REPORT on the proposal for a regulation of the European Parliament and of the Council establishing rules on support for strategic plans to be drawn up by Member States under the Common agricultural policy (CAP Strategic Plans) and financed by the European Agricultural Guarantee Fund (EAGF) and by the European Agricultural Fund for Rural Development (EAFRD) and repealing Regulation (EU) No 1305/2013 of the European Parliament and of the Council and Regulation (EU) No 1307/2013 of the European Parliament and of the Council

Text proposed by the Commission

Amendment

(1a)  The CAP continues to play a key role in the development of the Union’s rural areas. It is therefore necessary to attempt to slow down the gradual abandonment of agricultural activity by keeping a CAP that is strong, with adequate resources, to mitigate the depopulation of rural areas and to continue meeting consumer expectations in terms of the environment, food safety and animal welfare. In view of the challenges faced by Union producers in responding to new regulatory requirements and a higher level of environmental ambition, against a background of price volatility and Union borders that are more open to imports from third countries, the CAP budget should be kept at least at the same level as during the 2014-2020 period.

Text proposed by the Commission

Amendment

(1b)  In order to address the global dimension and implications of the CAP, the Commission should ensure coherence and continuity with the other Union external policies and instruments, in particular in development cooperation and trade. The Union’s commitment to policy coherence for development requires the taking into account of development objectives and principles when designing policies.

Text proposed by the Commission

Amendment

(2)  Since the CAP needs to sharpen its responses to the challenges and opportunities as they manifest themselves at Union, international, national, regional, local and farm levels, it is necessary to streamline the governance of the CAP and improve its delivery on the Union objectives and to significantly decrease the administrative burden. In the CAP based on delivery of performance (‘delivery model’), the Union should set the basic policy parameters, such as objectives of the CAP and basic requirements, while Member States should bear greater responsibility as to how they meet the objectives and achieve targets. Enhanced subsidiarity makes it possible to better take into account local conditions and needs, tailoring the support to maximise the contribution to Union objectives.

(2)  Since the CAP needs to sharpen its responses to the challenges and opportunities as they manifest themselves at Union, international, national, regional, local and farm levels, it is necessary to streamline the governance of the CAP and improve its delivery on the Union objectives and to significantly decrease the administrative burden, in particular to the final beneficiaries. In the CAP based on delivery of performance (‘delivery model’), the Union should set the basic policy parameters, such as objectives of the CAP and basic requirements, while Member States should bear greater responsibility as to how they meet the objectives and achieve targets, whilst ensuring policy certainly and financial security for the sector. Enhanced subsidiarity makes it possible to better take into account local conditions and needs, tailoring the support to maximise the contribution to Union objectives. Nevertheless, in order to ensure that such subsidiarity does not represent into a “renationalisation” of the CAP, this Regulation should include a strong body of European Union provisions designed to prevent the distortion of competition and to ensure non-discriminatory treatment for all Union farmers throughout the territory of the Union.

Text proposed by the Commission

Amendment

(3)  The use of common definitions entirely set at Union level has caused certain difficulties for Member States to cater their own specificities at national, regional, and local level. Member States should therefore be given the flexibility to specify certain definitions in their CAP Strategic Plan. In order to ensure a common level playing field, a certain framework has, however, to be set at Union level constituting the necessary essential elements to be included in those definitions (‘framework definitions’).

(3)  Member States should be given the flexibility to specify certain definitions in their CAP Strategic Plan. In order to ensure a common level playing field, a certain framework has, however, to be set at Union level constituting the necessary common elements to be included in those definitions (‘framework definitions’).

Text proposed by the Commission

Amendment

(4)  In order to ensure that the Union can respect its international obligations on domestic support as set out in the WTO Agreement on Agriculture, and in particular that the basic income support for sustainability and related types of interventions continue to be notified as ‘Green Box’ support which has no, or at most minimal, trade-distorting effects or effects on production, the framework definition for ‘agricultural activity’ should provide for both the production of agricultural products or the maintenance of the agricultural area. In light of adjusting to local conditions, Member States should lay down the actual definition of agricultural activity in their CAP Strategic Plans.

(4)  In order to ensure that the Union can respect its international obligations on domestic support as set out in the WTO Agreement on Agriculture, and in particular that the basic income support for sustainability and related types of interventions continue to be notified as ‘Green Box’ support which has no, or at most minimal, trade-distorting effects or effects on production, the framework definition for ‘agricultural activity’ should provide for both the production of agricultural products or the maintenance of the agricultural area. In light of adjusting to local conditions, Member States should lay down the definition of agricultural activity in their CAP Strategic Plans, complying with the common elements of the Union framework definition.

Text proposed by the Commission

Amendment

(5)  In order to retain the essential Union-wide elements to ensure comparability between Member State decisions, without however limiting Member States in reaching Union objectives, a framework definition for ‘agricultural area’ should be set out. The related framework definitions for ‘arable land’, ‘permanent crops’ and ‘permanent grassland’ should be set out in a broad way to allow Member States to further specify definitions according to their local conditions. The framework definition for ‘arable land’ should be laid down in a way that allows Member States to cover different production forms, including system such as agroforestry and arable areas with shrubs and trees and that requires the inclusion of fallow land areas in order to ensure the decoupled nature of the interventions. The framework definition of ‘permanent crops’ should include both areas actually used for production and not, as well as nurseries and short rotation coppice to be defined by Member States. The framework definition of ‘permanent grassland’ should be set in a way that allows Member States to specify further criteria and allows them to include species other than grasses or other herbaceous forage that can be grazed or that may produce animal feed, whether used for actual production or not.

(5)  In order to retain common essential Union-wide elements to ensure comparability between Member State decisions and equal treatment between Union farmers, without however limiting Member States in reaching Union objectives, a framework definition for ‘agricultural area’ should be set out. The related framework definitions for ‘arable land’, ‘permanent crops’ and ‘permanent grassland’ should be set out in a broad way to allow Member States to further specify definitions according to their local conditions and traditional practices. The framework definition for ‘arable land’ should be laid down in a way that allows Member States to cover different production forms, including system such as agroforestry and arable areas with shrubs and trees and that requires the inclusion of fallow land areas in order to ensure the decoupled nature of the interventions. The framework definition of ‘permanent crops’ should include both areas actually used for production and not, as well as nurseries and short rotation coppice to be defined by Member States. The framework definition of ‘permanent grassland’ should be set in a way that allows Member States to specify further criteria and allows them to include species other than grasses or other herbaceous forage that can be grazed, whether exclusively or not, or that may produce animal feed, whether used for actual production or not.

Text proposed by the Commission

Amendment

(5a)   The focus in the future of farming should be on producing high-quality food, as that is where the Union’s competitive advantage lies. Union standards should be maintained and strengthened where feasible, and measures should be provided for to further increase the long-term productivity and competitiveness of the food production sector, and to introduce new technologies and a more efficient use of resources, thereby strengthening the Union’s role as a world leader.

Text proposed by the Commission

Amendment

(8)  As regards the areas used for the production of hemp, in order to preserve public health and to ensure the coherence with other bodies of legislation, the use of hemp seeds varieties with tetrahydrocannabinol content below 0.2% should be part of the definition of eligible hectare.

(8)  As regards the areas used for the production of hemp, in order to preserve public health and to ensure the coherence with other bodies of legislation, the use of hemp seeds varieties with tetrahydrocannabinol content below 0,3 % should be part of the definition of eligible hectare.

Text proposed by the Commission

Amendment

(9)  In view of further improving the performance of the CAP, income support should be targeted to genuine farmers. In order to ensure a common approach at Union level for such a targeting of support, a framework definition for ‘genuine farmer’ displaying the essential elements should be set out. On the basis of this framework, Member States should define in their CAP Strategic Plans which farmers are not considered genuine farmers based on conditions such as income tests, labour inputs on the farm, company object and inclusion in registers. It should also not result in precluding support to pluri-active farmers, who are actively farming but who are also engaged in non-agricultural activities outside their farm, as their multiple activities often strengthen the socio-economic fabric of rural areas.

(9)  In view of further improving the performance of the CAP, income support should be targeted to active farmers. In order to ensure a common approach at Union level for such a targeting of support, a framework definition for ‘active farmer’ displaying the common elements should be set out. Support to pluri-active farmers, who are actively farming but who are also engaged in non-agricultural activities outside their farm, should not be precluded, as their multiple activities often strengthen the socio-economic fabric of rural areas. The framework definition should, in any event, help to preserve the model of family farming that exists in the Union.

Text proposed by the Commission

Amendment

(9a)  Equality between women and men is a core principle of the Union and gender mainstreaming is an important tool in the integration of that principle into to the CAP. There should therefore be a particular focus on promoting the participation of women in the socio-economic development of rural areas. The size of female-operated farms tends to be smaller and the work performed by women, as farmers’ spouse, is not always recognised and visible, which has an impact on their economic independence. This Regulation should help to ensure that the work that women do is more visible, better appreciated and taken into account within the specific objectives to be proposed by the Member States in their strategic plans. Gender equality as well as non-discrimination principles should be an integral part of the preparation, implementation and evaluation of CAP interventions. Member States shall also strengthen their capacity in gender mainstreaming and in the collection of sex-disaggregated data.

Text proposed by the Commission

Amendment

(10)  In order to ensure consistency between the direct payments types of interventions and rural development types of interventions when addressing the objective of generational renewal, a framework definition for ‘young farmer’ with the essential elements should be set out at Union level.

(10)  In order to ensure consistency between the direct payments types of interventions and rural development types of interventions when addressing the objective of generational renewal, a framework definition for ‘young farmer’ with common elements should be set out at Union level.

Text proposed by the Commission

Amendment

(10a)  In order to ensure consistency between the direct payments types of interventions and rural development types of interventions when addressing the objective of facilitating business development in rural areas, a framework definition for ‘new farmer’ with common elements should be set out at Union level.

Text proposed by the Commission

Amendment

(11)  In order to give substance to the objectives of the CAP as established by Article 39 of the Treaty on the Functioning of the European Union (TFEU), as well as to ensure that the Union adequately addresses its most recent challenges, it is appropriate to provide for a set of general objectives reflecting the orientations given in the Communication on ‘The Future of Food and Farming’. A set of specific objectives should be further defined at Union level and applied by the Member States in their CAP Strategic Plans. While striking a balance across the dimensions of sustainable development, in line with the impact assessment, these specific objectives should translate the general objectives of the CAP into more concrete priorities and take into account relevant Union legislation, particularly with regard to climate, energy and environment.

(11)  In order to pursue the objectives of the CAP as established by Article 39 of the Treaty on the Functioning of the European Union (TFEU), as well as to ensure that the Union adequately addresses its most recent challenges, it is appropriate to provide for a set of general objectives reflecting the orientations given in the Communication on ‘The Future of Food and Farming’. A set of specific objectives should be further defined at Union level and pursued by the Member States in their CAP Strategic Plans. While striking a balance across the dimensions of sustainable development, in line with the impact assessment, these specific objectives should translate the general objectives of the CAP into more concrete priorities in the economic, environmental and social spheres.

Text proposed by the Commission

Amendment

(13)  While under the CAP delivery model the Union should set the Union objectives and define the types of interventions as well as the basic Union requirements applicable to Member States, the latter should be in charge of translating that Union framework into support arrangements applicable to beneficiaries. In that context, Member States should act in line with the Charter of Fundamental Rights, general principles of Union law and ensure that the legal framework for the granting of Union support to beneficiaries be based on their CAP Strategic plans and be in line with the principles and requirements set out under this Regulation and the [Horizontal Regulation].

(13)  While under the CAP delivery model the Union should set the Union objectives and define the types of interventions as well as the common Union requirements applicable to Member States, the latter should be in charge of translating that Union framework into support arrangements applicable to beneficiaries. In that context, Member States should act in line with the Charter of Fundamental Rights, general principles of Union law and ensure that the legal framework for the granting of Union support to beneficiaries be based on their CAP Strategic plans and be in line with the principles and requirements set out under this Regulation and the [Horizontal Regulation].

Text proposed by the Commission

Amendment

(13a)  The cross-cutting principles set out in Article 3 of the Treaty on European Union (TEU) and in Article 10 TFEU, including the principles of subsidiarity and proportionality as set out in Article 5 TEU, should be observed when implementing the CAP Strategic Plans. Member States and the Commission should also comply with the obligations of the UN Convention on the Rights of Persons with Disabilities and ensure accessibility in line with Article 9 thereof and in accordance with the Union law harmonising accessibility requirements for products and services. Member States and the Commission should seek to eliminate inequalities and promote equality between men and women and gender mainstreaming, as well as to combat discrimination based on sex, racial or ethnic origin, religion or belief, disability, age, or sexual orientation. The European Agricultural Guarantee Fund (EAGF) and the European Agricultural Fund for Rural Development (EAFRD) should not support actions that contribute to any form of segregation, discrimination, or exclusion. The objectives of these funds should be pursued from the perspective of sustainable development and in line with the aim, promoted under the Aarhus Convention and by the Union, of preserving, protecting, and improving the quality of the environment and combating climate change, as set out in Article 11 and Article 191(1) TFEU, while applying the ‘polluter pays’ principle.

Text proposed by the Commission

Amendment

(13b)  The delivery model should not lead to a situation in which there are 27 different national agricultural policies, thus endangering the common spirit of the CAP and creating distortions. It should leave to Member States a certain degree of flexibility within a strong common regulatory framework.

Text proposed by the Commission

Amendment

(15)  In the context of greater market-orientation of the CAP, as outlined by the Communication on ‘The Future of Food and Farming’, market exposure, climate change and associated frequency and severity of extreme weather events, as well as sanitary and phytosanitary crises, may lead to risks of price volatility and increasing pressures on incomes. Thus, although farmers are ultimately responsible for designing their on-farm strategies, a robust framework should be set up to ensure appropriate risk management. To this aim, Member States and farmers may be able to draw on a Union-level platform on risk management for capacity-building in order to provide farmers with adequate financial instruments for investments and access to working capital, training, knowledge transfer and advice.

(15)  In the context of greater market-orientation of the CAP, as outlined by the Communication on ‘The Future of Food and Farming’, market exposure, trade agreements with third countries, climate change and associated frequency and severity of extreme weather events, as well as sanitary and phytosanitary crises, may lead to risks of price volatility and increasing pressures on incomes. Inequalities in the food chain, mainly at the expense of the primary sector, which is the “weakest link”, also have an adverse effect on producers’ incomes. Thus, although farmers are ultimately responsible for designing their on-farm strategies, a robust framework should be set up to ensure appropriate risk management. To this aim, Member States and farmers may be able to draw on a Union-level platform on risk management for capacity-building in order to provide farmers with adequate financial instruments for investments and access to working capital, training, knowledge transfer and advice.

Text proposed by the Commission

Amendment

(16)  Bolstering environmental care and climate action and contributing to the achievement of Union environmental- and climate-related objectives is a very high priority in the future of Union agriculture and forestry. The architecture of the CAP should therefore reflect greater ambition with respect to these objectives. By virtue of the delivery model, action taken to tackle environmental degradation and climate change should be result-driven and Article 11 TFEU should, for this purpose, be considered as an obligation of result.

(16)  Supporting and improving environmental protection, biodiversity and genetic diversity in the agricultural system, as well as climate action and contributing to the achievement of Union environmental- and climate-related objectives is a very high priority in the future of Union agriculture, horticulture and forestry. The architecture of the CAP should therefore reflect greater ambition with respect to these objectives, while at the same time reflecting adequately the greater burden and requirements before the producers. By virtue of the delivery model, action taken to tackle environmental degradation and climate change should be result-driven and Article 11 TFEU should, for this purpose, be considered as an obligation of result.

