levels following 
the introduction of the new delivery model.  
As regards the EAFRD, the proposal foresees a decrease in EU co -financ ing rates 
similarly to the other European Structural and Investment Funds. This together with 
the allocation for the EAFRD types of interventions will allow keeping public 
support to European rural areas largely unchanged. The allocation between Member 
States is based on objective criteria and past performance.  
The reform proposals contain provisions giving Member States a degree of flexibility 
in relation to their allocation for direct payments types of interventions and for rural 
development types of int erventions, as well as between the allocation for direct 
payments types of interventions and for certain sectorial types of interventions. In 
case Member States decide to use that flexibility, this will have financial 
consequences within the given financia l amounts, which cannot be quantified at this 
stage.  
 
3.1. Heading of the multiannual financial framework and preliminary list of new 
expenditure budget lines proposed24  
Heading of 
multiannual 
financial 
framework  Budget line  Type of  
expenditure  Contribution  
Heading 3:  
Natural Resources and Environment  Diff./Non -
diff.25 from 
EFTA 
countries
26 
 from 
candidate 
countries27 
 from third 
countries  within the 
meaning of 
Article  [21(2)(b)] 
of the Financial 
Regulation  
3 [08.01.YY] EAGF Non -operational 
technical assistance  Non-diff NO NO NO NO 
3 [08.01.YY] EAFRD Non -operational 
technical assistance  Non-dif NO NO NO NO 
3 [08.01.YY] Executive agencies  Non-diff NO NO NO NO 
3 [08.02.YY] Agricultural reserve  Non-diff NO NO NO NO 
3 [08.02.YY] Sectorial types of 
interventions under the CAP plan  Non-diff NO NO NO NO 
3 [08.02.YY] Market related 
expenditure outside the CAP plan  Diff and 
non-diff NO NO NO NO 
3 [08.02.YY] Direct payments types of 
interventions under the CAP plan  Non-diff NO NO NO NO 
                                                 
24 A number of the existing budgetary lines is to be maintained and the numbering is to be adapted to the 
new budgetary nomenclature (e.g. current chapters 05 07 and 05 08). Fol lowing the development of the 
CAP proposal the nomenclature could be adjusted.  
25 Diff. = Differentiated appropriations / Non -diff. = Non -differentiated appropriations.  
26 EFTA: European Free Trade Association.  
27 Candidate countries and, where applicable, potential candidates from the Western Balkans   
EN 13  EN Heading of 
multiannual 
financial 
framework  Budget line  Type of  
expenditure  Contribution  
Heading 3:  
Natural Resources and Environment  Diff./Non -
diff.25 from 
EFTA 
countries
26 
 from 
candidate 
countries27 
 from third 
countries  within the 
meaning of 
Article  [21(2)(b)] 
of the Financial 
Regulation  
3 [08.02.YY] Direct payments outside 
the CAP plan  Non-diff NO NO NO NO 
3 [08.02.YY] EAGF Operational 
technical assistance  Diff and 
non-diff NO NO NO NO 
3 [08.03.YY] 2021 -2027 rural 
development types of interventions 
under the CAP plan  Diff NO NO NO NO 
3 [08.03.YY] EAFRD Operational 
technical assistance  Diff NO NO NO NO 
7 [08.01.YY] Expenditure related to 
official and temporary agents in the 
‘Agriculture and rural development’ 
policy area  Non-diff NO NO NO NO 
7 [08.01.YY] External personnel and 
other management expenditure in 
support of the 'Agricultural and Rural 
Development' policy area  Non-diff NO NO NO NO 
7 [08.01.YY] Expenditure related to 
information and communication 
technology equipment and services of 
the 'Agricultural and Rural 
Development'  policy area  Non-diff NO NO NO NO 
The list of budget items in the table above is preliminary and does not prejudge the concrete 
budget nomenclature that the Commission will propose in the context of the annual budgetary 
procedure. 
EN 14  EN 3.2. Estimated impact on expenditure  
3.2.1.  Summary of estimated impact on expenditure  
EUR million (with three decimal places)  
Heading of multiannual financial  
framework  3 Natural Resources and Environment  
 
 2021  2022  2023  2024  2025  2026  2027  Post 
2027  TOTAL  
08 02 YY – Agricultual reserve  Commitments = 
Payments  (1) p.m. p.m. p.m. p.m. p.m. p.m. p.m.  p.m.  
08 02 YY – Sectoral types of 
interventions under the CAP plan  28 Commitments = 
Payments  (2) 2,044.116  2,066.584  2,091.060  2,115.010  2,139.737  2,165.443  2,192.347   14,814.294  
08 02 YY - Market related expenditure 
outside the CAP plan  Commitments  (3) 638.309  638.309  638.309  638.309  638.309  638.309  638.309   4,468.163  
Payments  (4) 605.136  611.601  623.808  627.643  629.770  630.334  630.314  109.558  4,468.164  
08 02 YY – Direct payments types of 
interventions  Commitments = 
Payments  (5) 37,392.689  37,547.129  37,686.679  37,802.859  37,919.038  38,035.217  38,151.396    264,535.007  
08 02 YY – Direct payments outside the 
CAP plan  Commitments = 
Payments  (6) 421.321  421.321  421.321  421.321  421.321  421.321  421.321    2,949.249  
08 02 YY – EAGF operational technical 
assistance29 Commitments = 
Payments30 (7) 71.000 71.000 71.000 71.000 71.000 71.000 71.000  497.000 
                                                 
