The European Parliament adopted by 237 votes to 201 with 67 abstentions, a resolution on how the CAP can improve job creation in rural areas.
Members highlighted the fact that rural areas represent more than 77% of EU territory and that many jobs in those areas depend on Members recalled that rural areas represent more than 77 % of EU territory, but nowadays employs only a fraction of the working population. Many rural areas face a series of challenges such as low income, negative population growth, a lack of jobs and a high rate of unemployment, slow development in the tertiary sector, a lack of processing capacity for food products, low skills and limited capital.
Whilst the economic crisis hit all parts of Europe, none were more affected than rural areas. In that connection, the CAP must be made more effective and its legitimacy reaffirmed as one of the principal tools for EU action aimed at the retention and creation of employment and competitiveness in rural areas.
Parliament made the following recommendations:
Under the current CAP: the resolution noted that it is of crucial importance to maintain the two pillars of the CAP. Pillar I prevents out-migration of small and family farms from the sector and maintains jobs in the agricultural sector, while Pillar II funds ensure job creation in other areas such as tourism, food processing and other related sectors.
Members called upon the Member States to:
The resolution called for a better distribution of CAP payments towards small farmers, as well as greater account taken of territories with geographical handicaps (such as mountain areas, overseas territories, the most outlying areas and sensitive natural areas).
Members pointed out that the Member States have made extensive use of the option of granting coupled aid which secures jobs in disadvantaged areas. They called on the Member States to increase the proportion of such aid for active farmers, to make it more flexible and to earmark more of it towards producing more plant proteins in the EU, which currently depends on imports from third countries for supply of this commodity. They also noted that there is a need to implement the environmental dimension of direct aid.
Parliament also recommended:
Members also felt it necessary to simplify the implementation of rural development policy, to adopt more coherent approaches, along the same lines as multi-funds, and to stop the Member States and the Commission imposing overly painstaking administrative and financial checks.
Under the future CAP after 2020: Parliament emphasised that the CAP procedures must be simplified and must have sufficient funding, maintained at least at the current level. Greater importance should be attached to instruments geared towards modernisation and investment.
Highlighting the importance of the tourism sector as a source of income for farmers (e.g. farm holidays), Members urged instituting programmes to support investment and entrepreneurship, and launching tourism campaigns.
The funds under the future CAP ought to provide more support to slow the loss of small and medium-sized farms. Furthermore, CAP direct payments should only be allocated to persons whose main area of activity is agriculture. Direct payments should remain a CAP instrument beyond 2020, in order to support and stabilise farm incomes and compensate for the costs arising from complying with high EU standards.
The resolution stressed the need to:
With regard to the recent animal epidemics and the 2013 horsemeat scandal, Members considered that a significant increase in the amount spent on food and feed security is needed, since the EUR 1.93 billion allocated for the current seven-year period is completely inadequate.
Lastly, Parliament took the view that ensuring food security in the European Union must remain the primary principle action under the future CAP, without neglecting markets outside the EU. Trade agreements could pose a real risk, as well as possible opportunities, for European agriculture. Members believed that free trade agreements should not lead to unfair competition towards small and medium-sized farms and undermine local economies and jobs.