As many rural areas in the Union suffer from structural problems such as lack of attractive employment opportunities, skill shortages, underinvestment in connectivity, infrastructures and essential services, as well as youth drain, it is fundamental to strengthen the socio-economic fabric in those areas, in line with the Cork 2.0. Declaration, particularly through job creation and generational renewal, by bringing the Commission's jobs and growth to rural areas, promoting social inclusion, generational renewal and the development of ‘Smart Villages’ across the European countryside. As indicated in the Communication on ‘The Future of Food and Farming’, new rural value chains such as renewable energy, the emerging bio-economy, the circular economy, and ecotourism can offer good growth and job potential for rural areas. In this context, financial instruments and the use of the InvestEU guarantee can play a crucial role for ensuring access to financing and for bolstering the growth capacity of farms and enterprises. There is a potential for employment opportunities in rural areas for legally staying third country nationals, promoting their social and economic integration especially in the framework of Community-led Local Development strategies.

As many rural areas in the Union suffer from structural problems such as lack of attractive employment opportunities, skill shortages, underinvestment in broadband and connectivity, infrastructures and essential services, as well as youth drain, it is fundamental to strengthen the socio-economic fabric in those areas, in line with the Cork 2.0. Declaration, particularly through job creation and generational renewal, by bringing the Commission's jobs and growth to rural areas, promoting social inclusion, support for young people, greater participation by women in the rural economy generational renewal and the development of ‘Smart Villages’ across the European countryside. With a view to stabilising and diversifying the rural economy, the development, establishmen t and retention of non-agricultural enterprises should be supported. As indicated in the Communication on ‘The Future of Food and Farming’, new rural value chains such as renewable energy, the emerging bio-economy, the circular economy, and ecotourism can offer good growth and job potential for rural areas, while conserving natural resources. In this context, financial instruments can play a crucial role for ensuring access to financing and for bolstering the growth capacity of farms and enterprises. There is a potential for employment opportunities in rural areas for legally staying third country nationals, promoting their social and economic integration especially in the framework of Community-led Local Development strategies.

Text proposed by the Commission

Amendment

(16a)  For the socio-economic sustainability of t rural areas, the Commission should check that the Member States ensure in the CAP Strategic Plan that there is coherence between the application of Directive2010/41/EU of the European Parliament and of the Council^1a and the long-term approach on the use of Rural Development funds.

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^1a Directive 2010/41/EU of the European Parliament and of the Council of 7 July 2010 on the application of the principle of equal treatment between men and women engaged in an activity in a self-employed capacity and repealing Council Directive 86/613/EEC (OJ L 180, 15.7.2010, p. 1).

Text proposed by the Commission

Amendment

(17)  The CAP should keep ensuring food security, which should be understood as meaning access to sufficient, safe and nutritious food at all times. Moreover, it should help improving the response of Union agriculture to new societal demands on food and health, including sustainable agricultural production, healthier nutrition, food waste and animal welfare. The CAP should continue to promote production with specific and valuable characteristics, while at the same time helping farmers to proactively adjust their production according to market signals and consumers’ demands.

(17)  The CAP should keep ensuring food security, which should be understood as meaning access to sufficient, safe and nutritious food at all times. Moreover, it should help improving the response of Union agriculture to new societal demands on food and health, including sustainable agricultural production, healthier nutrition, high-quality production and quality differentiation, food waste and animal welfare. The CAP should continue to promote sustainable production with specific and valuable characteristics, such as High Nature Value farming systems, while at the same time helping farmers to proactively adjust their production according to market signalsand consumers’ demands.

Text proposed by the Commission

Amendment

(17a)  The One Health Action Plan against antimicrobial resistance considers vaccination to be a cost-effective public health intervention to combat AMR, but that the relatively higher cost of diagnosis, antimicrobial alternatives and vaccination compared with conventional antibiotics are an obstacle to increasing the vaccination rate of animals.

Text proposed by the Commission

Amendment

(22)  The framework of standards of GAECs aims to contribute to the mitigation and adaptation to climate change, the tackling of water challenges, the protection and quality of soil and the protection and quality of biodiversity. The framework needs to be enhanced to take into account in particular the practices set until 2020 under the greening of direct payments, the mitigation of climate change and the need to improve farms sustainability, and in particular the nutrients management. It is acknowledged that each GAEC contributes to multiple objectives. In order to implement the framework, Member States should define a national standard for each of the standards set at Union level taking into account the specific characteristics of the area concerned, including soil and climatic conditions, existing farming conditions, land use, crop rotation, farming practices and farm structures. Member States may also define in addition other national standards related to the main objectives laid down in Annex III in order to improve the environmental and climate delivery of the GAEC framework. As part of GAEC framework, in order to support both the agronomic and the environmental performance of farms, nutrient management plans will be established with the help of a dedicated electronic Farm Sustainability Tool made available by the Member States to individual farmers. The tool should provide on-farm decision support starting from minimum nutrient management functionalities. A wide interoperability and modularity should also ensure the possibility to add other electronic on-farm and e-governance applications. In order to ensure a level playing field between farmers and across the Union, the Commission may provide support to the Member States in the design of the Tool as well as with the data storage and processing services required.

(22)  The framework of standards of GAECs aims to contribute to the mitigation and adaptation to climate change, the tackling of water challenges, the protection and quality of soil and the protection and quality of biodiversity. The framework needs to be enhanced to take into account in particular the practices set until 2020 under the greening of direct payments, the mitigation of climate change and the need to improve farms sustainability. It is acknowledged that each GAEC contributes to multiple objectives. In order to implement the framework, Member States should define a national standard for each of the standards set at Union level taking into account the specific characteristics of the area concerned, including soil and climatic conditions, existing farming conditions, the agronomic characteristics of different productions, differences beween annual crops, permanent crops and other specialised production, land use, crop rotation, local and traditional farming practices and farm structures. Member States may also define equivaleant practives or certification systems having a beneficial impact on the climate and the environment which is similar to or better than the impact of one or more GAEC practices.

Text proposed by the Commission

Amendment

(23)  SMRs need to be fully implemented by Member States in order to become operational at farm level and ensure equal treatment of farmers. To ensure the consistency of the rules on conditionality in enhancing the sustainability of the policy, SMRs should encompass main Union legislation on environment, public health, animal health, plant health and animal welfare which implementation at national level imply precise obligations on individual farmers, including obligations under Council Directive 92/43/EEC¹¹ and Directive 2009/147/EC of the European Parliament and of the Council¹² or Council Directive 91/676/EEC¹³. In order to follow up on the joint statement made by the European Parliament and the Council as annexed to Regulation (EU) No 1306/2013 of the European Parliament and of the Council¹⁴, the relevant provisions of Directive 2000/60/EC of the European Parliament and of the Council¹⁵ and Directive 2009/128/EC of the European Parliament and of the Council¹⁶ are included as SMRs into the scope of conditionality and the list of GAEC standards is adapted accordingly.

(23)  SMRs need to be fully implemented by Member States in order to become operational at farm level and ensure equal treatment of farmers. To ensure the consistency of the rules on conditionality in enhancing the sustainability of the policy, SMRs should encompass main Union legislation on environment, public health, animal health, plant health and animal welfare which implementation at national level imply precise obligations on individual farmers, including obligations under Council Directive 92/43/EEC¹¹ and Directive 2009/147/EC of the European Parliament and of the Council¹² or Council Directive 91/676/EEC¹³. In order to follow up on the joint statement made by the European Parliament and the Council as annexed to Regulation (EU) No 1306/2013 of the European Parliament and of the Council¹⁴, the relevant provisions of Directive 2000/60/EC of the European Parliament and of the Council¹⁵ (the Water Framework Directive) and Directive 2009/128/EC of the European Parliament and of the Council¹⁶ are included as SMRs into the scope of conditionality and the list of GAEC standards is adapted accordingly.

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^11. Council Directive 92/43/EEC of 21 May 1992 on the conservation of natural habitats and of wild fauna and flora (OJ L 206, 22.7.1992, p. 7).

^11. Council Directive 92/43/EEC of 21 May 1992 on the conservation of natural habitats and of wild fauna and flora (OJ L 206, 22.7.1992, p. 7).

^12. Directive 2009/147/EC of the European Parliament and of the Council of 30 November 2009 on the conservation of wild birds (OJ L 20, 26.1.2010, p. 7).

^12. Directive 2009/147/EC of the European Parliament and of the Council of 30 November 2009 on the conservation of wild birds (OJ L 20, 26.1.2010, p. 7).

^13. Council Directive 91/676/EEC of 12 December 1991 concerning the protection of waters against pollution caused by nitrates from agricultural sources (OJ L 375, 31.12.1991, p. 1).

^13. Council Directive 91/676/EEC of 12 December 1991 concerning the protection of waters against pollution caused by nitrates from agricultural sources (OJ L 375, 31.12.1991, p. 1).

^14. Regulation (EU) No 1306/2013 of the European Parliament and of the Council of 17 December 2013 on the financing, management and monitoring of the common agricultural policy and repealing Council Regulations (EEC) No 352/78, (EC) No 165/94, (EC) No 2799/98, (EC) No 814/2000, (EC) No 1290/2005 and (EC) No 485/2008 (OJ L 347, 20.12.2013, p. 549).

^14. Regulation (EU) No 1306/2013 of the European Parliament and of the Council of 17 December 2013 on the financing, management and monitoring of the common agricultural policy and repealing Council Regulations (EEC) No 352/78, (EC) No 165/94, (EC) No 2799/98, (EC) No 814/2000, (EC) No 1290/2005 and (EC) No 485/2008 (OJ L 347, 20.12.2013, p. 549).

^15. Directive 2000/60/EC of the European Parliament and of the Council of 23 October 2000 establishing a framework for Community action in the field of water policy (OJ L 327, 22.12.2000, p. 1).

^15. Directive 2000/60/EC of the European Parliament and of the Council of 23 October 2000 establishing a framework for Community action in the field of water policy (OJ L 327, 22.12.2000, p. 1).

^16. Directive 2009/128/EC of the European Parliament and of the Council of 21 October 2009 establishing a framework for Community action to achieve the sustainable use of pesticides (OJ L 309, 24.11.2009, p. 71).

^16. Directive 2009/128/EC of the European Parliament and of the Council of 21 October 2009 establishing a framework for Community action to achieve the sustainable use of pesticides (OJ L 309, 24.11.2009, p. 71).

Text proposed by the Commission

Amendment

(24)  Member States should set farm advisory services for the purpose of improving the sustainable management and overall performance of agricultural holdings and rural businesses, covering economic, environmental and social dimensions, and to identify the necessary improvements as regards all measures at farm level provided for in the CAP Strategic Plans. These farm advisory services should help farmers and other beneficiaries of CAP support to become more aware of the relationship between farm management and land management on the one hand, and certain standards, requirements and information, including environmental and climate ones, on the other hand. The list of the latter includes standards applying to or necessary for farmers and other CAP beneficiaries and set in the CAP Strategic Plan, as well as those stemming from the legislation on water, on the sustainable use of pesticides, as well as the initiatives to combat antimicrobial resistance and the management of risks. In order to enhance the quality and effectiveness of the advice, Member States should integrate advisors within the Agricultural Knowledge and Innovation Systems (AKIS), in order to be able to deliver up-to-date technological and scientific information developed by research and innovation.

(24)  Member States should provide high-quality farm advisory services for the purpose of improving the sustainable management and overall performance of agricultural holdings and rural businesses, covering economic, environmental and social dimensions, and to identify the necessary improvements as regards all measures at farm level provided for in the CAP Strategic Plans. These farm advisory services should help farmers and other beneficiaries of CAP support to become more aware of the relationship between farm management and land management on the one hand, and certain standards, requirements and information, including environmental and climate ones, on the other hand. The list of the latter includes standards applying to or necessary for farmers and other CAP beneficiaries and set in the CAP Strategic Plan, as well as those stemming from the legislation on water, on the sustainable use of pesticides, as well as the initiatives to combat antimicrobial resistance and the management of risks. In order to enhance the quality and effectiveness of the advice, Member States should integrate advisors within the Agricultural Knowledge and Innovation Systems (AKIS), in order to be able to deliver up-to-date technological and scientific information developed by research and innovation. Any Union initiatives regarding advisory services and innovation systems should be built, whenever possible, upon existing ones at Member State level.

Text proposed by the Commission

Amendment

(26)  Union legislation should provide that Member States should set requirements in terms of minimum area for receiving decoupled payments in their CAP Strategic Plan. Such requirements should relate to the need to avoid the excessive administrative burden caused by managing numerous payments of small amounts and to that of ensuring an effective contribution of the support to the objectives of the CAP to which the decoupled direct payments contribute. In order to guarantee a minimum level of agricultural income support for all genuine farmers, as well as to comply with the Treaty objective in ensuring a fair standard of living for the agricultural community, an annual area-based decoupled payment should be established as the type of intervention ‘basic income support for sustainability’. In order to enhance better targeting of this support, the payment amounts can be differentiated, by groups of territories, based on socio-economic and/or agronomic conditions. In view of avoiding disruptive effects for farmers' income, Member States may choose to implement the basic income support for sustainability based on payment entitlements. In this case, the value of payment entitlements before any further convergence should be proportional to their value as established under the basic payment schemes pursuant to Regulation (EU) No 1307/2013, taking also into account the payments for agricultural practices beneficial for the climate and the environment. Member States should also achieve further convergence in order to continue to move progressively away from historical values.

(26)  Union legislation should provide that Member States should set requirements in terms of minimum area for receiving decoupled payments in their CAP Strategic Plan. Such requirements should relate to the need to avoid the excessive administrative burden caused by managing numerous payments of small amounts and to that of ensuring an effective contribution of the support to the objectives of the CAP to which the decoupled direct payments contribute. In order to guarantee a minimum level of agricultural income support for all active farmers, as well as to comply with the Treaty objective in ensuring a fair standard of living for the agricultural community, an annual area-based decoupled payment should be established as the type of intervention ‘basic income support for sustainability’. In order to enhance better targeting of this support, the payment amounts can be differentiated, by groups of territories, based on socio-economic, environmental and/or agronomic conditions. In view of avoiding disruptive effects for farmers' income, Member States may choose to implement the basic income support for sustainability based on payment entitlements. In this case, the value of payment entitlements before any further convergence should be proportional to their value as established under the basic payment schemes pursuant to Regulation (EU) No 1307/2013, taking also into account the payments for agricultural practices beneficial for the climate and the environment. Member States should also achieve further convergence in order to move progressively to full convergence by 2026

Text proposed by the Commission

Amendment

(26 a)  Income support through the CAP is a major contributor to the stability and sustainability of many small and family farms across Europe, and although expectations on farmers have increased, monetary benefits have not. The CAP's overall share of the EU is decreasing, while market crises in the sector and a falling number of active famers continue to threaten the survival of the sector. The family farm model should be protected as a General Objective of the CAP and through the Member State Strategic Plans, giving proper place to the vital role this model has in contributing to the social fabric of rural life, and the provision of a way of life for many rural dwellers. Family farms contribute to sustainable food production, the preservation of natural resources, diversification needs and ad ensuring food security. The first farmers to suffer under the immense pressures of globalisation will be those that pursue the small family farm model. Such a situation would be an obvious failure to meet the objectives of the CAP and would undermine the argument for support of the CAP in future. Therefore the CAP Strategic Plans should pursue through their specific objectives keeping the protection of this farming model.

Text proposed by the Commission

Amendment

(28)  Small farms remain a cornerstone of Union agriculture as they play a vital role in supporting rural employment and contribute to territorial development. In order to promote a more balanced distribution of support and to reduce administrative burden for beneficiaries of small amounts, Member States should have the option of offering to small farmers the possibility of replacing the other direct payments by providing a round some payment for small farmers.

(28)  Small farms remain a cornerstone of Union agriculture as they play a vital role in supporting rural employment and contribute to territorial development. In order to promote a more balanced distribution of support and to reduce administrative burden for beneficiaries of small amounts, Member States should have the option of offering to small farmers the possibility of replacing direct payments by providing a round some payment for small farmers. However, with a view to further reducing the administrative burden, Member States should be authorised to automatically include certain farmers, initially, within the simplified scheme, offering them the possibility of withdrawing from it by a specific deadline. In line with the principle of proportionality, the Member States should be given the possibility of establishing a reduced system of conditionality checks for small farmers that participate in the simplified scheme .