28 An increase in the Sectorial types of interventions under the CAP plan is explained by the allocation proposed for the support to the apiculture sector amounting to 
EUR 60 million, as well as the evolution of  the expenditure in fruit and vegetables sector, which is not limited by an EU level envelope, following the observed past 
level of execution.  
29 Including also the amounts financed currently under chapters 05 07 (Audit of agricultural expenditure) and 05 08 (Policy strategy and coordination of the Agriculture 
and rural development policy area).  
30 For simplification, the appropriations for EAGF technical assistance are here considered as non -differenciated. The amount of RAL tends to be insignificant 
compar ed to the total amounts concerned by this financial statement.   
EN 15  EN 08 01 YY - Appropriations of an 
administrative nature financed from the 
EAGF31 Commitments = 
Payments  (8) 13.000 13.000 13.000 13.000 13.000 13.000 13.000  91.000 
67 01 & 67 02 – Revenue assigned to 
the EAGF  Commitments = 
Payments  (9) 280.000 230.000 130.000 130.000 130.000 130.000 130.000  1,160.000 
SUBTOTAL – EAGF  Commitments  (10)=(1
+2+3+5
+6+7+8
-9) 40,300.435 40,527.343 40,791.369 40,931.499 41,072.405 41,214.290 41,357.373   286,194.715  
Paymen ts 11)=(1+
2+4+5+
6+7+8 -
9) 40,267.262 40,500.635  40,776.868  40,920.833  41,063.866  41,206.315 41,349.378 109.558  286,194.715  
            
08 03 YY – Rural development types of 
interventions  Commitments  (12) 11,230.561  11,230.561  11,230.561  11,230.561  11,230.561  11,230.561  11,230.561    78,613.927  
 Payments  (13) 786.139 3,703.699  6,314.312 7,860.977  9,356.414 10,331.700  11,025.236 29,235.450  78,613.927  
08 03 YY – EAFRD operational 
technical assistance EU  Commitments = 
Payments32 (14) 22.147 22.147 22.147 22.147 22.147 22.147 22.147   155.029 
08 01 YY - Appropriations of an 
administrative nature financed from the 
EAFRD  Commitments = 
Payments  (15) 6.000 6.000 6.000 6.000 6.000 6.000 6.000   42.000 
SUBTOTAL – EAFRD  Commitments  (16)=(1
2+14+1
5) 11,258.708  11,258.708  11,258.708  11,258.708  11,258.708  11,258.708  11,258.708    78,810.955  
Payments  (17)=(1
3+14+1
5) 814.286 3,731.846  6,342.459 7,889.124 9,384.561 10,359.847  11,053.383 29,235.450  78,810.955  
TOTAL appropriations for the Commitments  =10+16  51,559.143 51,786.051 52,050.077 52,190.207 52,331.113 52,472.998  52,616.081   365,005.670  
                                                 
31 Including the amounts financed currently under item 05 01 04 01 - Support expenditure for European Agricultural Guarantee Fund (EAGF) - Non-operational 
technical assistance and 05 01 06 01 - Consumer, Health, Agriculture and Food Executive Agency - Contribution from the agricultural promotion programme  
32 For simplification, the appropriations for EAFRD technical assistance are here considered as non -differenciated. The amount of RAL tends to b e insignificant 
compared to the total amounts concerned by this financial statement.   
EN 16  EN CAP  Payments  =11+17  41,081.548  44,232.481 47,119.327 48,809.957  50,448.427 51,566.162 52,402.761  29,345.008  365,005.670  
Totals do not tally due to rounding.    
EN 17  EN Heading of multiannual financial  
framework  7 ‘Administrative expenditure’  
 
EUR million (with three decimal places)  
 2021  2022  2023  2024  2025  2026  2027  Post 
2027  TOTAL  
Human resources  125.678  125.678  125.678  125.678  125.678  125.678  125.678   879.746  
Other administrative expenditure  6.008  6.008  6.008  6.008  6.008  6.008  6.008   42.056  
TOTAL appropriations under HEADING 
7 of the multiannual financial framework  Commitments = 
Payments  131.686  131.686  131.686  131.686  131.686  131.686  131.686   921.802  
 
