Future of Europe : a forward looking vision from EU Citizens for sustainable food systems.

After one year of activities, the Conference on the Future of Europe (CoFoE) reached its conclusions on the recommendations on the future steps the European Union will take in the world of tomorrow.

Farm Europe welcomes both the open and democratic process that led to the conclusions as well as the balanced and forward looking conclusions that emerged from the conference in relation to the agriculture and food systems. These recommandations will certainly be an important contribution to the future sustainable food systems strategy.

The concepts of sustainability, circularity, fairness, affordability, investments in research and innovation in the field of agriculture and nutrition policies are anchored in the recommandations and largely confirm the relevance of the current EU Treaties when it comes to agriculture and the need for a strong Common Agricultural Policy that delivers on their expectations. The Conference advocates for a balanced approach promoting effective environment and climate friendly agriculture in the EU, showing openness to a wide range of solutions as long as they put Europe in a position to « produce more food with less whilst reducing emissions and environmental impact but still guaranteeing productivity and food security », which is the most challenging equilibrium to find for policy makers. The Citizens also call to step up the effort to achieve climate goals incentivising agricultural systems like « organic farming and sustainable agriculture » and to introduce a certification of carbon removals, based on robust, solid and transparent carbon accounting».

Regarding the use of chemical fertilisers and pesticides, the complexity of the topic is well reflected in the recommandations of the Citizens. They are calling to « significantly reduce the use of chemical pesticides and fertilisers, in line with the existing targets while still ensuring food security ». Citizens also want to address more specific topics such as plastic use in agriculture.

When it comes to the livestock sector, they call for « reasoned breeding and meat production with a focus on animal welfare and sustainability, focusing in particular on clear labelling and high standard and common norms for animal farming and transport.

In addition, the Conference also see the EU agricultural sector as an energy provider. It  encourages the development of electric cars, but also underlines that « at the same time, it should invest in the development of other non-polluting technologies, such as biofuels and hydrogen for those vehicles whose electrification is difficult to achieve, such as boats and lorries ».

As far as health promotion, the reflection groups considers food -and diet- as a tool to improve health, approaching health from an holistic approach. Notably, the Conference rises the attention on the importance of education on the topic of food, diet, nutrition from an early age, as well as underlying the impacts of ultra-processed foods on health, proposing a tax on those products that have detrimental effects on health. The recommendations do not provide clear definition of ‘healthy diets’, and ‘healthy lifestyle’, leaving this to personal interpretation.

The CoFoE concluded that food production should be guided by the principles of sustainability, climate responsibility, affordability, safety, and social justice, while aiming at food security and to the safeguard of biodiversity and of ecosystems. Moreover, the Conference commits to ensure that all Europeans have access to education on healthy food and access to healthy and affordable food, as a building block of a healthy lifestyle.  The round of talks proposes, in concrete to:

  • Educate people about healthy habits from an early age
  • Develop at EU level a standard educational program on healthy lifestyles
  • Taxation on non healthy processed food
  • Promotion of healthy, varied, and affordable food procurement
  • Promote production methods that allow to produce more food with less
  • Apply circular economy principles and fight food waste
  • Reduce the use of chemical pesticides and fertilizers & invest in research
  • Introduce carbon removal certification
  • Improve the social side of farming, assuring high quality safety, health and working conditions
  • Enforce animal welfare standards
  • Improve transparency and communication to consumers
  • Protect insects and pollinators
  • Support reforestation, afforestation, enforce responsible forest management
  • Ban single use plastics
  • Protect water sources

Stakeholders from all across Europe and from all backgrounds — including Farm Europe — were consulted during the process. The Conference reached its conclusions in the fields of climate change and the environment, health, economy and social justice, the role of the EU in the world, education, democracy, migration, culture, digital transportations and the values, rights, rule of law and security. 

LIVESTOCK IN THE EU – PERIODIC NEWS

The crisis in Ukraine and its geopolitical consequences are leading to an increase in feed prices, production costs, energy and gas costs, which is putting a strain on European livestock farms. States continue to provide emergency aid to support farmers. Spain, which is particularly concerned by the consequences for monogastric farms, has set up several aids.

