Pekka Pesonen Copa Cogeca

Pekka Pesonen, Copa-Cogeca

European agricultural producers' federation Copa-Cogeca has expressed disappointment at the failure by EU leaders to reach agreement on the union's budget for 2014-2020, warning that a speedy and positive decision was vital so that a revised Common Agricultural Policy (CAP) could be implemented from 2014.

Speaking in Brussels, Copa-Cogeca secretary general Pekka Pesonen underlined the group's disappointment at the lack of agreement on the 2014-2020 budget and, in particular, future CAP spending within that budget.

"EU Agriculture Ministers and the European Parliament will not be able to decide on which measures to introduce until they know what money and budget they will have available to them to fund the future CAP," Pesonen said.

"We urge heads of state and government to make a rapid and positive decision on the European budget for the period 2014-2020. Farmers are currently delaying production and investment decisions because of uncertainty about the future CAP and if this continues it will have disastrous impact on employment in related sectors as well as market stability."

He continued: "European farm leaders also call on EU heads of state and governments to ensure that EU agricultural spending, which is less than 1 per cent of EU public expenditure, is kept at current levels until 2020.

"The agriculture sector is the only common policy to be financed almost entirely out of the EU budget – most other expenditure is covered by national budgets – and is far less than its share of EU output.

"Without the CAP, there would be 27 separate agriculture policies in the 27 member states which would cost governments far more than the CAP does."