European agriculture ministers have reached a negotiating position on the future Common Agricultural Policy, advancing plans to restructure farm support after 2027. The agreement leaves unresolved the central dispute over funding and the balance of power between Brussels and national governments.

European Union agriculture ministers have agreed a negotiating position on the future Common Agricultural Policy (CAP), advancing a restructuring of the bloc’s agricultural support system while postponing decisions about the financial arrangements that will determine how the reforms operate.

The agreement reached on 26 October establishes the Council’s position on the framework governing agricultural payments and support measures from 2028 onwards.

However, ministers have deliberately excluded funding allocations and several related financial provisions, which remain subject to negotiations over the EU’s next seven-year budget.

The distinction is important.

Governments have agreed how they want the future system to operate, but not how much money will ultimately be available to finance it.

A fundamental restructuring of farm support

The proposed reform would integrate agricultural funding into a broader system of national and regional partnership plans covering several major areas of European spending.

Under the existing CAP, agricultural support is organised around two principal funds: one primarily financing direct payments and market measures, and another supporting rural development.

The Commission wants to replace this arrangement with a more integrated structure, while retaining agricultural policy instruments within the new framework.

Each member state would prepare a comprehensive national and regional plan incorporating agriculture, cohesion, fisheries and several other funding programmes.

Brussels argues that the new system could simplify administration, reduce overlapping procedures and give governments more flexibility to address domestic requirements.

However, greater national discretion also raises questions about whether the policy will remain sufficiently uniform across the European single market.

Agricultural conditions differ considerably between member states, from large cereal producers in Eastern Europe to smaller farms operating in mountainous or Mediterranean regions.

Allowing governments to tailor support to domestic conditions may improve flexibility, but it also creates the possibility of greater variation in how European funds are distributed.

Who should receive agricultural payments?

One of the principal changes concerns the distribution of income support.

The Council supports a proposed system known as Degressive Area-Based Income Support, or DABIS, intended to direct assistance more effectively towards farmers actively engaged in agricultural production.

Member states would be required to establish a definition of an active farmer, although governments would retain discretion over the precise national criteria.

The distinction matters because agricultural subsidies have historically generated disputes over payments based primarily on land ownership or agricultural area rather than the scale of productive activity.

The Council has also proposed an optional redistributive mechanism intended to help governments adjust the distribution of payments.

More contentious decisions, including possible payment ceilings and reductions for larger recipients, have been postponed until the broader budget negotiations.

The problem of Europe’s ageing farmers

The reform also addresses generational renewal.

Governments would be required to provide additional income support for young farmers and assistance to help them establish agricultural businesses.

Each member state would have to develop a generational renewal strategy and provide a package of support measures covering areas such as training, advice and access to agricultural activity.

These provisions reflect the difficulties facing younger people seeking to enter farming.

High land prices, expensive equipment and restricted access to finance can create substantial barriers, particularly where established farms are passed between generations.

The Council also supports expanded risk-management arrangements, including insurance and assistance following severe weather, animal diseases and other agricultural emergencies.

Environmental requirements would remain part of the framework, combining common conditions with incentives for practices intended to protect biodiversity and natural resources.

The €300 billion question

The most consequential disagreement concerns financing.

The European Commission has proposed protecting approximately €300 billion for agricultural income support and crisis measures under the 2028–2034 budget.

Additional agricultural and rural-development funding could be available through the broader national and regional plans.

The final ringfenced amount, however, has not been agreed.

As EU Today reported earlier this month, 17 member states have called for agricultural and cohesion spending to be protected during negotiations over the Commission’s proposed €2 trillion long-term financial framework.

The disagreement reflects competing budgetary priorities.

Agriculture remains one of the EU’s largest expenditure areas, but governments are simultaneously facing demands for greater defence spending, industrial investment, infrastructure and migration-related programmes.

Protecting agricultural funding would therefore limit the financial resources available for other priorities unless governments agree to increase the overall budget.

The latest agreement also follows the Council’s 19 October negotiating position on agricultural market rules, which addressed sectoral support and market organisation but similarly avoided resolving the wider funding dispute.

Negotiations enter a decisive stage

Irish Agriculture Minister Martin Heydon, whose government holds the rotating Council presidency, described the latest agreement as a milestone intended to provide farmers with greater stability and flexibility.

The Council’s position now provides a basis for negotiations with the European Parliament.

However, the final shape of agricultural policy will depend heavily on the separate negotiations over the 2028–2034 financial framework.

Until governments agree how much money will be available, questions about payment limits, distribution between countries and the balance between agricultural and other EU priorities will remain open.

The October agreement establishes the proposed framework for European farming after 2027. The budget negotiations will determine the scale of support that framework can actually provide.

