WRITTEN QUESTION E-0483/04 by Daniel Varela Suanzes-Carpegna (PPE-DE) to the Commission. Rural development: young farmers.
Date: 2004-02-23
Institutions: European Parliament, Provisional data
Subjects: aid to agriculture, installation allowance, population ageing, reform of the CAP, rural development, young farmer

C 84 E/600

Official Journal of the European Union

EN

3.4.2004

Answer given by Ms Schreyer on behalf of the Commission

(5 April 2004)

The European Anti-Fraud Office (OLAF) has informed the Commission that four of the officials referred to
in the Honourable Member’s written question were part of the investigation section of the Unit for the
Coordination of Fraud Prevention (UCLAF) which dealt, among other things, with the questions relating to
Eurostat.

(2004/C 84 E/0675)

WRITTEN QUESTION E-0483/04

by Daniel Varela Suanzes-Carpegna (PPE-DE) to the Commission

(23 February 2004)

Subject: Rural development: young farmers

The recently adopted reform of the CAP improves some forms of aid for young farmers (chiefly as regards
setting-up and investment).

Rural development policy still does not give priority to young farmers, even though the rapid ageing of the
European farming population may make agriculture a residual economic activity. The new CAP reform
does not yet resolve all the difficulties experienced by young farmers in successfully running a farm, and
this is currently the real obstacle to the survival of the traditional model of European farming.

Has the Commission considered tackling the problem within the framework of the forthcoming reform of
the structural funds?

Answer given by Mr Fischler on behalf of the Commission

(30 March 2004)

The concerns of young farmers in European agriculture have been taken seriously into account in the
Common agricultural policy (CAP) reform agreed in June 2003. The modifications that the Honourable
Member states in his written question (higher aids for setting up and investment) have been introduced
through an amendment to the rural development Regulation (1) approved by this reform.

Council Regulation (EC) No 1783/03 (2) has introduced three new provisions
in the new rural
Development Regulation which will improve the treatment given to young farmers: an increase of 5 % in
the percentage of public support for investments in agricultural holdings: the previous percentage for
public aid in young farmers’ agricultural holdings investments was of 45 % (cid:1) and 55 % in less favoured
areas (cid:1) (LFA); now it will be of 50 % (cid:1) and 60 % in LFA; higher support for the setting-up of young
farmers: until now it was EUR 25 000 and now, with the new Regulation, the setting up premium can go
up to EUR 30 000 to young farmers who are using farm advisory services linked to the setting-up of their
activity during a period of three years after setting-up; and finally, a new recital has been introduced in the
Regulation which establishes that because ‘young farmers represent a key factor in the rural areas, support
to this category of farmers should be considered a priority’.

Member States can now take the chance of this reform to adapt their rural development programmes
according to new provisions of the Regulation.

3.4.2004

EN

Official Journal of the European Union

C 84 E/601

Currently, and after the presentation of the Communication on the new financial perspectives 2007-
2013 (3) and the Third Cohesion report, the Commission is working on the preparation of the future new
rural development Regulation, which will be presented before the summer break of 2004. In preparing the
new draft Regulation, the Commission will reflect on how the new Rural Development policy can take
specific account of the needs of young farmers.

(1) Council Regulation (EC) No 1257/1999 of 17 May 1999 on support for rural development from the European
Agricultural Guidance and Guarantee Fund (EAGGF) and amending and repealing certain Regulations, OJ L 160,
26.6.1999.

(2) Council Regulation (EC) No 1783/2003 of 29 September 2003 amending Regulation (EC) No 1257/1999 on
support for rural development from the European Agricultural Guidance and Guarantee Fund (EAGGF), OJ L 270,
21.10.2003.

(3) COM(2004) 101 final.

(2004/C 84 E/0676)

WRITTEN QUESTION E-0484/04

by Daniel Varela Suanzes-Carpegna (PPE-DE) to the Commission

(23 February 2004)

Subject: Rural development: less-favoured areas

The European Parliament’s report on the recently adopted reform of the common agricultural policy
placed particular emphasis on boosting rural development aid for less-favoured areas. Even though the
final decision incorporates many of Parliament’s demands, it will bring about little improvement in the
situation for such areas, since this did not figure among the objectives of the initial Commission proposal.

Bearing in mind that rural development should be one of the Community’s cohesion policy instruments,
will the Commission improve the treatment given to these regions with a view to the forthcoming reform
of the structural funds?

Answer given by Mr Fischler on behalf of the Commission

(1 April 2004)

Under the reform the average compensatory allowance that can be granted in the less favoured areas has
been increased,
in cases where this is justified on factual grounds, to a maximum annual amount of
EUR 250 per hectare instead of EUR 200 as previously.

Support for investment by young farmers has been boosted in the less favoured rural areas since they are a
key factor in their development: under the new provisions of Article 7 of Council Regulation (EC) No 1257/
1999 of 17 May 1999 on support for rural development from the European Agricultural Guidance and
Guarantee Fund (EAGGF) and amending and repealing certain Regulations (1) the maximum total aid, as a
percentage of the eligible investment volume, has risen from 55 % to 60 %. This provision is applicable for
a period of five years from setting up.

Support under Article 16 for farmers in less favoured areas who are subject to restrictions in connection
with the ‘Birds’ (2) and ‘Habitat’ (3) Directives can be raised to EUR 500 per hectare in warranted cases
where specific problems are faced. This higher support is granted annually on a degressive basis for not
more than five years from the date on which the new restrictions become mandatory in line with
Community legislation.