Debate: Need for an urgent EU action plan to ensure food security inside and outside the EU in light of the Russian invasion of Ukraine
Date: WEDNESDAY, 23 MARCH 2022
Speaker: Janusz Wojciechowski
Language: EN

The objective enshrined in our founding Treaties, some 65 years ago, is today as important as ever. For the global food system, the loss of grain exports from Ukraine means that up to 25 million tonnes of wheat must be substituted in the current and the next season. This is indispensable for overall world food needs, which are also affected by a likely reduction of Russian exports.  Combined, Ukraine and Russia are responsible for over 30% of world wheat exports. The strong price increase on cereal markets puts global food security at risk, affecting vulnerable people in food deficit countries. We must shield vulnerable countries, notably in Africa, the Middle East and the European neighbourhood region, from pressures on food availability and prices.  In recent days I have spoken with Ministers from Ukrainian Government who have described the situation facing the farmers. They have spoken of destroyed land, of lost crops and livestock. We had a discussion with the Ukrainian Agriculture Minister, Roman Leshchenko, during AGRIFISH Council meeting on Monday, and he told us that Ukrainian farmers are fighting at day and working to provide food at night. He also reminded us of the uncertainty of sowing and harvesting in Ukraine may continue for several years and that this puts pressure on global markets.  I also spoke with deputy minister of Mr Taras Dzoba, who said that Russia is taking Ukrainian soil and using it as a weapon, a weapon against its own people and a weapon of starvation. In the face of this weapon, the European Union will not stand down. We will step up. We will defend our neighbours, defend the international community and defend ourselves.  The Versailles Declaration of the European Council called upon the Commission to take urgent action to present options to address rising food prices and the issue of global food security as soon as possible. Today we have adopted the Communication on safeguarding food security and reinforcing the resilience of food systems. The Communication sets out actions in three areas. First, it presents our immediate action to safeguard food security in Ukraine and around the world. Second, we have addressed the challenge of food stability in the European Union food system with a range of measures to support our farmers and maintain affordability for our citizens. Finally, we confirm our agenda to make our food system sustainable and resilient in the years to come.  Security, stability and sustainability. These are the words that define our response. First and foremost, we will stand by the people of Ukraine to address the serious impacts of Russia’s invasion of Ukraine and food supplies in their homeland. To support the farmers of Ukraine, the Commission and international partners are working in ensuring that necessary inputs like seeds and fertilisers can reach Ukraine and that transportation and storage facilities are maintained to enable Ukraine to feed its citizens.  One particular problem is supply of diesel. I have spoken with the Polish Prime Minister. Mateusz Morawiecki, and he assured me that Poland can provide diesel for Ukraine from the strategic reserve.  The Commission has rapidly mobilised EUR 93 million in initial humanitarian funding for Ukraine and Moldova, of which 90 million has already been disbursed to humanitarian partners. Together with Member States, the Commission will also continue working with international partners to coordinate policies and assess the risk to global food security. We will therefore reinforce our humanitarian aid assistance to the regions most affected by food insecurity and assist them diversify their sources of food supplies. We will ensure that trade can continue and avoid restrictions that prevent food and fertilisers being brought where most needed. And we will strengthen our cooperation on transitioning to a sustainable food system across the globe.  The second area addressed in our Communication is the short—term actions to maintain food system stability in the European Union. In the EU, we are largely self-sufficient for almost all agricultural products. However, the European Union is importing feed grains and oilseeds from Ukraine and fertilisers and natural gas from Russia. Arable farmers feel the costs of high input prices and the livestock sector, pigmeat and poultry in particular, feel the strong impact of feed price increases.  Thirdly, I am pleased to underline that our European food security crisis preparedness and response mechanism is up and running and will increase cooperation to mitigate food security risk and monitor the situation. A second meeting of the mechanism is taking place today. To improve our monitoring capability. The Commission also proposes that Member States communicate data on their private stocks of essential food and feed to have a timely and accurate overview of their availability.  