Ming's Vision of the CAP (Rutland & Melton Liberal Democrats)

Rutland & Melton Liberal Democrats <info@rutlandlibdems.org.uk>

Ming's Vision of the CAP

December 21, 2006 5:47 PM

On 12th December Sir Menzies Campbell addressed an assortment of VIPs at KPMG's offices in the city. The event was organised by the Centre for European Reform and was entitled "A Vision of Europe" One of the areas reflected upon by Ming was the Common Agricultural Policy.

He says -

"The Common Agricultural Policy remains the single largest expense within the EU budget. There have been welcome reforms in recent years. There has been a new priority of breaking the link between funding and production. And there has been progress towards the removal of subsidies on exports, and the reduction of tariffs on some imports. But there should be further changes.

The 2008-09 review of the EU budget provides a good opportunity to push for additional reform of the CAP - in line with the EU's stated aim of supporting free markets. Let me make three suggestions.

First, with regard to the break between funding and production, that the policy should be extended to cover those states that were granted an exemption from it.

Second, there should be a limit of three hundred thousand euros per individual or company benefiting from the CAP. The money that would therefore be saved in each member state should then be returned to that state.

And third, that there should be a movement away from the direct payment of farmers towards funding activity that achieves environmental goals and sustainability for rural communities.

These changes offer a route to cutting subsidy levels, whilst also encouraging sustainability of production, which is clearly important in member states. The CAP has traditionally been regarded as an example of European protectionism. It is right that we are moving away from that model. But with the Democrats back in control of the United States Congress international protectionism may have strong proponents. But protectionism is bad for Britain, and bad for Europe. And where we find it, it is the duty of liberals to oppose it. It is by decentralising power, and focusing on genuinely cross-border issues, that Europe can focus on being more effective in such areas. Globalisation presents British citizens with wonderful opportunities. But it means that things once best dealt with by sovereign states are now more effectively dealt with by international organisations. This is Europe as the solution."