In the beef sector, a drop in meat production and a stagnation in milk production is expected. The pig sector is experiencing a delicate situation, with a drop in meat prices and the consequences of the international situation. In the poultry sector, the outbreak of highly pathogenic avian influenza has led to the slaughter of 15 million animals in France, which encouraged the Commission to address the issue of vaccination.

Tensions on the feed market – particularly maize – are a reminder of the structural deficit between supply and demand in the EU. A drop in world production is also expected next year.

Europeans are therefore putting in place measures to allow the production of this food. In the short term, with stocks accumulating in Ukraine, the Commission is trying to find other ways than the inaccessible Black Sea ports to import Ukrainian grain.

On the link with the ecological transition, the Industrial Emissions Directive and the recent rule to take account of livestock farming considered as industrial are criticised for the apparent disconnection with reality that it demonstrates.Finally, other concerns relate to animal welfare, to a new European Citizens’ Initiative criticising the aid allocated to livestock farming and to the development of non-meat alternatives on the market (vegetable alternatives and cultivated meat).

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Biofuels: going beyond preconceived and false ideas

Joe Biden just decided a few days ago to increase the blending of biofuels in the United States to step up the climate ambition and help the American families struggling with high pump prices. At European level, key negotiations are taking place now, and the pressure from NGOs lobbying for a radical 100% electro-mobility is very high to get a reduction of the crop cap, which is currently set at 7%. Nevertheless, many black and white arguments used in their narrative require to think twice, taking into account the reality of the agriculture sector. 

Some are using the food versus fuel narrative to ask for a phasing out of conventional biofuels. This argument on food security is just wrong when it comes to conventional biofuels produced in Europe. With a very small share of farm land dedicated to biofuels in Europe, the processing through bio-refineries not only contributes to the energy supply, but also to the food and feed production.

Which other sector is in a position to achieve both energy and food sovereignty? Today, 13 million tonnes of high value proteins are coming from this dual supply chain – 30% of the total EU production of top-quality proteins that help reducing imports from South America. This creates a stable and predictable market for EU farmers. It helps them investing on their farm – including in the ecological transition and carbon farming practices. 

Second, renewables made from EU agriculture already represent the equivalent of 8 nuclear plants (biogas), and fuel to 20 million of cars (biofuels). This is far from insignificant. This is a concrete and tangible solution to fight against climate change, reduce our dependency on Russian oil and gas. Even the IPCC underlined the need for biofuels in its recent wake up call report, referring to the Renewable Energy Directive in the EU as a good example of a sustainability framework helping to manage trade-offs and synergies between energy and food security. Via photosynthesis, agriculture is the biggest and most efficient solar industry, not using any imported rare earth!

Third, the biofuels are perhaps not a magic wand, but the European Union needs them to build an energy mix. They have a role to play, not only for climate reasons, but also for their cost-effectiveness. Biofuels today offer the most affordable solution for European families. Without changing their car, Europeans can reduce their emissions at a low cost – that’s probably why those willing to sell quickly a lot of electric cars fight so aggressively against them. Biofuels help reducing the fuel price at the pump by 10 cents. 

Fourth, the ambition to develop advanced biofuels is most welcome, and the agricultural energy sector has already shown its willingness to invest. It is clear that the synergies between conventional and advanced biofuels are very important, including for logistical reasons. The overall biomass should be taken into account. The availability of waste and residues largely depends on the availability of crops. Less crops means less waste and residues. Reducing the cap would reduce agricultural outlets, reduce agricultural production, thus undermine the capacity to develop advanced solutions. 

In the European Union, the coming weeks will provide the responses not only to those advocating on the climate ambition and on the capacity of its decision-makers to design a credible way forward, but also to investors willing to contribute to decarbonation. A new attempt to undermine biofuels in the EU would further undermine the flow of investments in the transition on the Continent, and certainly channel it elsewhere in the world. It would favour fossil fuels.

WINE NEWS: OIV REPORT & FRENCH WINE PRIORITIES

In April, the OIV has presented the latest state of play on the wine market with the recent trends in consumption, production and trade on both hemispheres. At the same time, France was hit once again by another spring frost this year cause headache to some of its winemakers. Furthermore, newly re-elected French President Emmanuel Macron laid down his vision for the French sector. In Italy, the Vinitaly exhibition was organised again after two years, and wine tourism was found to be an important driver once more. At the same time, India and Australia has signed an FTA giving some extra diversification to the Australian wines.