Text proposed by the Commission

Amendment

(30a)  Organic farming is developing in many Member States and has a proven track record of delivering public goods, preserving ecosystems services and natural resources, reducing inputs, attracting young farmers and women in particular,creating jobs, experimenting with new business models, meeting societal demands, and revitalising rural areas. Yet the growth in demand for organic products continues to outpace the growth in production. Member States should ensure that their CAP Strategic Plans include objectives to increase the share of agricultural land under organic management in order to meet the increasing demand for organic products, and to develop the whole organic supply chain. Member States should be able to fund organic conversion and maintenance either through rural development measures or through eco-schemes, or through a combination of both, and should ensure that allocated budgets match the expected growth in organic production.

Text proposed by the Commission

Amendment

(31)  The CAP should ensure that Member States increase the environmental delivery by respecting local needs and farmers' actual circumstances. Member States should under direct payments in the CAP Strategic Plan set up Eco-schemes voluntary for farmers, which should be fully coordinated with the other relevant interventions. They should be defined by the Member States as a payment granted either for incentivising and remunerating the provision of public goods by agricultural practices beneficial to the environment and climate or as a compensation for the introduction of these practices. In both cases they should aim at enhancing the environmental and climate performance of the CAP and should consequently be conceived to go beyond the mandatory requirements already prescribed by the system of conditionality. Member States may decide to set up eco-schemes for agricultural practices such as the enhanced management of permanent pastures and landscape features, and organic farming. These schemes may also include ‘entry-level schemes’ which may be a condition for taking up more ambitious rural development commitments.

(31)  The CAP should ensure that Member States increase the environmental delivery by respecting local needs and farmers' actual circumstances. Member States should under direct payments in the CAP Strategic Plan set up Eco-schemes voluntary for farmers, which should be fully coordinated with the other relevant interventions. They should be defined by the Member States as a payment granted either for incentivising and remunerating the provision of public goods by agricultural practices beneficial to the environment and climate, they should aim at enhancing the environmental and climate performance of the CAP and should consequently be conceived to go beyond the mandatory requirements already prescribed by the system of conditionality. Member States may decide to set up eco-schemes to promote production models that are beneficial for the environment, particularly extensive livestock rearing, and to promote all kinds of agricultural practicessuch as the enhanced management of permanent pastures and landscape features, and environmental certification schemes, such as organic farming, integrated production, or conservation agriculture. These schemes may also include measures of a type other than rural development environmental and climate commitments, or measures of the same nature that may be classified as ‘entry-level schemes’ which may be a condition for taking up more ambitious rural development commitments.

Text proposed by the Commission

Amendment

(33)  Compliance of coupled income support with the Union's international commitments should be ensured. This includes in particular the requirements of the Memorandum of Understanding between the European Economic Community and the United States of America on oilseeds within the framework of the GATT,¹⁷as applicable subsequent to changes to the EU separate base area for oilseeds following changes to the composition of the EU. The Commission should have the power to adopt implementing acts for this purpose of laying down detailed rules in this respect.

deleted

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¹⁷ Memorandum of Understanding between the Economic Community and the United States of America on oil seeds under GATT (OJ L147, 18/06/1993).

Text proposed by the Commission

Amendment

(35)  Sectoral types of interventions are needed to contribute to the CAP objectives and reinforce synergies with other CAP instruments. In line with the delivery model, minimum requirements concerning the contents and objectives for such sectoral types of interventions should be elaborated at Union level in order to ensure a level playing field in the internal market and avoid conditions of unequal and unfair competition. Member States should justify their inclusion in their CAP Strategic Plans and ensure consistency with other interventions at sectoral level. The broad types of interventions to be established at Union level should cover the sectors of fruit and vegetables, wine, apiculture products, olive oil and table olives, hops and other products to be defined, for which the establishment of sectoral programs is deemed to have beneficial effects on the achievement of some or all of the general and specific objectives of the CAP pursued by this Regulation.

(35)  Sectoral types of interventions are needed to contribute to the CAP objectives and reinforce synergies with other CAP instruments. In line with the delivery model, minimum requirements concerning the contents and objectives for such sectoral types of interventions should be elaborated at Union level in order to ensure a level playing field in the internal market and avoid conditions of unequal and unfair competition. Member States should justify their inclusion in their CAP Strategic Plans and ensure consistency with other interventions at sectoral level. The broad types of interventions to be established at Union level should cover the sectors of fruit and vegetables, wine, apiculture products, olive oil and table olives, hops and other products defined in Article 39, for which the establishment of sectoral programs is deemed to have beneficial effects on the achievement of some or all of the general and specific objectives of the CAP pursued by this Regulation.

Text proposed by the Commission

Amendment

(35a)  In view of the increase in the allocation provided for the apiculture sector and in recognition of the important role it plays in preserving biodiversity and food production, it is appropriate to also increase the Union co-financing ceiling and to add new eligible measures designed to promote the sector’s development.

Text proposed by the Commission

Amendment

(37)  For interventions for rural development, principles are defined at Union level, particularly with regard to the basic requirements for the Member States to apply selection criteria. However, Member States should have ample discretion to define specific conditions according to their needs. Types of interventions for rural development include payments for environmental, climate and other management commitments that Member States should support throughout their territories, in accordance with their national, regional or local specific needs. Member States should grant payments to farmers and other land managers who undertake, on a voluntary basis, management commitments that contribute to climate change mitigation and adaptation and to the protection and improvement of the environment including water quality and quantity, air quality, soil, biodiversity and ecosystem services including voluntary commitments in Natura 2000 and support for genetic diversity. Support under payments for management commitments may also be granted in the form of locally-led, integrated or cooperative approaches and result-based interventions.

(37)  For interventions for rural development, principles are defined at Union level, particularly with regard to the basic requirements for the Member States to apply selection criteria. However, Member States should have ample discretion to define specific conditions according to their needs. Types of interventions for rural development include payments for environmental, climate and other management commitments that Member States should support throughout their territories, in accordance with their national, regional or local specific needs. Member States should grant payments to farmers, groups of farmers and other land managers who undertake, on a voluntary basis, management commitments that contribute to climate change mitigation and adaptation and to the protection and improvement of the environment including water quality and quantity, air quality, soil, biodiversity and ecosystem services including voluntary commitments in Natura 2000, and in High Nature Value Areas and support for genetic diversity. Support under payments for management commitments may also be granted in the form of locally-led, integrated, collective or cooperative approaches and result-based interventions.

Text proposed by the Commission

Amendment

(38)  Support for management commitments may include organic farming premia for the maintenance of and the conversion to organic land; payments for other types of interventions supporting environmentally friendly production systems such as agro-ecology, conservation agriculture and integrated production; forest environmental and climate services and forest conservation; premia for forests and establishment of agroforestry systems; animal welfare; conservation, sustainable use and development of genetic resources. Member States may develop other schemes under this type of interventions on the basis of their needs. This type of payments should cover additional costs and income foregone only resulting from commitments going beyond the baseline of mandatory standards and requirements established in Union and national law, as well as conditionality, as laid down in the CAP Strategic Plan. Commitments related to this type of interventions may be undertaken for a pre-established annual or pluri-annual period and might go beyond seven years where duly justified.

(38)  Support for management commitments may include organic farming premia for the maintenance of and the conversion to organic land; payments for other types of interventions supporting environmentally friendly production systems such as High Nature Value farming, agro-ecology, conservation agriculture and integrated production; forest environmental and climate services and forest conservation; premia for forests and establishment of agroforestry systems; the protection of traditional agricultural landscapes, animal welfare; conservation, sustainable use and development of genetic resources. Member States may develop other schemes under this type of interventions on the basis of their needs and they may strengten the agri-environmental measures specific to the beekeeping sectotr which already exist in certain regions of the Union, and develop further measures. This type of payments should cover additional costs and income foregone only resulting from commitments going beyond the baseline of mandatory standards and requirements established in Union and national law, as well as conditionality, as laid down in the CAP Strategic Plan. Member States should also provide financial incentives to beneficiaries, Commitments related to this type of interventions may be undertaken for a pre-established annual or pluri-annual period and might go beyond seven years where duly justified.

Text proposed by the Commission

Amendment

(39)  Forestry measures should contribute to the implementation of the Union Forest Strategy, and be based on Member States' national or sub-national forest programs or equivalent instruments, which should build on the commitments stemming from the Regulation on the inclusion of greenhouse gas emission and removals from land use, land use energy and forestry [LULUCF Regulation] and those made in the Ministerial Conferences on the Protection of Forests in Europe. Interventions should be based on forest management plans or equivalent instruments and may comprise forest area development and sustainable management of forests, including the afforestation of land and the creation and regeneration of agroforestry systems; the protection, restoration and improvement of forest resources, taking into account adaptation needs; investments to guarantee and enhance forest conservation and resilience, and the provision of forest ecosystem and climate services; and measures and investments in support of the renewable energy and bio-economy.

(39)  Forestry measures should contribute to widening the use of agroforestry systems and to the implementation of the Union Forest Strategy, and be based on Member States' national or sub-national forest programs or equivalent instruments, which should build on the commitments stemming from Regulation (EU) 2018/841 of the European Parliament and of the Council^1a and those made by the Ministerial Conferences on the Protection of Forests in Europe. Interventions should be based on forest management plans or equivalent instruments and may comprise forest area development and sustainable management of forests, including the afforestation of land, fire prevention and the creation and regeneration of agroforestry systems; the protection, restoration and improvement of forest resources, taking into account adaptation needs; investments to guarantee and enhance forest conservation and resilience, and the provision of forest ecosystem and climate services; and measures and investments in support of the renewable energy and bio-economy.

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^1a Regulation (EU) 2018/841 of the European Parliament and of the Council of 30 May 2018 on the inclusion of greenhouse gas emissions and removals from land use, land use change and forestry in the 2030 climate and energy framework, and amending Regulation (EU) No 525/2013 and Decision No 529/2013/EU (OJ L 156, 19.6.2018, p. 1).

Text proposed by the Commission

Amendment

(40)  In order to ensure a fair income and a resilient agricultural sector across the Union territory, Member States may grant support to farmers in areas facing natural and other area-specific constraints. As regards payments for ANC, the designation of the 2014-2020 Rural Development policy should continue to apply. For the CAP to deliver enhanced Union added on the environment and reinforce its synergies with the financing of investments in nature and biodiversity, it is necessary to keep a separate measure aiming at compensating beneficiaries for disadvantages related to the implementation of Natura 2000 and Water Framework Directives. Support should therefore continue to be granted to farmers and forest holders to help address specific disadvantages resulting from the implementation of Directive 2009/147/EC and Directive 92/43/EEC and in order to contribute to the effective management of Natura 2000 sites. Support should also be made available to farmers to help address disadvantages in river basin areas resulting from the implementation of the Water Framework Directive. Support should be linked to specific requirements described in the CAP Strategic Plans that go beyond relevant mandatory standards and requirements. Member States should also ensure that payments to farmers do not lead to double funding with eco schemes. Furthermore, the specific needs of Natura 2000 areas should be taken into account by Member States in the overall design of their CAP Strategic Plans.

(40)  In order to ensure a fair income and a resilient agricultural sector across the Union territory, Member States may grant support to farmers in areas facing natural and other area-specific constraints, including mountain areas and island regions. As regards payments for ANC, the designation of the 2014-2020 Rural Development policy should continue to apply. For the CAP to deliver enhanced Union added on the environment and reinforce its synergies with the financing of investments in nature and biodiversity, it is necessary to keep a separate measure aiming at compensating beneficiaries for disadvantages related to the implementation of Natura 2000 established by Council Directive 92/43/EEC^1a and of the Water Framework Directive. Support should therefore continue to be granted to farmers and forest holders to help address specific disadvantages resulting from the implementation of Directive 2009/147/EC and Directive 92/43/EEC and in order to contribute to the effective management of Natura 2000 sites. Support should also be made available to farmers to help address disadvantages in river basin areas resulting from the implementation of the Water Framework Directive. Support should be linked to specific requirements described in the CAP Strategic Plans that go beyond relevant mandatory standards and requirements. Member States should also ensure that payments to farmers do not lead to double funding with eco schemes, while at the same time allowing enough flexibility in Strategic Plans to facilitate complementarity between different interventions. Furthermore, the specific needs of Natura 2000 areas should be taken into account by Member States in the overall design of their CAP Strategic Plans.

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^1a Council Directive 92/43/EEC of 21 May 1992 on the conservation of natural habitats and of wild fauna and flora (OJ L 206 , 22/07/1992, p.7).

Text proposed by the Commission

Amendment

(41)  The objectives of the CAP should also be pursued through support for investments, productive as well as non-productive, on farm as well as off-farm. Such investments may concern, inter alia, infrastructures related to the development, modernisation or adaptation to climate change of agriculture and forestry, including access to farm and forest land, land consolidation and improvement, agro-forestry practices and the supply and saving of energy and water. In order to better ensure the consistency of the CAP Strategic Plans with Union objectives, as well as a level playing field between Member States, a negative list of investment topics is included in this Regulation.

(41)  The objectives of the CAP should also be pursued through support for investments, productive as well as non-productive, which aim to strengthen farms’ resilience. Such investments may concern, inter aliainfrastructures related to the development, modernisation or adaptation to climate change of agriculture and forestry, including access to farm and forest land, land consolidation and improvement, agro-forestry practices, and the supply and saving of energy and water. In order to better ensure the consistency of the CAP Strategic Plans with Union objectives, as well as a level playing field between Member States, a negative list of investment topics is included in this Regulation.

Text proposed by the Commission

Amendment

(42)  In the light of the need to fill the investment gap in the Union agricultural sector and improve access to financial instruments for priority groups, notably young farmers and new entrants with higher risk profiles, use of the InvestEU guarantee and combination of grants and financial instruments should be encouraged. Since the use of financial instruments across Member States varies considerably as a result of differences in terms of access to finance, banking sector development, presence of risk capital, familiarity of public administrations and potential range of beneficiaries, Member States should establish in the CAP Strategic Plan appropriate targets, beneficiaries and preferential conditions, and other possible eligibility rules.

(42)  In the light of the need to fill the investment gap in the Union agricultural sector and improve access to financial instruments for priority groups, notably young farmers and new entrants with higher risk profiles, a combination of grants and financial instruments should be encouraged. Since the use of financial instruments across Member States varies considerably as a result of differences in terms of access to finance, banking sector development, presence of risk capital, familiarity of public administrations and potential range of beneficiaries, Member States should establish in the CAP Strategic Plan appropriate targets, beneficiaries and preferential conditions, and other possible eligibility rules.

Text proposed by the Commission

Amendment

(43)  Young farmers and new entrants still face significant barriers regarding access to land, high prices and access to credit. Their businesses are more threatened by price volatility (for both inputs and produce) and their needs in terms of training in entrepreneurial and risk management skills are high. It is therefore essential to continue the support for the setting up of new businesses and new farms. Member States should provide for a strategic approach and identify a clear and coherent set of interventions for generational renewal under the specific objective dedicated to this issue. To this aim, Member States may set in their CAP Strategic Plans preferential conditions for financial instruments for young farmers and new entrants, and should include in their CAP Strategic Plan the ring-fencing of at least an amount corresponding to 2% of the annual direct payments' envelope. An increase of the maximum amount of aid for the installation of young farmers and rural business start-ups, up to EUR 100.000, which can be accessed also through or in combination with financial instrument form of support, should be established.

(43)  Young farmers and new farmers still face significant barriers regarding access to land, high prices and access to credit. Their businesses are more threatened by price volatility (for both inputs and produce) and their needs in terms of training in entrepreneurial, risk prevention and management skills are high. It is therefore essential to continue the support for the setting up of new businesses and new farms. Member States should provide for a strategic approach and identify a clear and coherent set of interventions for generational renewal under the specific objective dedicated to this issue. To this aim, Member States may set in their CAP Strategic Plans preferential conditions for financial instruments for young farmers and new entrants, and should include in their CAP Strategic Plan the ring-fencing of at least an amount corresponding to 2% of the annual direct payments’ envelope in the first pillar. An increase of the maximum amount of aid for the installation of young farmers and rural business start-ups, up to EUR 100.000, which can be accessed also through or in combination with financial instrument form of support, should be established.

