Honorable members, dear colleagues,

I am now presenting the future of the CAP. I have listened carefully to our discussions, which is evident from our proposals, especially from your committee report.

The 2028-2034 MFF needs to be more than just a financial plan. We must build a more independent Europe, as we cannot rely on others for our long-term security and prosperity.

For this, we need a budget that meets the requirements, especially to safeguard our food security. Our proposal strengthens both the overall budget and the effectiveness of our Common Agricultural Policy.

The CAP remains a key priority for EU funding in the next financial period.

We provide stability and predictability to farmers by ringfencing income support.

The CAP budget for income support and crisis management amounts to at least €300 billion. This ringfenced budget represents 80% of the current budget and can only be used for income support for farmers.

This is crucial for stability and predictability for farmers – a key demand from your Committee.

Moreover, it is important to note that income support is now defined in a broader sense, incorporating not only area-based payments but also other compensation and payments to farmers, such as agri-environmental actions and support for young farmers. The CAP toolbox remains full!

The total amount for the National and Regional Partnerships Plan has been increased to €865 billion. This gives Member States ample opportunities to top up the minimum ringfenced amount based on their needs.

Additionally, I propose to create a new Unity Safety Net for crisis measures worth €6.3 billion. This will effectively double the current agricultural reserve.

There is also a much-reinforced budget for promotion to assist us in these geopolitical uncertainties.

One of the main concerns was inflation adjustment. The new MFF includes a method for annual price adjustment that will be equal to 2% whenever EU inflation is between 1% and 3%.

Lastly, agriculture will continue to benefit from the Horizon Framework Programme and the European Competitiveness Fund.

Ladies and gentlemen, this is a good outcome for agriculture and farmers. The CAP remains a clear priority, and our proposal manages to combine the protection of farmers income payments with the synergies and simplification the National Plan approach has to offer.

Let me turn to the CAP proposals:

Every MFF is also an opportunity for the CAP to evolve. I do not want a revolution, but I want a policy that is simpler, more targeted, modern, and more impactful.

Common policy but streamlined

It is clear that the CAP has been around for over 60 years. It has proven its success and necessity time and again.

I have fought strongly to maintain this common policy and all tools.

The CAP after 2027 retains all its tools, but we wanted to make it simpler.

This is why we propose to merge our two existing funds to keep one coherent set of instruments.

Key pillars of the new CAP structure are: income, incentives, innovation, and rural entrepreneurship.

Income remains essential. We maintain financing based on aid per hectare but with a simpler structure.

Our support to farmers must also be better targeted. We ensure that it supports those who need it the most.

As I promised, we are allowing Member States to better target those farmers who actively contribute to food security.

To enable effective generational renewal, we propose phasing out income support for farmers who receive national pensions with a sufficient transitional period.

Income is more than just area-based payments. We keep all other tools we know well now: compensation for areas with natural constraints, support for risk management, and more.

I have heard from our stakeholders that coupled income support is very important, especially for sectors like livestock. We are increasing the maximum spending to 20% from the current 13%, with the possibility for Member States to add an additional 5% for sectors they want to promote.

More incentives, fewer conditions

We also want a policy focused on results. It is crucial that we continue to produce our food while caring for our environment.

Environmental conditionality - called farm stewardship - is streamlined. We maintain the mandatory requirements from applicable legislation, but replace GAECs with protective practices that Member States design based on their specific needs.

Incentives play a big role. There is no reason why eco-schemes and agri-environmental measures should be spread across different pillars and be financed under different conditions.

We are also creating a new category of transition payments (in the form of lump sum payments of up to €200,000) to de-risk a farms transition to more sustainability.

Generational renewal

I have said many times, young farmers deserve particular attention. I am very happy that with this proposal we have the most ambitious package yet for the current and future generation of young farmers.

Our starter pack for young farmers is an obligation for the Member States.

Rural innovation and entrepreneurship

I know rural development is an issue close to your heart. All the measures that are well-known right now are there and even reinforced.

Other proposals

In this package, you will find also a proposal for a targeted review of the CMO regulation.

Honorable members,

The package of proposals in front of you is considerable. But it makes sense. Simpler and more impactful. Our farmers and rural communities will also benefit from this new approach. Let us work together to deliver results in their interest.

Thank you.