A new vision for agriculture
momagri, movement for a world agricultural organization, is a think tank chaired by Christian Pèes.
It brings together, managers from the agricultural world and important people from external perspectives,
such as health, development, strategy and defense. Its objective is to promote regulation
of agricultural markets by creating new evaluation tools, such as economic models and indicators,
and by drawing up proposals for an agricultural and international food policy.
A look at the news

Is the future CAP setting aside agricultural price volatility?

24 October 2011



On October 12, EC Commissioner for Agriculture Dacian Ciolos presented the Commission’s legislative proposals for the Common Agricultural Policy (CAP) from 2014. Described as a new pact between farmers and European citizens to meet the key challenges for the 21st century––insuring food security for a growing population, sustainable use of natural resources and vitality of Europe’s rural areas––the Commission’s draft considers capping direct incentives, partially making them conditional upon environmentally beneficial measures and ensuring greater fairness in the distribution of first-pillar aid among farmers.

Explaining the projected reform at the EC Representative Office in France, Yves Madre, a member of the Ciolos Cabinet, underscored Brussels’ willingness to include the economic changes of the past ten years in the CAP reform. He emphasized the “intolerable” instability of farmers’ incomes due to the excessive volatility of agriculture prices––an issue that was already taken up by the G20 this past June.

It has not escaped the attention of the attending representatives of the rural world that the proposals concerning the fight against price volatility were somewhat timid, or even nonexistent. For the FNSEA, these proposals may not adjust the CAP to the G20 objectives to meet the food challenge of the 21st century. According to the spokesperson of the Confédération Paysanne, the Commission’s plan does not offer any concerted and protective intervention by the European Union to cope with price volatility. And the Vice President of Coordination Rurale criticized the lack of measures dealing not with the consequences but the causes of such volatility, in particular the deregulation of European markets for these past few years. For the Chairman of momagri, building up a €3.9 billion reserve to deal with crises beyond markets is a valuable measure, but it will be worthless if not preceded by a regulatory policy that makes it possible simply to prevent crises.

The Parliament and the Council must now examine the Commission’s proposals. Let us hope that the need to address the problem of price volatility will be reiterated. It is indeed one of the key issues confronting farmers today and for the years to come.

It is in this spirit that momagri is working on a new CAP project, which will more directly and more effectively address the need to strengthen Europe’s food security while backing agricultural production.

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Paris, 18 June 2019