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A ‘CAP’ That is Fit For The 21st Century 'At the time when we need a European wide policy to provide food and environmental security, the last thing the UK Government should be calling for is to reduce the budget necessary to deliver it,' Professor Allan Buckwell, Chief Economist of the Country Land and Business Association, will say in his key note address to the CLA Centenary Conference Exploring the Future of Land Management on Thursday of this week . 'The challenges faced by the food and environmental sectors will increase in the future, not decline, so there is no case for reducing Budget Heading 2, currently dominated by the Common Agricultural policy (2), and a very serious case to expand it, especially so as the EU territory and population expands. It is necessary to say this because we sense that there is a British-led campaign currently underway to reduce the EU budget overall and certainly to reduce the expenditure in Budget Heading 2.'
Professor Buckwell will also say, 'Markets have a vital role in signalling the best use of resources and must be allowed to play a stronger role in achieving food security; but equally it must be recognised that there are pervasive market failures, of which climate change is the biggest, and these especially surround the environmental impacts of land management. Therefore, significant collective action is required to deal with these challenges ... It is vital therefore that environmental, land management, and international development interests work together to make the case for these policies in the reviews of the next two years, and ensure the EU budget for these purposes is adequate to the task."
-ENDS-
Notes:
1.Budget Heading 2 is set to average about €53 billion per annum for the period 2007-2013. This represents less than 0.5% of current EU GDP, or about 1% of EU total public expenditure. This expenditure currently deals with 80% of EU territory, 40% of its population, 5% of the working population engaged in land based activity, and 3% of EU GDP arising in agriculture.
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