European Union fisheries ministers are meeting in Luxembourg on 26th October to negotiate catch limits for the Baltic Sea in 2027, confronting a sharply divided scientific picture in which some commercially important fish populations are recovering while others remain at critically low levels.

The European Commission has proposed increasing total fishing opportunities by approximately 35 per cent compared with 2026, largely because of improved assessments for several herring stocks and sprat. At the same time, it wants substantial reductions in permitted accidental catches of cod, whose depleted populations have shown little evidence of sustained recovery.

The negotiations, scheduled for 26th and potentially 27th October, will determine how fishing opportunities are allocated between EU member states bordering the Baltic Sea.

According to the Council’s published agenda, ministers are seeking a political agreement on total allowable catches and national quotas for ten commercially significant fish stocks.

The outcome will determine how much fish can be landed legally during 2027, while also influencing the future prospects of coastal communities, processing companies and fishing fleets.

Some stocks recover while cod remains depleted

The Commission’s proposal for 2027 fishing opportunities reflects significant differences in the condition of individual stocks.

Brussels recommends increasing the catch limit for central Baltic herring by 49 per cent and for sprat by 44 per cent. Proposed increases for Bothnian herring and Gulf of Riga herring are more modest, at three and 11 per cent respectively.

The improved outlook for sprat follows stronger reproduction in recent years, while scientific assessments suggest some herring populations are beginning to recover.

However, these improvements do not mean the Baltic ecosystem as a whole has returned to a healthy condition.

Central Baltic and Bothnian herring remain below important sustainability reference levels, even though the latest scientific assessments permit increased catches under specified conditions.

For cod, the position is considerably worse.

The International Council for the Exploration of the Sea, known as ICES, has advised that there should be no catches of eastern Baltic cod in 2027 or 2028 under its precautionary approach.

Its scientific advice for eastern Baltic cod reflects the continuing failure of the stock to recover sufficiently to support fishing.

Western Baltic cod faces similarly severe restrictions.

The Commission consequently proposes reducing the permitted incidental catch of western Baltic cod by 88 per cent and eastern Baltic cod by 51 per cent.

These allowances are designed to account for fish caught unintentionally during other fishing operations. They do not amount to the reopening of a targeted commercial cod fishery.

Fishing communities face uneven consequences

The proposed increases in herring and sprat quotas would benefit some fishing operators and processing industries, but the economic effects will vary significantly between countries and fleets.

Larger vessels specialising in pelagic species such as herring and sprat are likely to benefit more directly from increased catch opportunities.

Smaller operators whose activities depend on depleted stocks or mixed fisheries may face continued restrictions.

The Commission also proposes reducing the permitted incidental catch of western Baltic herring by 45 per cent and removing an exemption previously available to certain small-scale coastal fisheries.

That proposal creates a particularly difficult issue for smaller fishing businesses, whose operations may have limited capacity to switch fishing grounds or target different species.

The economic effects will depend not only on the size of the quotas but also on how national governments distribute them among individual operators.

The limits of quota management

The Baltic Sea’s problems cannot be explained by fishing pressure alone.

Nutrient pollution, changes in oxygen availability, habitat degradation and shifting environmental conditions have contributed to the deterioration of several stocks.

Restrictions on fishing can reduce direct pressure on fish populations, but they cannot independently resolve pollution or other environmental problems affecting reproduction and survival.

This complicates the relationship between scientific advice and political decisions.

Ministers are required to take account of conservation objectives under the Common Fisheries Policy. They must also consider the economic consequences for fishing communities and the viability of fleets operating within the agreed limits.

EU Today previously examined the political compromises surrounding European fishing quotas, including the tension between short-term commercial demands and the recovery of depleted fish populations.

The Baltic negotiations present a particularly concentrated version of that conflict because the condition of individual stocks varies so substantially.

Ministers must decide how much recovery is sufficient

The Commission’s proposed increases are based on the latest assessments rather than a general relaxation of conservation policy.

Indeed, its draft regulation envisages maintaining restrictions on vulnerable stocks while allowing greater exploitation where the scientific evidence supports it.

The proposed overall catch volume is approximately 543,000 tonnes, compared with substantially lower fishing opportunities in 2026.

That figure represents a proposed ceiling, not a confirmed agreement or a forecast of actual landings.

Once ministers reach a political agreement, the Council is expected to adopt the final regulation formally in November, with the principal catch limits applying from 1 January 2027.

The central question is whether governments will preserve the distinction between stocks showing measurable recovery and those for which scientific advisers continue to recommend no fishing.

Their decision will determine both the short-term economics of Baltic fisheries and the pace at which the region’s most vulnerable commercial fish populations may recover.