EUR million (with three decimal places)  
  2021  2022  2023  2024  2025  2026  2027  Post 
2027  TOTAL  
TOTAL appropriations  
across HEADINGS  
of the multiannual financial framework   Commitments  51,690.829  51,917.737  52,181.763  52,321.893  52,462.799  52,604.684  52,747.767    365,927.472  
Payments  41,213.234 44,364.167 47,251.013 48,941.643 50,580.113 51,697.848  52,534.447 29,345.008  365,927.472  
Totals do not tally due to rounding.   
EN 18  EN  
3.2.2.  Summary of estimated impact on appropriations of an administrative nature  
–  The proposal/initiative does not require the use of appropriations of an 
administrative nature  
–  The proposal/initiative requires the use of appropriations of an administrative 
nature, as explained below:  
EUR million (to three decimal places)  
Years  2021  2022 2023  2024  2025  2026  2027  TOTAL  
 
HEADING 7  
of the multiannual 
financial framework          
Human resources  125.678  125.678  125.678  125.678  125.678  125.678  125.678  879.746  
Other administrative 
expenditure  6.008  6.008  6.008  6.008  6.008  6.008  6.008  42.056  
Subtotal HEADING 7  
of the multiannual 
financial framework  131.686  131.686  131.686  131.686  131.686  131.686  131.686  921.802  
 
Outside HEADING 733 
of the multiannual 
financial framework  
         
Human resources  1.850  1.850  1.850  1.850  1.850  1.850  1.850  12.950  
Other expenditure  
of an administrative 
nature  17.150  17.150  17.150  17.150  17.150  17.150  17.150  120.050  
Subtotal  
outside HEADING 7  
of the multiannual 
financial framework  19.000  19.000  19.000  19.000  19.000  19.000  19.000  133.000  
Totals do not tally due to rounding.  
TOTAL  150.686  150.686  150.686  150.686  150.686  150.686  150.686  1 054.802  
The appropriations required for human resources and other expenditure of an administrative nature will be met by 
appropriations from the DG that are already  assigned to management of the action and/or have been redeployed within the 
DG, together if necessary with any additional allocation which may be granted to the managing DG under the annual 
allocation procedure and in the light of budgetary constraints.  
                                                 
33 Technical and/or administrative assistance and expenditure in support of the implementation of 
EU programmes and/or actions (former ‘BA’ lines), indirect research, direc t research.   
EN 19  EN 3.2.2.1.  Estimated requirements of human resources  
–  The proposal/initiative does not require the use of human resources.  
–  The proposal/initiative requires the use of human resources, as explained 
below:  
Estimate to be expressed in full time equivalent units  
Years  2021  2022  2023  2024  2025  2026  2027  
 Establishment plan posts (officials and temporary staff)  
Headquarters and Commission’s 
Representation Offices  845 845 845 845 845 845 845 
Delegations  3 3 3 3 3 3 3 
Research         
 External staff (in Full Time Equivalent unit: FTE) - AC, AL, END, INT and JED  34 
Heading 7  
Financed from 
HEADING 7 of 
the multiannual 
financial 
framework   - at Headquarters  57.75  57.75  57.75  57.75  57.75  57.75  57.75  
- in Delegations  1 1 1 1 1 1 1 
Financed from the 
envelope of the 
programme  35 - at Headquarters  29 29 29 29 29 29 29 
- in Delegations         
Research         
Other (specify)         
TOTAL  935.75  935.75  935.75  935.75  935.75  935.75  935.75  
The human resources required will be met by staff from the DG who are already assigned to management of the action and/or 
have been redeployed within the DG, together if necessary with any additional allocation which may be granted to the 
managing DG under the  annual allocation procedure and in the light of budgetary constraints.  
                                                 
34 AC= Contract Staff; AL = Local Staff; END = Seconded National Expert; INT = agency staff; 
JPD=  Junior Professionals in Delegations.  
35 Sub-ceiling for external staff covered by operational appropriations (former ‘BA’ lines).   
EN 20  EN 3.2.3.  Third -party contributions  
The proposal/initiative:  
–  does not provide for co -financing by third parties  
–  provides for the co -financing by third parties estimated below:  
Appropriations in EUR million (to three decimal places)  
Years  2021  2022  2023  2024  2025  2026  2027  TOTAL  
Specify the co -financing 
body           
TOTAL appropriations 
co-financed          
 
3.3. Estimated impact on revenue  
–  The proposal/initiative has no financial impact on revenue.  
–  The proposal/initiative has the following financial impact:  
–  on own resources  
–  on other revenue  
      please indicate, if the revenue is assigned to expenditure lines   
EUR million (to three decimal places)  
Budget revenue line:  Impact of the proposal  
2021  2022  2023  2024  2025  2026  2027  
67 01 & 67 02  280 230 130 130 130 130 130 
For assigned revenue, specify the budget expenditure line(s) affected.  
08 02 YY – Sectoral types of interventions  
08 02 YY – Direct payments types of interventions  
Other remarks (e.g. method/formula used for calculating the impact on revenue or any other information).  
Please refer to comments under point 3