B4-0137/96

Resolution on the prospects for the Common Agricultural Policy (CAP) and the implications of certain trade agreements for agricultural producers in the EU

The European Parliament,

- having regard to the study on alternative strategies for the development of relations in the field of agriculture between the EU and the associated countries with a view to future accession of these countries (CSE(95)607 - C4-0023/96),

A. whereas the three-year transition period for the first part of the CAP reform decided upon in 1992 is now at an end; whereas important production sectors have still not been reformed because the Council has failed to reach any decision (wine, fruit and vegetables) or because the Commission has still not submitted any proposals (olive oil sector),

B. having regard to the numerous free-trade agreements already in force or the subject of negotiation and the world-wide liberalization of trade in agricultural products,

C. having regard to the various measures relating to the common organization of markets which are needed following the Uruguay Round (WTO) trade agreements and whose impact on the CAP cannot yet be fully assessed; having regard to the Commission's strategy paper for the agricultural sector with regard to the EU's enlargement to the east, which proposes continuing the approach of the 1992 reform,

D. whereas the trade or free-trade agreements proposed or under negotiation with various third countries or regional economic areas will involve a further weakening of Community preference, with serious consequences for certain regions and agricultural sectors in the Union,

E. whereas, besides producing quality food, agriculture ensures the maintenance and management of the rural and forest environment, and plays a central role in stimulating rural development and in preserving and creating jobs in rural areas, and whereas this multi-function concept of agriculture can only be promoted in a wider context of integrated development of space and regional planning in the Union,

F. having regard to the greater vulnerability of the less-favoured regions in a world context of increased competition,

1. Calls on the Council and the Commission to complete - adopting whatever acts are necessary in the sectors where this has not been done - the CAP reforms initiated in 1992 and to apply them in full as quickly as possible for all production sectors, respecting the fundamental principles of the CAP and the agreements of the Jumbo Council of September 1993, make the necessary simplifications and adjustments and correct whatever unwelcome developments are apparent, especially in the social and environmental areas; points out at the same time the important role which may be played by non-food production;

2. Is in favour of setting a ceiling on compensatory income aid, in order to remedy the unfair distribution of European support and to combat the damage caused by concentration and excessive intensification;

3. Considers that the Commission's strategy paper on the alternative strategies to be implemented in the agricultural sector on EU enlargement is a sound basis for discussion for the preparation of a fresh adjustment of the Union's agricultural policy and for assisting the countries of Central and Eastern Europe to continue the modernization of their agriculture with a view to accession; stresses that the future development of the CAP should be based more firmly on quality production and respect for the environment;

4. Points out, in this connection, that the high proportion of the workforce employed in agriculture and in the rural regions of the CEECs will necessitate considerable efforts to maintain or recreate, with the aid of structural, technical and social innovation, employment prospects in the countryside; with a view to the sustainable development of the CEECs believes that there is an urgent need to create additional employment prospects outside the agricultural sector;

5. Calls on the Commission to respect its undertaking to make a global assessment of the May 1992 reform and to carry out a detailed evaluation of the impact of the obligations arising from the Uruguay Round agreements;

6. Calls on the Commission, as regards the trade or free-trade agreements planned or under negotiation with various non-Member countries or regional economic zones, to take into account as a matter of priority their impact on European agriculture as a whole and on farmers' incomes and future prospects in particular, and not to undermine the principle of Community preference;

7. Calls on the Commission to promote a more ambitious policy for integrated rural development; while acknowledging the key role of agriculture in food production, considers it essential to develop the other social, economic and environmental aspects in the administration of rural areas; calls therefore, as a means of safeguarding farming throughout the EU, for a strengthening of the measures to support farmers' efforts in terms of landscape conservation and for these measures to be focused in a fund for rural areas; urges the Commission, in particular, to make suitable proposals for the survival of farmers in the least-favoured regions, so as to prevent their total desertification;

8. Instructs its President to forward this resolution to the Council and Commission and to the governments of the Member States.