Text proposed by the Commission

Amendment

(44)  In the light of the need to ensure appropriate risk management tools, insurance premia and mutual funds should be maintained, financed by the EAFRD. The category of mutual funds encompasses both those linked to production losses, and the general and sector-specific income stabilisation tools, linked to income losses.

(44)  In the light of the need to ensure appropriate risk management tools, insurance premia and mutual funds should be maintained, financed by the EAFRD. The category of mutual funds encompasses both those linked to production losses, and the general and sector-specific income stabilisation tools, linked to income losses. In order to adapt the risk management tools to the challenges faced by farmers, including climate change, the CAP toolbox should include compensation for the costs and losses incurred by farmers in connection with measures taken to combat animal diseases and plant pests, or for the losses incurred by organic farmers as a result of an external contamination for which they are not responsible. However, the compatibility of EARDF-financed interventions with national risk management systems should be ensured.

Text proposed by the Commission

Amendment

(45)  Support should enable the establishment and implementation of cooperation between at least two entities in view of achieving CAP objectives. Support can entail all aspects of such cooperation, such as the setting up of quality schemes; collective environmental and climate action; the promotion of short supply chain and local markets; pilot projects; Operational Group projects within the EIP for agricultural productivity and sustainability local development projects, Smart Villages, buyers' clubs and machinery rings; farm partnerships; forest management plans; networks and clusters; social farming; community supported agriculture; actions within the scope of LEADER; and the setting up of producer groups and producer organisations, as well as other forms of cooperation deemed necessary to achieve the specific objectives of the CAP.

(45)  Support should enable the establishment and implementation of cooperation between at least two entities in view of achieving CAP objectives. Support can entail all aspects of such cooperation, such as the setting up, certification costs and promotion of quality schemes; collective environmental and climate action; the promotion of short supply chain and local markets; pilot projects; Operational Group projects within the EIP for agricultural productivity and sustainability local development projects, Smart Villages, buyers' clubs and machinery rings; farm partnerships; forest management plans; networks and clusters; social farming; community supported agriculture; actions within the scope of LEADER; and the setting up of producer groups and producer organisations, including producer groups recognised under Regulation (EU) No 115/12, as well as other forms of cooperation deemed necessary to achieve the specific objectives of the CAP. As a way of promoting intergenerational renewal, consideration should be given to granting specific support to farmers who wish to stop farming before reaching the statutory retirement age and intend to hand over their farm to a cooperating younger farmer.

Text proposed by the Commission

Amendment

(47)  The EAGF should continue financing types of interventions in the form of direct payments and sectoral types of interventions, whereas the EAFRD should continue financing types of interventions for rural development as described in this Regulation. The rules for the financial management of the CAP should be laid down separately for the two funds and for the activities supported by each of them, taking into account that the new delivery model gives more flexibility and subsidiarity for Member States to reach their objectives. Types of interventions under this Regulation should cover the period from 1 January 2021 to 31 December 2027.

(47)  The EAGF should continue financing types of interventions in the form of direct payments and sectoral types of interventions, whereas the EAFRD should continue financing types of interventions for rural development as described in this Regulation. The rules for the financial management of the CAP should be laid down separately for the two funds and for the activities supported by each of them, taking into account that the new delivery model gives more flexibility and subsidiarity for Member States to reach their objectives. Types of interventions under this Regulation should cover the period from 1 January 2021 2022 to 31 December 2027.

Text proposed by the Commission

Amendment

(48)  Support for direct payments under the CAP Strategic Plans should be granted within national allocations to be fixed by this Regulation. These national allocations should reflect a continuation of the changes whereby the allocations to Member States with the lowest support level per hectare are gradually increased to close 50% of the gap towards 90% of the Union average. In order to take into account the reduction of payments' mechanism and the use of its product in the Member State, the total indicative financial allocations per year in the CAP Strategic Plan of a Member State should be allowed to exceed the national allocation.

(48)  The EAGF should not provide support to activities that would harm the environment, or which are not consistent with climate and environmental objectives in line with sustainable agricultural management principles. Support for direct payments under the CAP Strategic Plans should be granted within national allocations to be fixed by this Regulation. These national allocations should reflect a continuation of the changes whereby the allocations to Member States with the lowest support level per hectare are gradually increased to close 50% of the gap towards 90% of the Union average. In order to take into account the reduction of payments' mechanism and the use of its product in the Member State, the total indicative financial allocations per year in the CAP Strategic Plan of a Member State should be allowed to exceed the national allocation.

Text proposed by the Commission

Amendment

(49)  In order to facilitate the management of EAFRD funds, a single contribution rate for support from the EAFRD should be set in relation to public expenditure in the Member States. In order to take account of their particular importance or nature, specific contribution rates should be set in relation to certain types of operations. In order to mitigate the specific constraints resulting from the level of development, the remoteness and insularity, an appropriate EAFRD contribution rate should be set for less developed regions, the outermost regions referred to in Article 349 TFEU and the smaller Aegean islands.

(49)  In order to facilitate the management of EAFRD funds, a general contribution rate for support from the EAFRD should be set in relation to public expenditure in the Member States. In order to take account of their particular importance or nature, specific contribution rates should be set in relation to certain types of operations. In order to mitigate the specific constraints resulting from the level of development, the remoteness and insularity of the outermost regions referred to in Article 349 TFEU and the smaller Aegean islands as defined in Article 1(2) of Regulation (EU) No 229/2013, a higher EAFRD contribution rate should be set for those regions.

Text proposed by the Commission

Amendment

(49a)  Objective criteria should be established for categorising regions and areas at Union level for support from the EAFRD. To that end, the identification of the regions and areas at Union level should be based on the common system of classification of the regions established by Regulation (EC) No 1059/2003 of the European Parliament and the Council, .The latest classifications and data should be used to ensure adequate support, in particular for addressing lagging behind regions and interregional disparities inside a Member State.

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Text proposed by the Commission

Amendment

(50)  EAFRD should not provide support to investments that would harm the environment. Hence it is necessary to provide in this Regulation a number of exclusion rules, as well as the possibility to further develop these guarantees in delegated acts. Notably, the EAFRD should not finance investments in irrigation which do not contribute towards the achievement, or the preservation, of good status of the associated water body or bodies and investments in afforestation which are not consistent with climate and environmental objectives in line with sustainable forest management principles.

(50)  The EAFRD should give priority support to investments generating both economic and environmental benefits while not supporting investments that would harm the environment. Hence it is necessary to provide in this Regulation a number of exclusion rules, as well as the possibility to further develop these guarantees in delegated acts. Notably, the EAFRD should not finance investments in afforestation which are not consistent with climate and environmental objectives in line with sustainable forest management principles. Furthermore, EAFRD should not cover investments in irrigation which do no contribute towards the achievement, or the preservation, of good status of the associated water body or bodies.

Text proposed by the Commission

Amendment

(51a)  In order to enable the Union to be independent of vegetable protein imports, the CAP aims to promote, in line with the Renewable Energy Directive, the use of biofuels obtained from the oilseed by-products of protein crops;

Text proposed by the Commission

Amendment

(54)  To enhance the Union added value and to preserve a functioning agricultural internal market, as well as to pursue the above-mentioned general and specific objectives, Member States should not take decisions according to this Regulation in isolation but in the framework of a structured process that should materialise in a CAP Strategic Plan. Union top-down rules should lay down the specific EU-wide objectives of the CAP, the main types of interventions, the performance framework and the governance structure. Such a distribution of tasks is aimed at ensuring full correspondence between financial resources invested and results achieved.

(54)  To enhance the Union added value and to preserve a functioning agricultural internal market, as well as to pursue the above-mentioned general and specific objectives, Member States should not take decisions according to this Regulation in isolation but in the framework of a structured process that should materialise in a CAP Strategic Plan. Union top-down rules should lay down the specific Union-wide objectives of the CAP, the main types of interventions, the performance framework and the governance structure. Such a distribution of tasks is aimed at ensuring full correspondence between financial resources invested and results achieved.

Text proposed by the Commission

Amendment

(55)  In order to ensure a clear strategic nature of these CAP Strategic Plans, and to facilitate the links with other Union policies, and notably with established long-term national targets deriving from Union legislation or international agreements such as those related to climate change, forests, biodiversity, and water, it is appropriate that there should be one single CAP Strategic Plan per Member State.

(55)  In order to ensure a clear strategic nature of these CAP Strategic Plans, and to facilitate the links with other Union policies, and notably with established long-term national targets deriving from Union legislation or international agreements such as those related to climate change, forests, biodiversity, and water, it is appropriate that there should be one single CAP Strategic Plan per Member State. Taking due account of the administrative structure of the Member States, the Strategic Plan should, where appropriate, include regionalised interventions for Rural Development.

Text proposed by the Commission

Amendment

(55 a)  It is imperative that the CAP Strategic Plans have a clear, simple and unambiguous framework in order to avoid “gold plating” of policy at the national, regional or local level.

Text proposed by the Commission

Amendment

(55b)  The new delivery model should not call into question the integrity of the internal market or the historically European nature of the CAP, which should remain a truly common policy, ensuring a European approach and a level playing field.

Text proposed by the Commission

Amendment

(56)  In the process of development of their CAP Strategic Plans, Member States should analyse their specific situation and needs, set targets linked to the achievement of the objectives of the CAP and design the interventions which will allow reaching these targets, while being adapted to the national and specific regional contexts, including the outermost regions pursuant to Article 349 TFEU. Such process should promote more subsidiarity within a common Union framework, while compliance with the general principles of Union law and the objectives of the CAP should be ensured. It is therefore appropriate to set rules on the structure and content of the CAP Strategic Plans.

(56)  In the process of development of their CAP Strategic Plans, Member States should analyse their specific situation and needs, set targets that are realistic, linked to the achievement of the objectives of the CAP and design the interventions which will allow reaching these targets while providing certainty for the final beneficiaries, while being adapted to the national and specific regional contexts, including the outermost regions pursuant to Article 349 TFEU. Such process should promote more subsidiarity within a common Union framework, while compliance with the general principles of Union law and the objectives of the CAP should be ensured. It is therefore appropriate to set rules on the structure and content of the CAP Strategic Plans. In order to ensure that the setting of targets by Member States and that the design of interventions is appropriate and meximises the contribution to the objectives of the CAP, and while the commonality of the policy is secured, it is necessary to base the strategy of the CAP Strategic Plans on a prior analysis of the local contexts and an assessment of needs in relation to the objectives of the CAP. In proceeding with CAP Strategic Plans, it is necessary to ensure the involvement of farmers and farmers' organisations.

Text proposed by the Commission

Amendment

(57)  In order to ensure that the setting of targets by Member States and that the design of interventions is appropriate and maximises the contribution to the objectives of the CAP, it is necessary to base the strategy of the CAP Strategic Plans on a prior analysis of the local contexts and an assessment of needs in relation to the objectives of the CAP.

(57)  In order to ensure that the setting of targets by Member States and that the design of interventions is appropriate and maximises the contribution to the objectives of the CAP, it is necessary to base the strategy of the CAP Strategic Plans on a prior analysis of the local contexts and an assessment of needs in relation to the objectives of the CAP. It is also important that the CAP strategic plans can adequately reflect changes in Member States’ conditions, structures (both internal and external) and market situations and that they can, therefore, be adjusted over time to reflect them.

Text proposed by the Commission

Amendment

(58)  The CAP Strategic Plans should aim to ensure enhanced coherence across the multiple tools of the CAP, since it should cover types of interventions in the form of direct payments, sectoral types of interventions and types of interventions for rural development. They should also ensure and demonstrate the alignment and appropriateness of the choices made by Member States to the Union priorities and objectives. It is therefore appropriate that they contain a result-oriented intervention strategy structured around the specific objectives of the CAP, including quantified targets in relation to these objectives. In order to allow their monitoring on an annual basis, it is appropriate that these targets are based on result indicators.

(58)  The CAP Strategic Plans should aim to ensure enhanced coherence across the multiple tools of the CAP, since it should cover types of interventions in the form of direct payments, sectoral types of interventions and types of interventions for rural development. They should also ensure and demonstrate the alignment and appropriateness of the choices made by Member States to the Union priorities and objectives. It is therefore appropriate that they contain a result-oriented intervention strategy structured around the specific objectives of the CAP, including quantified targets in relation to these objectives. In order to allow their monitoring it is appropriate that these targets are based on result indicators.

Text proposed by the Commission

Amendment

(59 a)  Since the income support scheme plays a major role in guaranteeing the economic viability of farms, it is appropriate to take into account the social impacts, which the CAP has on providing jobs in rural areas. For that reason the Member States should also take into account in the planning of their Strategic Plans the employment impact which an establishment will have on a specific area. Measures and activities which create more employment opportunities should be given priority when drafting and implementing the respective policy tools.

Text proposed by the Commission

Amendment

(60)  Considering that flexibility should be accorded to Member States as regards the choice of delegating part of the implementation of the CAP Strategic Plan at regional level on the basis of a national framework, in order to facilitate co-ordination among the regions in addressing nation-wide challenges, it is appropriate that the CAP Strategic Plans provide a description of the interplay between national and regional interventions.

(60)  Considering that flexibility should be accorded to Member States as regards the choice of delegating part of the design and implementation of the CAP Strategic Plan at regional level through Rural Development intervention programmes in line with the national framework, in order to facilitate co-ordination among the regions in addressing nation-wide challenges, it is appropriate that the CAP Strategic Plans provide a description of the interplay between national and regional interventions.

Text proposed by the Commission

Amendment

(69)  A Managing Authority should be responsible for the management and implementation of each CAP Strategic Plan. Its duties should be specified in this Regulation. The Managing Authority should be able to delegate part of its duties while retaining responsibility for the efficiency and correctness of management. Member States should ensure that in the Management and Implementation of CAP Strategic Plans, the financial interests of the Union are protected, in accordance with [Regulation (EU, Euratom) X] of the European Parliament and the Council [the new Financial Regulation] and Regulation (EU) X of the European Parliament and the Council [the new Horizontal Regulation].

(69)  A Managing Authority should be responsible for the management and implementation of each CAP Strategic Plan. However, where elements relating to rural development policy are dealt with on a regional basis, Member States should be able to establish regional managing authorities. Their duties should be specified in this Regulation. The managing authorities should be able to delegate part of its duties while retaining responsibility for the efficiency and correctness of management. Member States should ensure that in the Management and Implementation of CAP Strategic Plans, the financial interests of the Union are protected, in accordance with [Regulation (EU, Euratom) X] of the European Parliament and the Council [the new Financial Regulation] and Regulation (EU) X of the European Parliament and the Council [the new Horizontal Regulation].

Text proposed by the Commission

Amendment

(70)  In accordance with the principle of shared management, the Commission is assisted by committees formed by Member States representatives in the implementation of the CAP. With a view to simplifying the system and streamlining the position of Member States, only one Monitoring Committee is established for the implementation of this Regulation, merging the ‘Rural Development’ Committee and the ‘Direct Payments’ Committee, which were established under the 2014-2020 programming period. The responsibility to assist Member States in the implementation of the CAP Strategic Plans is shared between the Managing Authority and this Monitoring Committee. The Commission should also be assisted by the ‘Common Agricultural Policy’ Committee, in accordance with the provisions laid down by this Regulation.