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NEW GENOMIC TECHNIQUES: NGO keep media attention high

The scientific community has welcomed the results of more than 20 years of research that led to the completion of the sequencing of human genome. The discovery corrects thousands of structural errors in the previous reference genetic material.

In the EU, NGOs (notably in Germany and Austria) are keeping the media attention high on the matter of ‘de-regulation’ of GMOs restrictions, with the German secretary of state for agriculture taking clear position to defend the status quo. Belgium, on the other hand, shows more complacent position towards NGT by allowing three new gene edited maize varieties for field trial, while in the UK field experiments have been allowed for barley varieties. 

Outside the EU, India allows for derogation of biosafety assessment of two gene edited crop varieties, and in the US a field experiment aiming at reducing the population of viruses-carriers mosquitoes through modified mosquitoes has shown positive results.  

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NUTRITION & Health POLICIES: EFSA’s opinion on nutrient-profiling for future FOP label

EFSA has published its final scientific opinion on nutrient profiling, an opinion that will influence the dossier of the front-of-package labelling initiative that the Commission is supposed to advance during the third semester of 2022. Furthermore, the same EU agency approved for human consumption a ‘novel food’ consisting in new protein-rich supplement. 

While a study on the prices of fruit and vegetables finds out that consumers buy 15% less of them because of its 40% increased price compared to their marginal cost, in Germany, the federal minister is considering lowering to zero the VAT on fruit and vegetable as a response to the increase in food prices and incentivize their consumption within the framework of an healthy diets. Meanwhile, the Commission has opened feedback on alcoholic beverages taxation.  

Outside the EU, Barbados has doubled its sugar-tax levy on soft drinks, and in the UK, the government has to deal with a legal case where it has been cited in court by Kellogg’s accused of illegally applying the rules on the restriction of HFSS foods. New research finds links between allulose/edulcorates and increased risk of cancer.   

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FARM TO FORK NEWS : Food security divides the Commission

While the conflict between Russia and Ukraine is going on in the East of Europe, agricultural markets are still suffering its consequences, notably in the price raise of fertilizers and the possible shortages on the cereal markets. The EU institutions are discussing alternative solutions to the short-term problems that the conflict is creating within the EU agri-food chain following on last month’s Commission declaration of ‘Food Security’. Commissioner Wojciechowski repeatedly stressed the importance of reducing fertilizers dependency, while EU and national agricultural organizations call on the Commission for further support of the chain and derogations from the environmental obligations. The Executive Vice-President of the European Commission contested that the war in Ukraine has any impact on food security in front of the ENVI committee of the European Parliament, asking the MEPs for continued support for the Farm to Fork. 

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Sweden: national Strategic Plan 2023-2027

Strategic priorities

Sweden’s strategic plan for the Common Agricultural Policy (CAP) reflects a high level of ambition for agricultural policy in the years 2023-2027, both in terms of increasing the productivity, profitability and competitiveness of the sector, and in terms of prioritizing animal welfare and increasing ambition in the environmental and climate fields. The aim is also to contribute to the development of Sweden’s rural areas so that it is possible to live and work there. In Sweden, the landscape is dominated by forests, which cover 69% of the area, while agriculture accounts for 8% of the area. In many regions, agriculture accounts for an even smaller share, 0.5-1%. In areas where forests predominate, the presence of agricultural land provides variation in the landscape that can provide a variety of habitats conducive to biodiversity. Here, it is essential that agriculture, and particularly ranching, continue and that the open landscape be preserved, despite the relatively low competitiveness of agriculture. 

High priority is given to improving the profitability of agriculture, increasing food production, and competitiveness. Profitability is weak in agriculture, where milk production is the main resource. Milk production is in decline. In addition to direct income support, production-related livestock payments, and compensation payments, measures to improve skills, collaborative projects, innovation, and investments to increase competitiveness are important. 

In addition, the Swedish strategic plan wants to stimulate the positive environmental effects of agriculture such as carbon sequestration, knowledge of sustainable production, biodiversity, and valuable pastures, particularly through eco-schemes for catch crops, spring processing, and precision agriculture. 

Finally, the strategic plan aims to help make rural areas more attractive through, among other things, strengthening entrepreneurial capacity, innovation, and stimulating generational change. A relatively weak innovation system, combined with the low attractiveness of agriculture and a high age structure, are some of the aggravating factors that discourage investment. To strengthen rural development, measures are being implemented within and outside the CAP, including the strengthening of national support for broadband and business services to the tune of about €338 million. 

