Thu. Sep 19th, 2024

Brussels, 25 July 2023

Agriculture
Market situation in particular following Russia’s invasion of Ukraine

EU agriculture ministers discussed the situation of agricultural markets and took note of information provided by the Commission. In this regard, the Commission informed that the coordination platform with Ukraine, Moldova and the five frontline member states, continues to work on solutions to facilitate Ukraine’s exports, obtaining positive results to date. The Council further took note of member states’ assessment of the market situation, considering their 2023 harvest estimates, the current geopolitical context, and their views on what further challenges should be anticipated in the short and medium term.

The consequences of Russia’s aggression against Ukraine and adverse weather conditions in certain regions are still elements of uncertainty for European agricultural markets. Ministers also noted that other factors including veterinary diseases and reduced consumption due to food price inflation continue to put pressure on the sector.

The Council further discussed the expiry of the Black Sea Grain Initiative and the additional impact it could bring on solidarity lanes and on member states’ storage capacities, especially for member states neighbouring Ukraine. In this context, ministers welcomed the Commission’s assistance to EU farmers through the agricultural reserve. Ministers further took note of the information provided by frontline member states on their request to prolong the EU preventive measures on certain products from Ukraine beyond 15th September, as well as requests for specific derogations under the national strategic plans.

Ministers called for the further strengthening of solidarity lanes, exploring new route options, while maintaining the protection of the internal market, and condemned Russia’s blockage of the Black Sea.

In light of the situation, and one year after the implementation of the Commission’s regulation to mitigate volatility and improve awareness of the stock situation at EU level, ministers stressed the need to monitor the storage capacity in member states neighbouring Ukraine, to enhance transparency about stocks and continue to pay close attention to any developments on agricultural markets. The Council further made suggestions on appropriate tools to better understand the market, notably in terms of anticipating potential crisis situations.

Today’s discussion reflects the Council’s commitment to assist Ukraine in exporting its grain, while also ensuring the resilience of the EU’s agricultural markets and its farmers. Going forward, the Council agreed that the EU should continue to improve the monitoring of the markets, to be able to react accordingly to any development and anticipate potential crises.

Luis Planas Puchades, Acting Spanish Minister for Agriculture, Fisheries and Food

Regulation on the sustainable use of plant protection products

Ministers discussed the Commission’s study complementing the impact assessment on the sustainable use of plant protection products, which was published on 5 July 2023. This study follows a Council Decision on 19 December 2022 which requested additional data to complement the existing impact assessment. Some ministers stated that some important elements relating to the impact of the reduction of phytosanitary products are still missing from the study, especially regarding the quantitative assessment of the proposal on each member states. Ministers moreover re-iterated their opposition to mandatory reduction targets at national level and pleaded for flexibility allowing each member state to take into account its past performance and specific conditions in order to set its own reduction targets. Many ministers further highlighted their concerns with regards to the definition of “sensitive areas”, the low availability of non-chemical alternatives to pesticides, the impact on food prices and food security, as well as the potential increase in administrative burden on small farms.

In spite of their misgivings about the completeness of the study, the majority of ministers called on the need for the study to be discussed in detail at technical level and expressed their readiness to continue to work constructively on the proposal in order to reach an agreement on this important file before the end of the legislative cycle.

New Genomic Techniques (NGTs)

Ministers exchanged views on the Commission’s legislative proposal on the regulation on plants obtained by certain new genomic techniques as part of its ‘Food and biodiversity package’. Ministers welcomed the proposal, with the discussion focusing on member states’ assessment of the proposal in the context of the need to ensure a sustainable and resilient agri-food system. Ministers further highlighted the aspects of the proposal they considered as most important. The Council discussion will serve as guidance for the launch of the work at technical level, which is set to start later in July.

One of the priorities of the Spanish Presidency is precisely to advance in everything related to new technologies and new genomics techniques, and even more so now, in the context of climate change. New genomic techniques will allow, through science, to accelerate the evolution that would normally occur in nature over a longer period of time. These techniques open up numerous possibilities to produce food in a more sustainable way by being able to have crops that require less water, fertilizers or phytosanitary products.

Luis Planas Puchades, Acting Spanish Minister for Agriculture, Fisheries and Food

Other business

During the day, under other business, ministers received information from Poland, Bulgaria, Hungary, Romania and Slovakia on the need to extend the ban on certain imports from Ukraine until September 15, as a result of the impact this is having on their agricultural markets. Ministers further heard from Romania on the impact of the war in Ukraine, adverse weather conditions and high input prices on Romanian farmers. Finally, ministers discussed the outcomes of the Fifth African Union Ministerial Conference, and the Commission’s proposal for a regulation on the production and marketing of plant and forest reproductive material.

“A” items

The Council formally adopted three pieces of legislation that are part of the ‘Fit for 55’ package: the energy efficiency directive, the regulation on sustainable maritime fuels (FuelEUMaritime) and the regulation on the deployment of alternative fuels infrastructure (AFIR). The Council also adopted the Chips Act.

The Council also adopted without discussion the items on the list of non-legislative A items.

Source – EU Council

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