Main Image: By Wilhelm Thomas Fiege – Own work, CC BY-SA 4.0, https://commons.wikimedia.org/w/index.php?curid=122363104

European Union governments have agreed a negotiating position on new agricultural market rules intended to take effect under the bloc’s 2028–2034 budget, advancing reforms to support arrangements for farmers while leaving the most contentious financial questions unresolved.

The Council approved its partial negotiating mandate on Monday, 19 October, covering changes to the Common Market Organisation regulation, which governs agricultural markets across the European Union.

The proposals include new arrangements for wine producers, protein crops and oilseeds, revised marketing standards, changes to the EU school food programme and provisions intended to improve preparedness for agricultural market disruptions.

However, the agreement does not settle future funding allocations or the broader structure of agricultural subsidies, which remain under negotiation as EU governments attempt to reconcile farming expenditure with competing demands for defence, industrial investment and regional development.

Agricultural markets under review

The Council’s negotiating position retains much of the European Commission’s original proposal while introducing amendments intended to accommodate national differences in agricultural production.

Under the proposed arrangements, sector-specific interventions would become mandatory in several areas, including beekeeping, fruit and vegetables and, under certain circumstances, wine production.

The Council has also proposed flexibility for countries where particular sectors are absent or relatively undeveloped.

For the wine industry, governments would be able to seek exemptions from certain obligations where national circumstances justify different arrangements.

This would allow the framework to retain common European rules while avoiding requirements that would be inappropriate for member states with little or no domestic wine production.

Sectoral interventions form part of the mechanisms through which the EU supports agricultural markets and producer organisations. They can cover measures intended to improve competitiveness, manage production and strengthen farmers’ commercial position.

New provisions for protein crops

The Council has endorsed the establishment of a separate sector for protein crops and oilseeds, replacing existing provisions covering dried fodder.

The objective is to encourage domestic production and reduce dependence on imported agricultural inputs, particularly crops used in animal feed and food production.

European livestock producers rely on protein-rich feed ingredients, including soyabeans, that are often sourced internationally.

Greater domestic production could reduce exposure to fluctuations in global commodity prices, transport costs and disruptions to international supply chains.

Under the Council’s proposal, member states would be encouraged to recognise producer organisations specialising in protein crops and oilseeds.

Such organisations can help farmers coordinate production, marketing and investment, although the effectiveness of the proposed measures will depend on how they are implemented nationally.

The proposals follow broader EU efforts to improve supply security in sectors extending from agricultural inputs to critical industrial materials.

School food and product labelling

The negotiating mandate also preserves the EU school scheme, which provides support for the distribution of fruit, vegetables and milk to schoolchildren.

Under the proposed framework, the programme would move from a school-year financing cycle to a calendar-year system, with transitional provisions intended to prevent disruption during implementation.

The Council has maintained the Commission’s objective of encouraging healthier eating habits by limiting products containing high levels of free sugars and fats.

The proposal also opens the possibility of additional marketing standards for several agricultural products, including protein crops, beef, pork, sheepmeat, goatmeat and rice.

These standards could provide consumers with more detailed information about product origins, subject to the final legislation.

Such measures would also have implications for producers and food businesses, which would need to comply with any new requirements concerning classification, marketing and labelling.

The Council additionally supports the harmonisation of rules covering industrial hemp, while retaining safeguards concerning seed certification and the permitted level of tetrahydrocannabinol.

Farming subsidies remain contested

The agricultural market agreement forms part of negotiations over the next Common Agricultural Policy, which will operate within the EU’s new seven-year financial framework.

Under the Commission’s proposed budget structure, several funding streams, including agricultural and cohesion programmes, would be brought together within national and regional partnership plans.

The restructuring has encountered opposition from governments and agricultural interests concerned that farming could lose protected access to EU funding.

As EU Today previously reported, 17 member states have called for agricultural and regional development expenditure to be protected against further reductions.

The Council’s latest position addresses how agricultural markets should operate rather than determining the size of the financial support available to them.

A separate debate concerns the conditions for receiving direct farm payments, including the definition of an active farmer and the degree of discretion granted to national governments.

Those questions remain central to the continuing CAP negotiations, which are due to return to the Agriculture and Fisheries Council on 26–27 October.

Negotiations move to Parliament

The Council’s partial mandate now provides a basis for negotiations with the European Parliament on the agricultural market provisions.

The legislation will still require agreement between the institutions, while its financing will depend on the eventual settlement of the 2028–2034 budget.

Governments must also complete negotiations on the wider CAP framework, including direct income support and the distribution of responsibility between Brussels and national administrations.

The market agreement reached on 19 October therefore establishes important elements of the proposed agricultural rules, but leaves unresolved the level of financial support available to European farmers after 2027.