(70)  In accordance with the principle of shared management, the Commission is assisted by committees formed by Member States representatives in the implementation of the CAP. With a view to simplifying the system and streamlining the position of Member States, only one Monitoring Committee is established for the implementation of this Regulation, merging the ‘Rural Development’ Committee and the ‘Direct Payments’ Committee, which were established under the 2014-2020 programming period. The responsibility to assist Member States in the implementation of the CAP Strategic Plans is shared between the Managing Authority and this Monitoring Committee. However, where elements relating to rural development policy are dealt with on a regional basis, Member States should be able to establish regional monitoring committees. The Commission should also be assisted by the ‘Common Agricultural Policy’ Committee, in accordance with the provisions laid down by this Regulation.

Text proposed by the Commission

Amendment

(71)  The EAFRD should support through technical assistance, at the initiative of the Commission, actions relating to the fulfilment of the tasks referred to in [Article 7 HzR]. Technical assistance may also be provided, at the initiative of Member States, for the purpose of the fulfilment of the tasks necessary for the effective administration and implementation of support in relation to the CAP Strategic Plan. An increase of the technical assistance at the initiative of Member States is only available for Malta.

(71)  The EAFRD should support through technical assistance, at the initiative of the Commission, actions relating to the fulfilment of the tasks referred to in [Article 7 HzR]. Technical assistance may also be provided, at the initiative of Member States, for the purpose of the fulfilment of the tasks necessary for the effective administration and implementation of support in relation to the CAP Strategic Plan. An increase of the technical assistance at the initiative of Member States is only available for Luxembourg and Malta.

Text proposed by the Commission

Amendment

(74)  The result-orientation triggered by the delivery model requires a strong performance framework, particularly since CAP Strategic Plans would contribute to broad general objectives for other shared managed policies. A performance-based policy implies annual and multi-annual assessment on the basis of selected outputs, result and impact indicators, as defined in the performance monitoring and evaluation framework. To this end, a limited and targeted set of indicators should be selected in a way which reflects as closely as possible whether the supported intervention contributes to achieving the envisaged objectives. Result and output indicators relating to climate- and environment-related objectives may include interventions set out in national environmental and climate-planning instruments emanating from Union legislation.

(74)  The result-orientation triggered by the delivery model requires a strong performance framework, particularly since CAP Strategic Plans would contribute to broad general objectives for other shared managed policies. A performance-based policy implies assessments on the basis of selected outputs, result and impact indicators, as defined in the performance monitoring and evaluation framework. To this end, a limited and targeted set of indicators should be selected in a way which reflects as closely as possible whether the supported intervention contributes to achieving the envisaged objectives. Result and output indicators relating to climate- and environment-related objectives may include interventions set out in national environmental and climate-planning instruments emanating from Union legislation.

Text proposed by the Commission

Amendment

(75)  As part of the performance, monitor and evaluation framework, Member States should monitor and report annually to the Commission on the progress made. The information provided by the Member States are the basis on which the Commission should report on the progress towards the achievement of specific objectives over the whole programming period using for this purpose a core set of indicators.

(75)  As part of the performance, monitor and evaluation framework, Member States should monitor and report on the progress made. The information provided by the Member States are the basis on which the Commission should report on the progress towards the achievement of specific objectives over the whole programming period using for this purpose a core set of indicators.

Text proposed by the Commission

Amendment

(76)  Mechanisms should be in place to take action to protect the Union’s financial interests in case the CAP Strategic Plan implementation deviates significantly from the targets set. Member States may thus be asked to submit action plans in case of significant and non-justified underperformance. This could lead to suspensions and, in the end, reductions of the Union funds if the planned results are not achieved. Moreover, an overall performance bonus is established as part of the incentive mechanism based on allocating the performance bonus, in view of encouraging good environmental and climate performances.

(76)  Mechanisms should be in place to take action to protect the Union’s financial interests in case the CAP Strategic Plan implementation deviates significantly from the targets set. Member States may thus be asked to submit action plans in case of significant and non-justified underperformance. This could lead to suspensions and, in the end, reductions of the Union funds if the planned results are not achieved.

Text proposed by the Commission

Amendment

(80a)  Trade agreements signed with third countries relating to the agricultural sector should provide for arrangements and contain safeguard clauses to ensure a level playing field between Union and non-Union farmers and to protect consumers.

Text proposed by the Commission

Amendment

(81)  Personal data collected for the purposes of the application of any provision enshrined in this Regulation should be processed in a way that is compatible with those purposes. It should also be made anonymous, be aggregated when processed for monitoring or evaluation purposes, and be protected in accordance with Union law concerning the protection of individuals with regard to the processing of personal data and on the free movement of such data, in particular Regulation (EC) No 45/2001 of the European Parliament and of the Council¹⁹ and Regulation (EU) 2016/679 of the European Parliament and of the Council²⁰ . Data subjects should be informed of such processing and of their data protection rights.

(81)  Personal data collected for the purposes of the application of any provision enshrined in this Regulation should be processed in a way that is compatible with those purposes. It should also be made anonymous, be aggregated when processed for monitoring or evaluation purposes, and be protected in accordance with Union law concerning the protection of individuals with regard to the processing of personal data and on the free movement of such data, in particular Regulation (EC) No 2018/1725 of the European Parliament and of the Council¹⁹ and Regulation (EU) 2016/679 of the European Parliament and of the Council²⁰ . Data subjects should be informed of such processing and of their data protection rights.

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¹⁹ Regulation (EC) No 45/2001 of the European Parliament and of the Council of 18 December 2000 on the protection of individuals with regard to the processing of personal data by the Community institutions and bodies and on the free movement of such data (OJ L 8, 12.1.2001, p. 1).

¹⁹ Regulation (EC) No 45/2001 of the European Parliament and of the Council of 18 December 2000 on the protection of individuals with regard to the processing of personal data by the Community institutions and bodies and on the free movement of such data (OJ L 8, 12.1.2001, p. 1).

²⁰ Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data, and repealing Directive 95/46/EC (General Data Protection Regulation) (OJ L 119, 4.5.2016, p. 1).

²⁰ Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data, and repealing Directive 95/46/EC (General Data Protection Regulation) (OJ L 119, 4.5.2016, p. 1).

Text proposed by the Commission

Amendment

(83)  In order to ensure legal certainty, protect the rights of farmers and guarantee a smooth, coherent and efficient functioning of types of interventions in the form of direct payments, the power to adopt certain acts should be delegated to the Commission in respect of rules making the granting of payments conditional upon the use of certified seeds of certain hemp varieties and the procedure for the determination of hemp varieties and the verification of their tetrahydrocannabinol content; rules for good agricultural and environmental condition and certain related elements in respect of the eligibility requirements; and on the content of the declaration and the requirements for the activation of payment entitlements; further rules on eco-schemes; measures to avoid that beneficiaries of coupled income support suffering from structural market imbalances in a sector, including the decision that such support may continue to be paid until 2027 on the basis of the production units for which it was granted in a past reference period; rules and conditions for the authorisation of land and varieties for the purposes of the crop-specific payment for cotton and rules on the conditions for the granting of that payment.

(83)  In order to ensure legal certainty, protect the rights of farmers and guarantee a smooth, coherent and efficient functioning of types of interventions in the form of direct payments, the power to adopt certain acts should be delegated to the Commission in respect of rules making the granting of payments conditional upon the use of certified seeds of certain hemp varieties and the procedure for the determination of hemp varieties and the verification of their tetrahydrocannabinol content; rules for good agricultural and environmental condition and certain related elements in respect of the eligibility requirements establishment of criteria for the determination of equivalent measures and the appropriate requirements applicable to the national or regional certification schemes; establisment of a catalogue of examples of agricultural practives beneficial for the climate, the environment and animal welfare; measures to avoid that beneficiaries of coupled income support suffering from structural market imbalances in a sector, including the decision that such support may continue to be paid until 2027 on the basis of the production units for which it was granted in a past reference period; rules and conditions for the authorisation of land and varieties for the purposes of the crop-specific payment for cotton and rules on the conditions for the granting of that payment.

Text proposed by the Commission

Amendment

(84)  In order to ensure that sectoral types of interventions contribute to the CAP objectives and reinforce synergies with other CAP instruments and in order to ensure a level playing field in the internal market and avoid unequal or unfair competition, the power to adopt certain acts should be delegated to the Commission in respect of criteria for the approval of inter-branch organisations and rules governing the situation where the approved inter-branch organisation does not satisfy such criteria and obligations for producers; rules for the proper functioning of sectoral types of interventions, the basis for the calculation of Union financial assistance, including the reference periods and the calculation of the value of marketed production, and the maximum level of Union financial assistance for market withdrawals; rules for the fixing of a ceiling for expenditure on the replanting of vineyards; and rules under which producers are to withdraw the by-products of winemaking, and on exceptions to that obligation in order to avoid additional administrative burden and rules for the voluntary certification of distillers. In particular, in order to ensure the effective and efficient use of Union funds for interventions in the apiculture sector, the power to adopt certain acts should be delegated to the Commission in respect of additional requirements concerning the notification obligation and the establishment of a minimum Union contribution to the expenditure to implement those types of interventions.

(84)  In order to ensure that sectoral types of interventions contribute to the CAP objectives and reinforce synergies with other CAP instruments and in order to ensure a level playing field in the internal market and avoid unequal or unfair competition, the power to adopt certain acts should be delegated to the Commission in respect of criteria for the approval of inter-branch organisations and rules governing the situation where the approved inter-branch organisation does not satisfy such criteria and obligations for producers; rules for the proper functioning of sectoral types of interventions the basis for the calculation of Union financial assistance, including the reference periods and the calculation of the value of marketed production, and the maximum level of Union financial assistance for market withdrawals; rules for the fixing of a ceiling for expenditure on the replanting of vineyards; rules under which producers are to withdraw the by-products of winemaking, and on exceptions to that obligation in order to avoid additional administrative burden and rules for the voluntary certification of distillers and rules relating to the performance, monitoring and evaluation framework. The Commission should be empowered to adopt delegated acts regarding temprary drogations on conditionality rules during very adverse conditions such as catastrophic events or epidemics. The Commission should also be empowered to determine equivalent practives to agricultural and environmental practives and national or regional environmental certification schemes. In particular, in order to ensure the effective and efficient use of Union funds for interventions in the apiculture sector, the power to adopt certain acts should be delegated to the Commission in respect of additional requirements concerning the notification obligation and the establishment of a minimum Union contribution to the expenditure to implement those types of interventions. With a view to drawing up the CAP strategic plans, the power to adopt certain acts should be delegated to the Commission to set out a code of conduct in the organisation of a partership between the Member State and the cometent regional and local authorithies as well as other partners.

Text proposed by the Commission

Amendment

(85)  In order to ensure legal certainty and to guarantee that interventions for rural development achieve their objectives, the power to adopt certain acts should be delegated to the Commission in respect of support for management commitments, for investments and for cooperation.

(85)  In order to ensure legal certainty and to guarantee that interventions for rural development achieve their objectives, the power to adopt certain acts should be delegated to the Commission in respect of supplementing the minimum and maximum amounts of support for certain types of interventions.

Text proposed by the Commission

Amendment

(86)  In order to amend certain non-essential elements of this Regulation, the power to adopt acts in accordance with Article 290 TFEU should be delegated to the Commission in respect of the Member States’ allocations for types of interventions in the form of direct payments and rules on the content of the CAP Strategic Plan.

(86)  In order to amend certain non-essential elements of this Regulation, the power to adopt acts in accordance with Article 290 TFEU should be delegated to the Commission in respect of the Member States’ allocations for types of interventions in the form of direct payments.

Text proposed by the Commission

Amendment

(87)  In order to ensure uniform conditions for the implementation of this Regulation and to avoid unfair competition or discrimination between farmers, implementing powers should be conferred on the Commission as regards the fixing of reference areas for the support for oilseeds, rules for the authorisation of land and varieties for the purposes of the crop-specific payment for cotton and related notifications, the calculation of the reduction where the eligible area of cotton exceeds the base area, the Union financial assistance for distillation of by-products of wine-making, the annual breakdown by Member State of the total amount of Union support for types of interventions for rural development, rules on the presentation of the elements to be included in the CAP Strategic Plan, rules on the procedure and time limits for the approval of CAP Strategic Plans and the submission and approval of requests for amendment of CAP Strategic Plans, uniform conditions for the application of the information and publicity requirements relating to the possibilities offered by the CAP Strategic Plans, rules relating to the performance, monitoring and evaluation framework, rules for the presentation of the content of the annual performance report, rules on the information to be sent by the Member States for the performance assessment by the Commission and rules on the data needs and synergies between potential data sources, and arrangements to ensure a consistent approach for determining the attribution of the performance bonus to Member States. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council.²² .

(87)  In order to ensure uniform conditions for the implementation of this Regulation and to avoid unfair competition or discrimination between farmers, implementing powers should be conferred on the Commission as regards the fixing of reference areas for the support for oilseeds, rules for the authorisation of land and varieties for the purposes of the crop-specific payment for cotton and related notifications, the calculation of the reduction where the eligible area of cotton exceeds the base area, the Union financial assistance for distillation of by-products of wine-making, the annual breakdown by Member State of the total amount of Union support for types of interventions for rural development, standardised form of the CAP strategic plans, rules on the procedure and time limits for the approval of CAP Strategic Plans and the submission and approval of requests for amendment of CAP Strategic Plans, uniform conditions for the application of the information and publicity requirements relating to the possibilities offered by the CAP Strategic Plans, rules for the presentation of the content of the annual performance report. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council ²².

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²² Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by the Member States of the Commission's exercise of implementing powers (OJ L 55, 28.2.2011, p. 13).

²² Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by the Member States of the Commission's exercise of implementing powers (OJ L 55, 28.2.2011, p. 13)

Text proposed by the Commission

Amendment

(92a)  The Union’s island regions face specific difficulties in carrying out agricultural activities and developing rural areas. An assessment of the impact of the CAP should be carried out in those regions and the idea of extending the measures laid down in Regulation (EU) No 229/2013 of the European Parliament and of the Council to all the island regions in the Union should be explored.

Text proposed by the Commission

Amendment

(93)  In order to ensure legal certainty and continuity, the special provisions for Croatia concerning the gradual introduction of direct payments and complementary national direct payments in the framework of the phasing-in mechanism should continue to apply until 1 January 2021.

(93)  In order to ensure legal certainty and continuity, the special provisions for Croatia concerning the gradual introduction of direct payments and complementary national direct payments in the framework of the phasing-in mechanism should continue to apply. Croatia will be entitled to an amount in accordance with the Accession Treaty in 2022, including an additional envelope for the national reserve for demined land in Croatia, and that right should be included in the calculation of the national envelope for 2022.

Text proposed by the Commission

Amendment

(b)  types of interventions and common requirements for Member States to pursue these objectives as well as the related financial arrangements;

(b)  types of interventions and common requirements for Member States to pursue these objectives by ensuring a level playing field as well as the related financial arrangements;

Text proposed by the Commission

Amendment

(c)  CAP Strategic Plans to be drawn up by Member States, setting targets, defining interventions and allocating financial resources, in line with the specific objectives and identified needs;

(c)  CAP Strategic Plans to be drawn up by Member States, and, where appropriate, in collaboration with their regions, setting targets, defining interventions and allocating financial resources, in line with the specific objectives and identified needs and in accordance with the internal market;

Text proposed by the Commission

Amendment

2.  This Regulation applies to Union support financed by the EAGF and the EAFRD for interventions specified in a CAP Strategic Plan drawn up by the Member States and approved by the Commission, covering the period from 1 January 2021 to 31 December 2027.

2.  This Regulation applies to Union support financed by the EAGF and the EAFRD for interventions specified in a CAP Strategic Plan drawn up by the Member States and approved by the Commission, covering the period from 1 January 2022.

Text proposed by the Commission

Amendment

2.  Chapter III of Title II, Chapter II of Title III and Articles 41 and 43 of Regulation (EU) [CPR] of the European Parliament and of the Council²⁶ shall apply to support financed by the EAFRD under this Regulation.

2.  In order to ensure coherence between the European Structural and Investment funds (ESIF) and the CAP Strategic Plans, Chapter III of Title II, Chapter II of Title III and Articles 41 and 43 of Regulation (EU) [CPR] of the European Parliament and of the Council²⁶ shall apply to support financed by the EAFRD under this Regulation.