For the period 2023-2027, Sweden has approximately €3.4 billion available for direct payments and €1 billion for EAFRD funds.

The green architecture 

The green architecture covers the interaction between the following elements of the strategic plan: relevant legislation, management conditions (GAEC), Pillar I one-year environmental and climate compensations (eco-schemes), Pillar II multi-annual environmental and climate compensations, environmental investments, cooperation, capacity building and EIP 

The following eco-schemes are proposed in the Swedish Strategic Plan:

-Eco-scheme for Intercropping for carbon sequestration, catch crops and spring tillage for reduced nitrogen losses.

The goal of the intervention is to reduce nutrient leaching from arable land and sequester carbon in the soil, as well as improve soil fertility. The measure consists of three different parts: intercropping to sequester carbon, intercropping to reduce nitrogen leaching, and spring tillage to reduce nitrogen leaching.

Planned unit amount: 

  • Medium crops 113 – 141 euro per hectare 
  • Catch crops 130 – 156 euro per hectare 
  • Spring tillage 61 – 71 euro per hectare 

-Eco-scheme for Precision farming– Crop Management planning 

A plant nutrient balance shows whether the use of nitrogen and phosphorus is efficient and whether there is a surplus or deficit of plant nutrients at farm level. A nutrient balance can reduce chemical dependency.  Fertilization planning, good manure management, and feeding lead to efficient use of resources. Integrated pest management is crucial as well. This planning includes liming, fertilisation, choice of varieties and these elements are included in precision farming planning. 

The planned unit amount for precision farming planning is 20-39 euro/hectare. 

-Eco-scheme for organic production

The aim is to facilitate and increase organic production and to promote the ecosystem services of the agricultural landscape by encouraging a variety of farming practices. The aim is also to contribute to meeting the Swedish environmental objectives and to meet consumer demand for food with specific characteristics. 

Upper and lower variation of unit amount 

Cereals 132 – 162 euro per hectare ; Potatoes  443 – 541 euro per hectare ; Fruit and berries 663 – 811 euro per hectare ; Livestock Arable land 159 – 195 euro per hectare.

Coupled payment

Sweden allocates 13% of the national envelope for direct payments (€446 million out of €3.4 billion) to the coupled livestock payment. Sweden has had a general trend of declining livestock production for a long time. In many parts of Sweden, the climate means that the economic return on crop production is generally weak, while grass production can be good. In these areas, forage processing by livestock is therefore the most important branch of production in order to keep agriculture active. Coupled support helps retain more farmers and thus helps maintain production across the country. The unit provided can vary between 83-102 euros per animal per year. The level of support is the same throughout Sweden.

Degressivity

To achieve the goal of redistributing income support from large to small and medium-sized farms, degressivity is used. Degressivity applies to farms that receive more than €60,000 in agricultural payments and amounts to 10% of the amount above this limit. In Sweden, income support was completely leveled off in the 2015-2020 period, meaning that the same support is paid per hectare across the country and to all types of farms. 

Young farmers

Ensuring that new farmers enter the industry is a prerequisite for the long-term sustainability of the agricultural sector.  The supplementary income aid for young farmers, which is paid for five years for the first 150 hectares, is an important measure to help young people buy or lease land. In addition to this aid, there will also be start-up aid paid when the farm is established. To further facilitate the financing of the investment, it is proposed that the rate of aid for young farmers will be 40% of the investment compared to 30% for other entrepreneurs. 

The amount of support for a young farmer is about 70% of the basic income support for sustainability and SEK 220,000 (€21,225) per year for five years for a young farmer with 200 hectares of arable land. This supplement can help in the first few years after setting up, when margins and efficiency may be lower than on an established farm.

IPCC: Managing agricultural trade-offs – key to successful climate transition.

At a time when the European Union’s new food strategy – the Farm to Fork Strategy – is divisive, the balance of the IPCC report encourages nuance and reflection on the governance of the transition of food systems, far from the caricatures and selective readings that can be made of this vast contribution from the international scientific community.

Scientists are once again sounding the alarm on climate disruption and the urgency to act against global warming. They believe that the next few years will be decisive for humanity in its fight to reduce greenhouse gas emissions and keep the situation under control.