Let me be clear, currently, thanks to the work of our farmers and the support of the Common Agricultural Policy, food security in the European Union is not under threat. However, our food system is facing challenges. For our citizens it’s not a question of availability, but affordability. While there is enough food, in the EU prices are rising – food inflation reached 5.6% compared to February 2021 – and we must protect lower income citizens and vulnerable families. We must remember that in the last three weeks, our population has grown by more than 3 million people. That is more than 3 million extra mouths to feed every day. The Commission calls on Member States to use their social policies to protect vulnerable citizens from food insecurity. Member States can also implement reduced rates of VAT on food and use the Fund for European aid to the most deprived.  For farmers it is not a crisis situation, but a critical situation, especially for a number of specific sectors and smaller family farms. Let me briefly outline what this Communication holds for farmers. Firstly, the Commission has adopted exceptional support measures of EUR 500 million to directly assist those farmers most affected by the higher input costs and the closure of export markets. The Commission will submit its proposal to use the crisis reserve for this support package to both the European Parliament and the Council. Member States can exceptionally complement this EU support by up to 200% with national funds.  In addition, the Commission will allow Member States to pay increased levels of CAP direct payments in advance, to address the cash flow difficulties that farmers are facing. We have also adopted an exceptional temporary derogation to allow the production of any crops on fallow land this year, while maintaining the full level of greening payments for farmers. In view of the particularly difficult situation in the pigmeat sector, the Commission will open a new private storage aid scheme to stabilise the market.  Member States can also take measures at national level. The temporary crisis framework for state aid has been put in place to allow Member States to grant direct aid to producers affected by the crisis and to energy—intensive undertakings such as fertiliser manufacturers.  Finally, some Member States have started to use the specific flexibilities to existing import requirements related to pesticides for animal feed, provided that safety is ensured. We must act with these measures in the short term to address food security and affordability concerns now.  Let me remind you that we do not currently face a food security threat in the European Union. It is simply prudent that we support our farmers to produce more food sustainably while they can. That is why the Commission is acting with these short term measures.  Let me say one word also on fisheries, which is of course equally part of our food system. The EU fishery, aquaculture and processing sector is also directly affected by the disruptions of the market. Contrary to agriculture, the European Union is not self-sufficient when it comes to seafood. We are very much import dependent, including as regards imports of raw materials for fish processing. The sharp rise in marine fuel prices makes most fishing fleets unprofitable. The fisheries sector will benefit from some of the measures I just mentioned, including the temporary crisis framework for state aid.  Let me say this clearly: fundamentally, the transition to sustainable agriculture as envisaged in the Green Deal and the Farm to Fork Strategy is our only path to food security. This is strongly recognised and reinforced in our Communication. We must also ensure that our food system is resilient to external shocks like the one we are now experiencing.  This is why the Farm to Fork strategy is an important part of our response. It sets the path to reducing our dependence on inputs like fertilisers, without undermining productivity. This will require a greater use of knowledge sharing and innovation in areas like precision farming, organic farming, nutrient management and agro—ecology, which must be facilitated through CAP strategic plans.  On the subject of the CAP, the Commission will address the Russian invasion of Ukraine in its letters of observation to the CAP strategic plans, which will be adopted next week. I have called on the Member States to use their strategic plans to strengthen the sustainability and resilience of their agricultural sectors, reducing energy, pesticides and nutrient dependence and prioritising actions that increase yields. On sustainability, the Commission will support Member States who, for example, use funding to boost sustainable biogas production, improve energy efficiency, foster bio—economy solutions, convert into organic farming and protein crop production, and develop their knowledge and innovation systems.  In conclusion, honourable Members, I am confident that while we face a significant challenge, we can overcome it. But we need to act together within the European Union and with our international partners. I know I can count on the loyal cooperation of this House to face this crisis together, to address the challenges we are confronted with, and to preserve our long—term strategy, making our food system more sustainable and resilient.