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²⁶ Regulation (EU) […/…] of the European Parliament and of the Council of [date] [full tittle] (OJ L ).

²⁶ Regulation (EU) […/…] of the European Parliament and of the Council of [date] [full tittle] (OJ L ).

Text proposed by the Commission

Amendment

(a)  'farmer' means a natural or legal person, or a group of natural or legal persons, regardless of the legal status granted to such group and its members by national law, whose holding is situated within the territorial scope of the Treaties, as defined in Article 52 of the Treaty on European Union (TEU) in conjunction with Articles 349 and 355 of the Treaty on the Functioning of the European Union (TFEU), and who exercises an agricultural activity as defined by Member States;

(a)  'farmer' means a natural or legal person, or a group of natural or legal persons, regardless of the legal status granted to such group and its members by national law, whose holding is situated within the territorial scope of the Treaties, as defined in Article 52 of the Treaty on European Union (TEU) in conjunction with Articles 349 and 355 of the Treaty on the Functioning of the European Union (TFEU), and who exercises an agricultural activity in accordance with good farming practice as defined by Member States;

Text proposed by the Commission

Amendment

(b a)  ‘Public goods’ means goods or services that are not remunerated by the market and deliver environmental and societal outcomes above the statutory environmental, climate, and animal welfare legislation.

Text proposed by the Commission

Amendment

(b b)   ‘European public goods’ means public goods or services that can only be provided effectively at Union level through intervention to ensure coordination between Member States and level playing field on the Union agricultural market. European public goods include in particular water conservation, biodiversity protection, soil fertility protection, protection of pollinators, and animal welfare;

Text proposed by the Commission

Amendment

(e)  'mutual fund' means a scheme accredited by the Member State in accordance with its national law for affiliated farmers to insure themselves, whereby compensation payments are made to affiliated farmers who experience economic losses.

(e)  'mutual fund' means a scheme accredited by the Member State in accordance with its national law for affiliated farmers to make provision against risks and to receive compensation payments in the event of economic losses or a fall in income.

Text proposed by the Commission

Amendment

(i)  a project, contract, action or group of projects selected under the programs concerned;

(i)  a project, contract, action or group of projects selected under the strategic plan concerned;

Text proposed by the Commission

Amendment

(ii)  in the context of financial instruments, a program contribution to a financial instrument and the subsequent financial support provided to final recipients by that financial instrument;

(ii)  in the context of financial instruments, a strategic plan contribution to a financial instrument and the subsequent financial support provided to final recipients by that financial instrument;

Text proposed by the Commission

Amendment

(i)  a public or private law body, an entity with or without legal personality or a natural person, responsible for initiating or both initiating and implementing operations;

(i)  a public or private law body, an entity with or without legal personality, a natural person or a group of natural or legal persons, responsible for initiating or both initiating and implementing operations;

Text proposed by the Commission

Amendment

(ii)  in the context of State aid schemes, the body which receives the aid;

(ii)  in the context of State aid schemes, the entity which receives the aid;

Text proposed by the Commission

Amendment

(i)  'targets' means pre-agreed values to be achieved at the end of the period in relation to the result indicators included under a specific objective;

(i)  'targets' means pre-agreed values to be achieved by the end of the period of the CAP Strategic Plan in relation to the result indicators included under a specific objective;

Text proposed by the Commission

Amendment

(j)  'milestones' means intermediate targets to be achieved at a given point in time during the CAP Strategic Plan period in relation to the indicators included under a specific objective.

(j)  'milestones' means intermediate targets to be achieved by a Member State at a given point in time during the CAP Strategic Plan period to ensure timely progress in relation to the results indicators included under a specific objective.

Text proposed by the Commission

Amendment

1.  Member States shall provide in their CAP Strategic Plan the definitions of agricultural activity, agricultural area, eligible hectare, genuine farmer and young farmer:

1.  Member States shall provide in their CAP Strategic Plan the definitions of agricultural activity, agricultural area, eligible hectare, active farmer and young farmer and new farmer:

Text proposed by the Commission

Amendment

(b)  'agricultural area' shall be defined in a way that it is composed of arable land, permanent crops and permanent grassland. The terms 'arable land', 'permanent crops' and 'permanent grassland' shall be further specified by Member States within the following framework:

(b)  'agricultural area' shall be defined in a way that it is composed of arable land, permanent crops and permanent grassland and agroforestry systems. Landscape features shall be included as components of the agricultural area. The terms 'arable land', 'permanent crops' and 'permanent grassland' and 'agroforestry systems' shall be further specified by Member States within the following framework:

Text proposed by the Commission

Amendment

(i)  'arable land' shall be land cultivated for crop production or areas available for crop production but lying fallow, and include areas set aside in accordance with Articles 22, 23 and 24 of Council Regulation (EC) No 1257/1999²⁸ , with Article 39 of Council Regulation (EC) No 1698/2005²⁹ , with Article 28 of Regulation (EU) No 1305/2013 or with Article 65 of this Regulation;

(i)  'arable land' shall be land cultivated for crop production or areas available for crop production but lying fallow, and it may include a combination of crops with trees and/or shrubs to form a silvoarable agroforestry system, and include areas set aside in accordance with Articles 22, 23 and 24 of Council Regulation (EC) No 1257/1999²⁸ , with Article 39 of Council Regulation (EC) No 1698/2005²⁹ , with Article 28 of Regulation (EU) No 1305/2013 or with Article 65 of this Regulation;

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²⁸ Council Regulation (EC) No 1257/1999 of 17 May 1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund (EAGGF) and amending and repealing certain Regulations (OJ L 160, 26.6.1999, p. 80).

²⁸ Council Regulation (EC) No 1257/1999 of 17 May 1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund (EAGGF) and amending and repealing certain Regulations (OJ L 160, 26.6.1999, p. 80).

²⁹ Council Regulation (EC) No 1698/2005 of 20 September 2005 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) (OJ L 277, 21.10.2005, p. 1).

²⁹ Council Regulation (EC) No 1698/2005 of 20 September 2005 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) (OJ L 277, 21.10.2005, p. 1).

Text proposed by the Commission

Amendment

(iii)  'permanent grassland and permanent pasture' (together referred to as 'permanent grassland') shall be land not included in the crop rotation of the holding for five years or more, used to grow grasses or other herbaceous forage naturally (self-seeded) or through cultivation (sown). It may include other species such as shrubs and/or trees which can be grazed or produce animal feed;

(iii)  'permanent grassland and permanent pasture' (together referred to as 'permanent grassland') means land used to grow grasses or other herbaceous forage naturally (self-seeded) or through cultivation (sown) and that has not been included in the crop rotation of the holding for seven years or more, as well as, where Member States so decide, that has not been ploughed up for five years or more; it may include other species such as shrubs and/or trees which can be grazed or and, where Member States so decide, other species such as shrubs and/or trees which produce animal feed, provided that the grasses and other herbaceous forage remain predominant. Member States may also decide to consider as permanent grassland:

(i) land which can be grazed and which forms part of established local practices where grasses and other herbaceous forage are traditionally not predominant in grazing areas; and/or

(ii) land which can be grazed where grasses and other herbaceous forage are not predominant or are absent in grazing areas;

Text proposed by the Commission

Amendment

(iiia)  'agroforestry systems'means land use systems in which trees are grown on the same land as where agricultural practices are carried out;

Text proposed by the Commission

Amendment

(c)  for the purpose of types of interventions in the form of direct payments, 'eligible hectare' shall be defined in a way that it includes any agricultural area of the holding:

(c)  for the purpose of types of interventions in the form of direct payments, 'eligible hectare' shall be defined in a way that it includes any agricultural area of the holding, including mobile or stationary temporary technical installations, in particular internal farm tracks and water troughs, as well as silage bales and rewetted areas used for paludiculture:

Text proposed by the Commission

Amendment

(i)  that, during the year for which support is requested, is used for an agricultural activity or, where the area is also used for non-agricultural activities, is predominantly used for agricultural activities, and which is at the farmer's disposal. Where duly justified for environmental reasons, eligible hectares may also include certain areas used for agricultural activities only every second year.

(i)  that, during the year for which support is requested, is used for an agricultural activity or, where the area is also used for non-agricultural activities, is predominantly used for agricultural activities, and which is at the farmer's disposal. Where duly justified for environmental reasons, eligible hectares may also include certain areas used for agricultural activities only every third year.

Text proposed by the Commission

Amendment

Areas used for the production of hemp shall only be eligible hectares if the varieties used have a tetrahydrocannabinol content not exceeding 0,2 %;

Areas used for the production of hemp shall only be eligible hectares if the varieties used have a tetrahydrocannabinol content not exceeding 0,3%;

Text proposed by the Commission

Amendment

(d)  'genuine farmers' shall be defined in a way to ensure that no support is granted to those whose agricultural activity forms only an insignificant part of their overall economic activities or whose principal business activity is not agricultural, while not precluding from support pluri-active farmers. The definition shall allow to determine which farmers are not considered genuine farmers, based on conditions such as income tests, labour inputs on the farm, company object and/or inclusion in registers.

(d)  'active farmers' shall be defined by Member States in such a way as to ensure that no support is granted to those whose agricultural activity forms only an insignificant part of their overall economic activities, while not precluding from support pluri-active farmers. The definition shall, in any event, preserve the family farming model of the Union of an individual or group nature, irrespective of its size, and may take into account, if necessary, the special features of the regions defined in Article 349 TFEU. Member States may exclude from these definition individuals or companies carrying out large scale processing of agricultural producs, with the exception of groups of farmers.

Text proposed by the Commission

Amendment

(e)  'young farmer' shall be defined in a way that it includes:

(e)  'young farmer' shall be defined in a way that it includes an age limit of 40 years old and:

Text proposed by the Commission

Amendment

(i)  a maximum age limit that may not exceed 40 years;

deleted

Text proposed by the Commission

Amendment

(iii)  the appropriate training and/or skills required.

(iii)  the appropriate training and/or skills.

Text proposed by the Commission

Amendment

When evaluating compliance with the conditions for being head of the holding, Member States shall take into account the specificities of partnership arrangements.

Text proposed by the Commission

Amendment

(e a)  'new farmer' shall be defined in such a way that includes:

(i) the conditions for being 'head of the holding';

(ii) the appropriate training and/or skills;

(iii) an age limit over 40 years old.

A 'new farmer' under this definition shall not be recognised as a 'young farmer' as defined in point (e).

Text proposed by the Commission

Amendment

(2)  The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation with rules making the granting of payments conditional upon the use of certified seeds of certain hemp varieties and the procedure for the determination of hemp varieties and the verification of their tetrahydrocannabinol content referred to in point (c) of paragraph 1 to preserve public health.

(2)  The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation with rules making the granting of payments conditional upon the use of certified seeds of certain hemp varieties and the procedure for the determination of hemp varieties and the verification of their tetrahydrocannabinol content referred to in point (c) of paragraph 1 of this Article to preserve public health.

Text proposed by the Commission

Amendment

Support from the EAGF and EAFRD shall aim to further improve the sustainable development of farming, food and rural areas and shall contribute to achieving the following general objectives:

In conjunction with the objectives of the CAP set out in Article 39 TFEU, support from the EAGF and EAFRD shall aim to further improve the sustainable development of farming, food and rural areas and shall contribute to achieving the following general objectives in the economic, environmental and social spheres:

Text proposed by the Commission

Amendment

(a)  to foster a smart, resilient and diversified agricultural sector ensuring food security;

(a)  to foster a modern, competitive, resilient and diversified agricultural sector ensuring long term food security while safeguarding the family farm model;

Text proposed by the Commission

Amendment

(b)  to bolster environmental care and climate action and to contribute to the environmental- and climate-related objectives of the Union;

(b)  to support and improve environmental protection, biodiversity and climate action and to contribute to the environmental- and climate-related objectives of the Union;

Text proposed by the Commission

Amendment

(c)  to strengthen the socio-economic fabric of rural areas.

(c)  to strengthen the socio-economic fabric of rural areas, in order to contribute to the creation and maintenance of employment, by guaranteeing a viable income for farmers, pursuing a fair standard of living for the entire agricultural population and tackling rural depopulation, with a particular focus on the less populated and the less developed regions, and balanced territorial development.

Text proposed by the Commission

Amendment

Those objectives shall be complemented by the cross-cutting objective of modernising the sector by fostering and sharing of knowledge, innovation and digitalisation in agriculture and rural areas, and encouraging their uptake.

Those objectives shall be complemented and interconnected with by the cross-cutting objective of modernising the sector by ensuring that farmers have access to research, training and sharing of knowledge and knowledge transfer services, innovation and digitalisation in agriculture and rural areas, and encouraging their uptake.

Text proposed by the Commission

Amendment

(a)  support viable farm income and resilience across the Union to enhance food security;

(a)  ensure viable farm income and resilience of the agricultural sector across the Union to enhance long-term food security and agricultural diversity, while providing safe and high quality food at fair prices with the aim of reversing the decline in the number of farmers and ensuring the economic sustainability of agricultural production in the Union;

Text proposed by the Commission

Amendment

(b)  enhance market orientation and increase competitiveness, including greater focus on research, technology and digitalisation;

(b)  enhance market orientation, in local, national, Union as well as international markets, as well as market stabilisation, risk and crisis management, and increase long term farm competitiveness, processing and marketing capabilities of agricultural products, with greater focus on quality differentiation, research, innovation, technology, knowledge transfer and exchange and digitalisation, and facilitating the access of farmers to circular economy dynamics;

Text proposed by the Commission

Amendment

(c)  improve the farmers' position in the value chain;

(c)  improve the farmers' bargaining position in the value chains by encouraging associative forms, producer organisations and collective negotiations, as well as promoting short supply chains and improving market transparency;

Text proposed by the Commission

Amendment

(d)  contribute to climate change mitigation and adaptation, as well as sustainable energy;

(d)  contribute to climate change mitigation and adaptation to global warming, as well as favouring the incorporation of sustainable energy while ensuring food security in the future, by reducing the greenhouse gas emissions of the agricultural and food sector, including through soil carbon sequestration and the protection of forests, in accordance with the relevant international agreements;

Text proposed by the Commission

Amendment

(e)  foster sustainable development and efficient management of natural resources such as water, soil and air;

(e)  foster sustainable development and efficient management of natural resources, such as water, soil and air, while reducing chemical dependency with the aim of reaching the goals provided for in the relevant legislative instruments and rewarding farming practices and systems that deliver multiple environmental benefits including the halting of desertification;

Text proposed by the Commission

Amendment

(f)  contribute to the protection of biodiversity, enhance ecosystem services and preserve habitats and landscapes;

(f)  contribute to reversing the decline of biodiversity, including by protecting beneficial fauna, including pollinator species, promoting agrobiodiversity, environmental services, nature conservation and agroforestry, as well as contributing preventing natural risk and achieving greater resilience, restoring and preserving soils, water bodies, habitats and landscapes, and supporting High Nature Value (HNV) farming systems;

Text proposed by the Commission

Amendment

(g)  attract young farmers and facilitate business development in rural areas;

(g)  attract and support young farmers, new farmers, and promoting the participation of women in the agricultural sector, particularly in the most depopulated areas and areas with natural constrains; facilitate training and experience across the Union, sustainable business development and job creation in rural areas;

Text proposed by the Commission

Amendment

(h)  promote employment, growth, social inclusion and local development in rural areas, including bio-economy and sustainable forestry;

(h)  promote social and territorial cohesion in rural areas including through employment creation, growth, investment, social inclusion, combatting rural poverty and through local development, including high quality local services for rural communities, focusing in particular on areas with natural constraints; promoting decent living, working and economic conditions; diversification of activities and income, including agri-tourism, bio-economy, circular economy, and sustainable forestry, while ensuring gender equality; promoting equal opportunities in rural areas through specific support measures, and recognition of women's work in agriculture, crafts, tourism and local services;

Text proposed by the Commission

Amendment

(i)  improve the response of EU agriculture to societal demands on food and health, including safe, nutritious and sustainable food, food waste, as well as animal welfare.