The notions of “trade-offs” and synergies are one of the cornerstones of the report, particularly in the areas of agriculture and energy, two subjects that are vital to the transition and to the daily life of our societies. In order to act, we need credible solutions, capable of taking the whole of society along as quickly as possible.

Far from caricatures that fragment opinions and fuel campaigns by groups defending specific interests, reading the latest IPCC report calls for nuance in order to make the transition a success, rather than for decisions taken in a panic. The caricaturists looking for some kind of magic wand will be in for a surprise: even the biofuels so decried by some NGOs should, according to the IPCC report, be used in an intelligent and controlled way, where possible without jeopardizing food security. Sometimes there can be synergies.

In their analysis of the agricultural systems to be promoted, the group of international scientists emphasizes the importance of taking into account the agronomic and environmental context: a practice that is beneficial under certain conditions may have deleterious effects elsewhere. This is the case, for example, with conservation agriculture. This is particularly recommended in dry zones. In temperate zones, absolute no-tillage can have undesirable effects on soil vitality in the long term. Alternating periods and farming systems would be more judicious in this case.

Agro-ecological intensification is put forward as an interesting lever for mitigating the effects of climate change, even if a certain caution is expressed due to the lack of hindsight, at this stage, on these practices. In particular, scientists emphasize the need to avoid any loss of yield, which would have particularly negative impacts, calling into question food security.

In this regard, without dismissing it out of hand, doubts are expressed about organic farming – a form of agro-ecology – which goes against the received wisdom. This has the potential pitfall of lower yields that lead to feeding production needs elsewhere to compensate. Caution is required regarding large-scale conversion, which could lead to an increase in absolute emissions. The report emphasizes its value per unit of land, rather than per unit of production.

Overall, any path to success for agricultural systems, on the path of transition, requires the management of compromises and synergies, as well as changes in eating habits, which must be more balanced in our countries. These two transitions – that of the consumer and that of the citizen – are inseparable from each other, and must go hand in hand in space and time.

The evolution of eating habits in Western societies can free up space and surface resources for other uses of biomass, either for carbon sinks or for non-food purposes. Even forest replanting projects must be well managed to balance the benefits in terms of carbon storage, biodiversity and production.

Similarly, there is also an urgent need to be aware of the already real impacts of climate change on food insecurity in the world. Already a quarter of the planet is food insecure, a situation that has worsened since 2015. By 2050, climate change could have a considerable impact on yields, causing between 315,000 and 736,000 additional deaths, warns the IPCC. Working on scenarios of struggle and adaptation can therefore not wait.

The absence of a fixed prescription that would be the key to the absolute success of the transition, the report encourages not only humility, but also reflection on the governance of change in the agricultural sector. More than any other sector, the agricultural and food sector is complex because of its human environment and its environmental diversity. It deserves not one, but many locally adapted strategies, which can only be implemented with the support and knowledge of the primary stakeholders – the farmers – and one ambition: to give them all the tools they need to do their job – produce – in the most optimal way possible. Whatever the case, a common path must be found to act and achieve results as soon as possible.

LIVESTOCK IN THE EU – PERIODIC NEWS

The crisis in Ukraine is having a major impact on the livestock sector, particularly through the rise in input prices and the shortage of certain feeds. The first consequences are higher production costs on all markets and higher inflation. Thus, not only farmers, but also processors in the sector and consumers are affected by this crisis.

To address these economic consequences, the European Commission presented an action emergency plan with short- and medium-term actions on March, 23rd.

In the livestock sector, several measures are being considered taking into account climate issues. In particular, Germany has made progress on the mandatory labelling of livestock products, which it intends to introduce this year.

The consequences of the Commission’s proposal to extend the IED (Industrial Emissions Directive) to the European level, in particular for a large number of livestock farms, are being debated and have yet to be measured.

Nutritional recommendations remain a concern for the livestock sector. The results of a study on the consumption of red meat are highly debated and an Italian association is contesting the Nutri-score system, which, judged to be ‘too simple’, risks devaluing certain products, including PDO cheeses. 

Finally, following the approval of the report on animal welfare by the European Parliament, the results of a Commission consultation are feeding into possible future developments in the harmonisation of animal welfare rules in the EU.

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