Mr. Ate Oostra on the future of the Common Agricultural Policy
“In China, Dutch agriculture is held in high regard – far higher than, until recently, in the Netherlands itself”. With these words, Mr Ate Oostra, former ambassador to China and former permanent representative to the EU (for agriculture) opened his seminar.
In a country facing population pressures and rising consumer expectations, access to agricultural technologies such as those developed and employed in the Netherlands was a high priority, and the Dutch reputation in this area spilled over into lucrative export opportunities in other sectors. In the Netherlands, agriculture was declining in status, at least until one TV programme altered public perception – Boer zoekt vrouw (farmer seeks wife). This showed farming as a skilled, hard working occupation at the cutting edge of technology – and not as some bucolic throw-back. It was not clear how far he was joking.
Mr. Oostra then proceeded to outline the developments of the Common Agricultural policy leading up to the current policy agenda.
- The Doha round had stalled but despite the lack of any agreement, world trade had not collapsed. The EU was now well-placed to reach an agreement (following the policy reforms over the past years) but the US remains uptight.
- The EU budget review was launched by the almost traditional Franco-German initiative , but that will not work this time. The EU President has forbidden any paper to circulate until the question is settled.
- Health-check is necessary to guarantee a ‘soft landing’ as dairy quotas are abandoned (by 2016) but Europe new produces less than ever before.
- OECD agenda for change highlights climate change, security of natural resources, new consumer expectations, global food chains, technology and innovation and risk and uncertainties as the challenges for the future. But not all of these are mutually compatible, and there is no indication of priorities.
Meanwhile the new Dutch cabinet is distinctly more positive toward the CAP, partly due to the change in its political composition and partly because the finance ministry is less implacably opposed. The Dutch will support a policy of payments per hectare (rather than output) but it will have to accept the implications of a shift in expenditure;
- Away from, the (poorer) North and East of the Netherlands, towards the (richer) South and the West
- Away from traditional recipients towards sectors that have so-far done without any support at all ( e.g. horticulture and flowers) and have been doing very well.
The government will also need to ensure that the top-up facility in agricultural expenditure does not create unlevel playing fields.
The seminar generated the usual questions and debate after which a small group accompanied the speaker to continue the discussions in a near-by hostelry.