(i)  improve the response of EU agriculture to societal demands on food and health, including safe, nutritious, high quality and sustainable food, organic agriculture, food waste, as well as environmental sustainability, antimicrobial resistance and improving animal health and welfare, as well as increasing social awareness of the importance of agriculture and rural areas while contributing to the implementation of the 2030 Agenda for Sustainable Development.

Text proposed by the Commission

Amendment

2.  When pursuing the specific objectives Member States shall ensure simplification and performance of the CAP support.

2.  With a view to achieving specific objectives, Member States and the Commission shall ensure the performance of CAP support and simplification for final beneficiaries by reducing the administrative burden while ensuring non-discrimination among beneficiaries.

Text proposed by the Commission

Amendment

Achievement of the objectives referred to in Articles 5 and 6(1) shall be assessed on the basis of common indicators related to output, result and impact. The set of common indicators shall include:

Achievement of the objectives referred to in Articles 5 and 6(1) shall be assessed on the basis of common indicators related to output, result and impact and shall be based on official sources of information. The set of common indicators shall include:

Text proposed by the Commission

Amendment

(b)  result indicators relating to the specific objectives concerned and used for the establishment of quantified milestones and targets in relation to those specific objectives in the CAP Strategic Plans and assessing progress towards the targets. The indicators relating to environment- and climate-specific objectives may cover interventions included in relevant national environmental and climate-planning instruments emanating from the Union legislation listed in Annex XI;

(b)  result indicators relating to the specific objectives concerned and used for the establishment of quantified milestones and targets in relation to those specific objectives in the CAP Strategic Plans and assessing progress towards the targets. The indicators relating to environment- and climate-specific objectives may cover interventions which contribute to the commitments emanating from the Union legislation listed in Annex XI;

Text proposed by the Commission

Amendment

(c)  impact indicators related to the objectives set out in Articles 5 and 6(1) and used in the context of the CAP Strategic Plans and of the CAP.

(c)  impact indicators related to the objectives set out in Articles 5 and 6(1) and used in the context of the Strategic Plans of CAP, taking into account external factors beyond the CAP.

Text proposed by the Commission

Amendment

Member States may break down the output indicators and result indicators laid down in Annex I into more detail in relation to particular national and regional features in their Strategic Plans.

Text proposed by the Commission

Amendment

2.  The Commission is empowered to adopt delegated acts in accordance with Article 138 amending Annex I to adapt the common output, result and impact indicators to take into account the experience with their application and, where needed, to add new indicators.

2.  The Commission shall carry out a full assessment on the effectiveness of the output, result and impact indicators laid down in Annex I by the end of the third year of application of the Strategic Plans.

Following that assessment, the Commission is empowered to adopt delegated acts, in accordance with Article 138, amending Annex I to adapt, if necessary, the common indicators taking into account the experience gained during the policy implementation of this Regulation.

Text proposed by the Commission

Amendment

Member States shall pursue the objectives set out in Title II by specifying interventions based on the types of interventions set out in Chapters II, III and IV of this Title in accordance with the common requirements set out in this Chapter.

Member States, and, where applicable, their regions, shall pursue the objectives set out in Title II by specifying interventions based on the types of interventions set out in Chapters II, III and IV of this Title in accordance with the common requirements set out in this Chapter.

Text proposed by the Commission

Amendment

Member States shall design the interventions of their CAP Strategic Plans in accordance with the Charter of Fundamental Rights of the European Union and the general principles of Union law.

Member States shall design, in collaboration, where applicable, with their regions, the interventions of their CAP Strategic Plans in accordance with the Charter of Fundamental Rights of the European Union and the general principles of Union law.

Text proposed by the Commission

Amendment

Member States shall ensure that interventions are set out on the basis of objective and non-discriminatory criteria, are compatible with the internal market and do not distort competition.

Member States in collaboration, where applicable, with their regions, shall ensure that interventions are set out on the basis of objective and non-discriminatory criteria, and do not hinder the proper functioning of the internal market.

Text proposed by the Commission

Amendment

Member States shall establish the legal framework governing the granting of Union support to beneficiaries on the basis of the CAP Strategic Plan and in accordance with the principles and requirements set out in this Regulation and Regulation (EU) [HzR].

Member States in collaboration, where applicable, with their regions, shall establish the legal framework governing the granting of Union support to beneficiaries on the basis of the CAP Strategic Plan and in accordance with the principles and requirements set out in this Regulation and Regulation (EU) [HzR].

Text proposed by the Commission

Amendment

Article 9a

Integration of a gender perspective

Member States shall ensure the integration of a gender perspective throughout the preparation, implementation and evaluation of their CAP Strategic Plans, with the aim of promoting gender equality and combating gender discrimination.

Text proposed by the Commission

Amendment

-1.  The Commission shall ensure that the Member States’ Strategic Plans comply with the World Trade Organisation (WTO) commitments.

Text proposed by the Commission

Amendment

Member States shall ensure that the interventions based on the types of interventions which are listed in Annex II to this Regulation, including the definitions set out in Article 3 and the definitions to be formulated in the CAP Strategic Plans set out in Article 4, respect the provisions of paragraph 1 of Annex 2 to the WTO Agreement on Agriculture.

Interventions based on the types of interventions which are listed in Annex II to this Regulation, including the definitions set out in Article 3 and the definitions to be formulated in the CAP Strategic Plans set out in Article 4, shall respect the provisions of paragraph 1 of Annex 2 to the WTO Agreement on Agriculture.

Text proposed by the Commission

Amendment

2.  Member States shall ensure that the interventions based on the crop-specific payment for cotton provided for in Subsection 2 of Section 3 of Chapter II of this Title respect the provisions of Article 6(5) of the WTO Agreement on Agriculture.

deleted

Text proposed by the Commission

Amendment

1.  Member States shall include in their CAP Strategic Plans a system of conditionality, under which an administrative penalty shall be imposed on beneficiaries receiving direct payments under Chapter II of this Title or the annual premia under Articles 65, 66 and 67 who do not comply with the statutory management requirements under Union law and the standards for good agricultural and environmental condition of land established in the CAP Strategic Plan, as listed in Annex III, relating to the following specific areas:

1.  Member States shall include in their CAP Strategic Plans a system of conditionality, which corresponds to statutory management requirements under Union law and the standards for good agricultural and environmental condition of land, as listed in Annex III, established in the CAP Strategic Plan, relating to the following specific areas:

Text proposed by the Commission

Amendment

(a)  the climate and the environment;

(a)  the climate and the environment, including water quality, soil conservation and biodiversity;

Text proposed by the Commission

Amendment

2.  The rules on the administrative penalties to be included in the CAP Strategic Plan shall respect the requirements set out in Chapter IV of Title IV of Regulation (EU) [HzR].

2.  The rules on an effective system of administrative penalties, as laid down in Chapter IV of Title IV of Regulation (EU) [HzR], shall apply to all beneficiaries receiving direct payments under Chapter II of this Title or annual premiums under Articles 65, 66 and 67 when they do not comply with the conditionality rules set out paragraph 1 of this Article.

Text proposed by the Commission

Amendment

2 a.  The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation regarding temporary derogations on conditionality rules during disease epidemics, adverse climate events, catastrophic events or natural disasters.

Text proposed by the Commission

Amendment

1.  Member States shall ensure that all agricultural areas including land which is no longer used for production purposes, is maintained in good agricultural and environmental condition. Member States shall define, at national or regional level, minimum standards for beneficiaries for good agricultural and environmental condition of land in line with the main objective of the standards as referred to in Annex III, taking into account the specific characteristics of the areas concerned, including soil and climatic condition, existing farming systems, land use, crop rotation, farming practices, and farm structures.

1.  Member States shall ensure that all agricultural areas, including land which is no longer used for production purposes, is maintained in good agricultural and environmental condition. Member States shall define, in consultation with relevant stakeholders at national or, where appropriate, at regional level, minimum standards for beneficiaries good agricultural and environmental condition of land in line with the main objective of the standards as referred to in Annex III, to the extent applicable, taking into account the specific characteristics of the areas concerned, including soil, water, and climatic condition, specific agronomic and ecological characteristics of different productions, differences between annual crops, permanent crops and other specialised productions, existing farming systems, land use, crop rotation, farming local and traditional practices, and farm structures, by ensuring the land contributes to the specific objectives set out in points (d), (e) and (f) of Article 6(1).

Text proposed by the Commission

Amendment

2.  In respect of the main objectives laid down in Annex III Member States may prescribe standards additional to those laid down in that Annex against those main objectives. However, Member States shall not define minimum standards for main objectives other than the main objectives laid down in Annex III.

2.  In order to protect the commonality of the CAP and to ensure a level playing field, and respect of the main objectives laid down in Annex III Member States shall not prescribe standards additional to those laid down in that Annex against those main objectives, within the system of conditionality. In addition, Member States shall not define minimum standards for main objectives other than the main objectives laid down in Annex III.

Text proposed by the Commission

Amendment

3.  Member States shall establish a system for providing the Farm Sustainability Tool for Nutrients referred to in Annex III, with the minimum content and functionalities defined therein, to beneficiaries, who shall use the Tool.

deleted

The Commission may support the Member States with the design of that Tool and with data storage and processing services requirements.

Text proposed by the Commission

Amendment

3a.  Member States may approve practices equivalent to those specified in paragraph 1, to be determined in accordance with the criteria established through delegated act, as provided for in paragraph 4, provided that they yield an equivalent or higher level of benefit for the climate and environment to that of one or more of the practices to which paragraph 1 refers. Such equivalent practices shall include:

(a) commitments undertaken in accordance with Article 65 or Article 28(2) of Regulation (EU) No 1305/2013;

(b) commitments undertaken in accordance with Article 28 of this Regulation;

(c) national or regional environmental certification schemes, including those for the certification of compliance with national environmental legislation, going beyond the mandatory standards established pursuant to Annex III to this Regulation, which aim to meet objectives relating to soil and water quality, biodiversity, landscape preservation, and climate change mitigation and adaptation.

Text proposed by the Commission

Amendment

3b.  Farmers satisfying the requirements laid down in Regulation (EU) No 2018/848 on organic agriculture shall, in doing so, be deemed to comply with rules 1, 8 and 9 on standards for good agricultural and environmental condition of land (GAEC) as laid down in Annex III to this Regulation.

Text proposed by the Commission

Amendment

3c.  The outermost regions of the Union, defined pursuant to Article 349 TFEU and the smaller Aegean islands as defined in Article 1(2) of Regulation (EU) No 229/2013, shall be exempt from the standards of good agricultural and environmental condition of lands requirements 1, 2, 8 and 9, as laid down in Annex III to this Regulation.

Text proposed by the Commission

Amendment

3d.  Member States shall provide the beneficiaries concerned, where appropriate by the use of electronic means, with the list of the requirements and standards to be applied at farm level, as well as clear and precise information thereon.

Text proposed by the Commission

Amendment

4.  The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation with rules for good agricultural and environmental condition, including establishing the elements of the system of the ratio of permanent grassland, the year of reference and the rate of conversion under GAEC 1 as referred to in Annex III, the format and additional minimum elements and functionalities of the Farm Sustainability Tool for Nutrients.

4.  The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation with rules in relation to:

(a) further elements of the system of the ratio of permanent grassland and the rate of conversion under GAEC 1 as referred in Annex III;

(b) criteria for the determination of equivalent measures;

(c) rules laying down the appropriate requirements applicable to the national or regional certification schemes referred to in point (c) of paragraph 3a, including the level of guarantee offered by those schemes.

Text proposed by the Commission

Amendment

1.  Member States shall include in the CAP Strategic Plan a system providing services for advising farmers and other beneficiaries of CAP support on land management and farm management ('farm advisory services').

1.  Member States shall include in the CAP Strategic Plan a system providing quality and independent services for advising farmers and other beneficiaries of CAP support on land management and farm management ('farm advisory services') which, when appropriate, shall build upon any already existing systems at Member States level. Member States shall allocate an appropriate budget for the funding of those services and a brief description of those services shall be included in the national CAP Strategic Plans.

Text proposed by the Commission

Amendment

2.  The farm advisory services shall cover economic, environmental and social dimensions and deliver up to date technological and scientific information developed by research and innovation. They shall be integrated within the interrelated services of farm advisors, researchers, farmer organisations and other relevant stakeholders that form the Agricultural Knowledge and Innovation Systems (AKIS).

2.  The farm advisory services shall cover economic, environmental and social dimensions and deliver up to date technological and scientific information developed by research and innovation, taking account of traditional farming practices and techniques. They shall be integrated within the interrelated services of farm advisory networks, researchers, farmer organisations, cooperatives and other relevant stakeholders that form the Agricultural Knowledge and Innovation Systems (AKIS).

Text proposed by the Commission

Amendment

3.  Member States shall ensure that the farm advice given is impartial and that advisors have no conflict of interest.

3.  Member States shall ensure that the farm advice given is impartial, adapted to the whole range of means of production and farms and that advisors have no conflict of interest .

Text proposed by the Commission

Amendment

3a.  Member States shall ensure that farm advisory services are equipped to provide advice on both production and the provision of public goods.

Text proposed by the Commission

Amendment

4.  The farm advisory services shall cover at least the following:

4.  The farm advisory services established by the Member State shall cover at least the following:

Text proposed by the Commission

Amendment

(a)  all requirements, conditions and management commitments applying to farmers and other beneficiaries set in the CAP Strategic Plan, including requirements and standards under conditionality and conditions for support schemes as well as information on financial instruments and business plans established under the CAP Strategic Plan;

(a)  all requirements, conditions and management commitments applying to farmers and other beneficiaries set in the CAP Strategic Plan, including requirements and standards under conditionality, eco-schemes, environmental, climate and other management commitments under Article 65 and conditions for support schemes as well as information on financial instruments and business plans established under the CAP Strategic Plan;

Text proposed by the Commission

Amendment

(d)  risk management as referred to in Article 70;

(d)  risk prevention and management;

Text proposed by the Commission

Amendment

(fa)  techniques to optimise the economic performance of production systems, the improvement of competitiveness, market orientation, short supply chains and the promotion of entrepreneurship;

Text proposed by the Commission

Amendment

(fb)  specific advice for farmers setting up for the first time;

Text proposed by the Commission

Amendment

(fc)  safety standards and well-being in farming communities;

Text proposed by the Commission

Amendment

(fd)  the sustainable management of nutrients;

Text proposed by the Commission

Amendment

(fe)  improvement of agro ecological and agroforestry practices and techniques on both agricultural and forest lands;

Text proposed by the Commission

Amendment

(ff)  concentration on producer organisations and other farmer groups;

Text proposed by the Commission

Amendment

(fg)  assistance to farmers who wish to change production, in particular due to changes in consumer demand, with advice concerning the new skills and equipment required;

Text proposed by the Commission

Amendment

(fh)  land mobility and succession planning services;

Text proposed by the Commission

Amendment

(fi)  all agricultural practices which make it possible to reduce the use of fertilisers and plant protection products by promoting natural methods of soil fertility improvement and pest control; and

Text proposed by the Commission

Amendment

(fj)  improving resilience and adapting to climate change.

Text proposed by the Commission

Amendment

4a.  Without prejudice to national law and other relevant provisions of Union law, persons and entities in charge of advisory services shall not disclose to any person other than the advised farmer or beneficiary any personal or business information or data relating to the farmer or beneficiary in question, which has been acquired in the course of their advisory assignment, with the exception of infringements subject to mandatory reporting to public authorities under national or Union law.

Text proposed by the Commission

Amendment

4b.  Member States shall also ensure by means of appropriate public procedure that advisors working within the farm advisory system are suitably qualified and regularly trained.

Text proposed by the Commission

Amendment

(d)  the schemes for the climate and the environment.

