Archive Article: 1997/08/02

2 August 1997




Agenda 2000: the proposals

&#8226 INTERVENTION PRICES

To be reduced by a third, in 2000/01. Equivalent to about a £16/t fall for grain, depending on green rate movements.

&#8226 AREA AID PAYMENTS

To be increased, but only by enough to compensate for about half of the drop in intervention prices. Also, area aid to be the same for all crops – bar proteins. This means less, relatively, for oilseeds. Approx new rates: cereals £300/ha; oilseeds £300/ha, depending on region and green pound (current rates 1996/97 are £267/ha and £448/ha respectively). This would also include a mechanism to avoid over-compensation if market prices rise.

&#8226 SET-ASIDE

To be eliminated. Voluntary set-aside would remain, under reduced payments (11.5% less).

&#8226 PROTEIN CROPS

Aid to be increased, relative to cereals. This would mean the pulse aid would fall, but by less (from 1996/97 rate of £385/ha to £329/ha).

&#8226 FORAGE MAIZE

To be removed from support arrangements.

&#8226 MODULATION

To impose limits on maximum payments on arable businesses; what these limits are, is to be determined by national governments under common EU guidelines.

&#8226 CAP WIDENED

To include issues such as food safety and quality, and environmental objectives.


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