(d)  the schemes for the climate, the environment and animal welfare; and

Text proposed by the Commission

Amendment

(da)  the schemes for boosting competitiveness;

Text proposed by the Commission

Amendment

1.  Member States shall reduce the amount of direct payments to be granted to a farmer pursuant to this Chapter for a given calendar year exceeding EUR 60 000 as follows:

1.  Member States shall reduce the amount of direct payments to be granted to a farmer pursuant to this Chapter for a given calendar year where that amount exceeds a threshold of EUR 100 000.

(a)  by at least 25 % for the tranche between EUR 60 000 and EUR 75 000;

(b)  by at least 50 % for the tranche between EUR 75 000 and EUR 90 000;

(c)  by at least 75 % for the tranche between EUR 90 000 and EUR 100 000;

(d)  by 100 % for the amount exceeding EUR 100 000.

Text proposed by the Commission

Amendment

Before applying paragraph 1, Member States shall subtract from the amount of direct payments to be granted to a farmer pursuant to this Chapter in a given calendar year:

Before applying paragraph 1, Member States may subtract from the amount of direct payments to be granted to a farmer pursuant to this Chapter in a given calendar year:

Text proposed by the Commission

Amendment

(a)  the salaries linked to an agricultural activity declared by the farmer, including taxes and social contributions related to employment; and

(a)  50% of the salaries linked to an agricultural activity declared by the farmer, including taxes and social contributions related to employment;

Text proposed by the Commission

Amendment

(b)  the equivalent cost of regular and unpaid labour linked to an agricultural activity practiced by persons working on the farm concerned who do not receive a salary, or who receive less remuneration than the amount normally paid for the services rendered, but are rewarded through the economic result of the farm business.

deleted

Text proposed by the Commission

Amendment

(ba)  the direct support referred to in Articles 27 and 28;

Text proposed by the Commission

Amendment

To calculate the amounts referred to in points a) and b), Member States shall use the average standard salaries linked to an agricultural activity at national or regional level multiplied by the number of annual work units declared by the farmer concerned.

To calculate the amounts referred to in points (a), Member States shall use the actual salary costs or the average standard salaries linked to an agricultural and related activity at national or regional level multiplied by the number of annual work units declared by the farmer concerned. Member States may use indicators on standard salary costs associated with various types of farm or reference data on employment generation by farm type.

Text proposed by the Commission

Amendment

The estimated product of the reduction of payments shall primarily be used to contribute to the financing of the complementary redistributive income support for sustainability and thereafter of other interventions belonging to decoupled direct payments.

The estimated product of the reduction of payments shall be prioritised to finance the complementary redistributive income support for sustainability and thereafter of other interventions belonging to decoupled direct payments.

Text proposed by the Commission

Amendment

Member States may also use all or part of the product to finance types of interventions under the EAFRD as specified in Chapter IV by means of a transfer. Such transfer to the EAFRD shall be part of the CAP Strategic Plan financial tables and may be reviewed in 2023 in accordance with Article 90. It shall not be subject to the maximum limits for the transfers of funds from the EAGF to the EAFRD established under Article 90.

Member States may also use all or part of the product to finance types of interventions under the EAFRD as specified in Chapter IV by means of a transfer. Such transfer to the EAFRD shall be part of the CAP Strategic Plan financial tables and may be reviewed in 2024 in accordance with Article 90.

Text proposed by the Commission

Amendment

3a.  In the case of a legal person, or a group of natural or legal persons, Member States may apply the reduction referred to in paragraph 1 at the level of the members of those legal persons or groups where national law provides for the individual members to assume rights and obligations comparable to those of individual farmers who have the status of a head of holding, in particular as regards their economic, social and tax status, provided that they have contributed to strengthening the agricultural structures of the legal persons or groups concerned.

Text proposed by the Commission

Amendment

3b.  Where a Member State grants complementary redistributive income support to farmers under Article 26 and to that end uses at least 10% of its allocation for direct payments laid down in Annex IV, it may decide to waive the application of this Article.

Text proposed by the Commission

Amendment

3c.  No advantage consisting of avoiding reductions of the payment shall be granted in favour of farmers in respect of whom it is established that they artificially created the conditions to avoid the effects of this Article.

Text proposed by the Commission

Amendment

4.  The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation with rules establishing a harmonised basis for calculation for the reduction of payments laid down in paragraph 1 to ensure a correct distribution of the funds to the entitled beneficiaries.

deleted

Text proposed by the Commission

Amendment

1.  Member States shall grant decoupled direct payments under the conditions set out in this Section and as further specified in their CAP Strategic Plans.

1.  Member States shall grant decoupled direct payments to active farmers under the conditions set out in this Section and as further specified in their CAP Strategic Plans.

Text proposed by the Commission

Amendment

Member States shall set an area threshold and only grant decoupled direct payments to genuine farmers whose eligible area of the holding for which decoupled direct payments are claimed goes beyond this area threshold.

Member States shall set an area threshold and/or a minimum limit for direct payments and only grant direct payments to active farmers whose direct payment areas and/or volumes equal or exceed those thresholds.

Text proposed by the Commission

Amendment

When setting the area threshold, Member States shall aim at ensuring that decoupled direct payments may only be granted to genuine farmers if:

When setting the area threshold or minimum limit for payments, Member States shall aim at ensuring that direct payments may only be granted to active farmers if:

Text proposed by the Commission

Amendment

(a)  the management of the corresponding payments does not cause excessive administrative burden, and

(a)  the management of the corresponding payments equalling or exceeding those thresholds does not cause excessive administrative burden, and

Text proposed by the Commission

Amendment

(b)  the corresponding amounts make an effective contribution to the objectives set out in Article 6(1) to which decoupled direct payments contribute.

(b)  the amounts received above the threshold established make an effective contribution to the objectives set out in Article 6(1) to which decoupled direct payments contribute.

Text proposed by the Commission

Amendment

3.  The Member States concerned may decide not to apply paragraph 1 to the outermost regions and to the smaller Aegean Islands.

3.  The Member States concerned may decide not to apply this Article to the outermost regions and to the smaller Aegean Islands and to the Balearic Islands archipelago.

Text proposed by the Commission

Amendment

2a.  In specific situations where, owing to the nature of the farming system, farmers do not have land but have been granted aid in the form of the basic payment at the entry into force of this regulation, basic income support shall be an amount per holding.

Text proposed by the Commission

Amendment

3.  Without prejudice to Articles 19 to 24, the basic income support shall be granted for each eligible hectare declared by a genuine farmer.

3.  Without prejudice to Articles 19 to 24, the basic income support shall be granted for each eligible hectare declared by an active farmer.

Text proposed by the Commission

Amendment

2.  Member States may decide to differentiate the amount of the basic income support per hectare amongst different groups of territories faced with similar socio-economic or agronomic conditions.

2.  Member States may decide to differentiate the amount per hectare of income support according to different groups of areas in accordance with socio-economic, environmental or agronomic conditions. Member States may decide to increase the amounts for regions with natural or area-specific handicaps, and depopulated areas.

Text proposed by the Commission

Amendment

2a.  Member States may lay down mechanisms that restrict the number of national eligible hectares that can benefit from support, on the basis of a reference period decided by the Member State.

Text proposed by the Commission

Amendment

2.  Where Member States having applied the basic payment scheme as laid down in Section 1 of Chapter I of Title III of Regulation (EU) No 1307/2013 decide not to grant the basic income support based on payment entitlements, the payment entitlements allocated under Regulation (EU) No 1307/2013 shall expire on 31 December 2020.

2.  Where Member States having applied the basic payment scheme as laid down in Section 1 of Chapter I of Title III of Regulation (EU) No 1307/2013 decide not to grant the basic income support based on payment entitlements, the payment entitlements allocated under Regulation (EU) No 1307/2013 shall expire on 31 December 2022. Member States which have already completed the internal adjustment process of the payment entitlements may decide to waive the payment entitlements earlier.

Text proposed by the Commission

Amendment

1.  Member States shall determine the unit value of payment entitlements before convergence in accordance with this Article by adjusting the value of payment entitlements proportionally to their value as established in accordance with Regulation (EU) No 1307/2013 for claim year 2020 and the related payment for agricultural practices beneficial for the climate and environment provided for in Chapter III of Title III of that Regulation for claim year 2020.

1.  Member States shall determine the unit value of payment entitlements before convergence in accordance with this Article by adjusting the value of payment entitlements proportionally to their value as established in accordance with Regulation (EU) No 1307/2013 for claim year 2021 and the related payment for agricultural practices beneficial for the climate and environment provided for in Chapter III of Title III of that Regulation for claim year 2021.

Text proposed by the Commission

Amendment

4.  Where the value of payment entitlements as determined in accordance with paragraph 1 is not uniform within a Member State or within a group of territories as defined in accordance with Article 18(2), Member States shall ensure a convergence of the value of payment entitlements towards a uniform unit value by claim year 2026 at the latest.

4.  Where the value of payment entitlements as determined in accordance with paragraph 1 is not uniform within a Member State or within a group of territories as defined in accordance with Article 18(2), Member States shall ensure a full convergence of the value of payment entitlements towards a uniform unit value by claim year 2026 at the latest.

Text proposed by the Commission

Amendment

5.  For the purposes of paragraph 4, Member States shall ensure that, for claim year 2026 at the latest, all payment entitlements have a value of at least 75% of the average planned unit amount for the basic income support for claim year 2026 as laid down in the CAP Strategic Plan transmitted in accordance with Article 106 (1) for the Member State or for the territories as defined in accordance with Article 18(2).

5.  For the purposes of paragraph 4, Member States shall ensure that, for claim year 2024 at the latest, all payment entitlements have a value of at least 75% of the average planned unit amount for the basic income support for claim year 2024 as laid down in the CAP Strategic Plan transmitted in accordance with Article 106 (1) for the Member State or for the territories as defined in accordance with Article 18(2).

Text proposed by the Commission

Amendment

5a.  For the purposes of paragraph 4, Member States shall ensure that, for the last claim year of the programming period at the latest, all payment entitlements have a value of 100% of the average planned unit amount for the basic income support for claim year 2026 as laid down in the CAP Strategic Plan transmitted in accordance with Article 106 (1) for the Member State or for the territories as defined in accordance with Article 18(2).

Text proposed by the Commission

Amendment

7.  The reductions referred to in paragraph 6 shall be based on objective and non-discriminatory criteria. Without prejudice to the minimum set in accordance with paragraph 5, such criteria may include the fixing of a maximum decrease that may not be lower than 30%.

7.  The reductions referred to in paragraph 6 shall be based on objective and non-discriminatory criteria. Without prejudice to the minimum set in accordance with paragraph 5, such criteria may include the fixing of a maximum decrease that may not be lower than 30% per year.

Text proposed by the Commission

Amendment

1.  Member States shall grant genuine farmers holding owned or leased-in payment entitlements basic income support upon activation of those payment entitlements. Member States shall ensure that for the purpose of the activation of payment entitlements genuine farmers declare the eligible hectares accompanying any payment entitlement.

1.  Member States shall grant farmers holding owned or leased-in payment entitlements basic income support upon activation of those payment entitlements. Member States shall ensure that for the purpose of the activation of payment entitlements active farmers declare the eligible hectares accompanying any payment entitlement.

Text proposed by the Commission

Amendment

1.  Each Member State deciding to grant the basic income support based on payment entitlements shall manage a national reserve.

1.  Each Member State deciding to grant the basic income support based on payment entitlements shall set up a national reserve, equivalent to a maximum of 3 % of the allocations laid down in Annex VII.

Text proposed by the Commission

Amendment

2a.  Member States may exceed the percentage referred to in paragraph 1 where that is necessary to cover allocation requirements pursuant to points (a) and (b) of paragraph 4 and of paragraph 5.

Text proposed by the Commission

Amendment

3.  Member States shall ensure that payment entitlements from the reserve be only allocated to genuine farmers.

3.  Member States shall ensure that payment entitlements from the reserve be only allocated to active farmers.

Text proposed by the Commission

Amendment

(a)  young farmers who have newly set up a holding for the first time;

(a)  young farmers who have newly set up a holding for the first time; or

Text proposed by the Commission

Amendment

(b)  farmers who have newly set up a holding for the first time, as head of the holding and with appropriate training or acquired necessary skills as defined by the Member States for young farmers.

(b)  farmers who have newly set up a holding for the first time, as head of the holding and with appropriate training or acquired necessary skills and knowledge;

Text proposed by the Commission

Amendment

(ba)  In the case of points (a) and (b) of the first subparagrah of this paragraph, Member States may give priority to women with a view to helping to meet the objective referred to in point (h) of Article 6(1).

Text proposed by the Commission

Amendment

4a.  Member States may also identify, through objective and non-discriminatory criteria, other cases which, according to the needs assessment described in Article 96, are more vulnerable or more relevant to achieve the specific objectives set out in Article 6, as well as farmers who are newly making use of collectively managed areas.

Text proposed by the Commission

Amendment

5.  Member States shall allocate payment entitlements to, or increase the value of the existing payment entitlements of genuine farmers who are entitled by virtue of a definitive court ruling or by virtue of a definitive administrative act of the competent authority of a Member State. Member States shall ensure that those genuine farmers receive the number and value of payment entitlements established in that ruling or act at a date to be fixed by the Member State.

5.  Member States shall allocate payment entitlements to, or increase the value of the existing payment entitlements of active farmers who are entitled by virtue of a definitive court ruling or by virtue of a definitive administrative act of the competent authority of a Member State. Member States shall ensure that those active farmers receive the number and value of payment entitlements established in that ruling or act at a date to be fixed by the Member State.

Text proposed by the Commission

Amendment

5a.  Member States may use the national reserve to increase basic support for income across the board or with a view to meeting specific objectives laid down in Article 6(1), on the basis of non-discriminatory criteria, provided that sufficient amounts remain available for the allocations laid down in paragraphs 4 and 5 of this Article.

Text proposed by the Commission

Amendment

Article 23

deleted

Delegated powers

The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation with rules on:

(a)  the establishment of the reserve;

(b)  on access to the reserve;

(c)  the content of the declaration and the requirements for the activation of payment entitlements.

Text proposed by the Commission

Amendment

1.  Except in the case of transfer by actual or anticipated inheritance, payment entitlements shall be transferred only to a genuine farmer.

1.  Except in the case of transfer by actual or anticipated inheritance, payment entitlements shall be transferred only to a active farmer.

Text proposed by the Commission

Amendment

1a.  Payment entitlements may not be given a market value.

Text proposed by the Commission

Amendment

Round sum payment for small farmers

Simplified scheme for small farmers

Text proposed by the Commission

Amendment

Member States may grant payments to small farmers as defined by Member States by way of a round sum, replacing direct payments under this Section and Section 3 of this Chapter. Member States shall design the corresponding intervention in the CAP Strategic Plan as optional for the farmers.

Member States shall introduce a simplified scheme for small farmers requesting support in respect of an amount of up to EUR 1 250. That scheme may consist of a lump sum, replacing direct payments under this Section and Section 3 of this Chapter, or a per-hectare payment, which may be different for different territories, defined in accordance with Article 18(2). Member States shall design the corresponding intervention in the CAP Strategic Plan as optional for the farmers.

Text proposed by the Commission

Amendment

1a.   Farmers wishing to participate in the simplified scheme shall submit an application no later than a date to be set by the Member State, without prejudice to the Member States being able to automatically include the farmers fulfilling the conditions and offering them the possibility of withdrawing from it by a specific deadline.

Text proposed by the Commission

Amendment

1b.   For farmers participating in the simplified scheme, Member States may apply simplified conditionality checks, as laid down in Article 84 of Regulation (EU) [HzR].

Text proposed by the Commission

Amendment

1c.   Member States may establish rules and services for reducing administrative costs, supporting small farmers to cooperate.

Text proposed by the Commission

Amendment

1d.   Member States shall ensure that no advantage provided for in this Article shall be granted to farmers if it is established that they artificially created, after 1 June 2018, the conditions for receiving payments to small farmers.

Text proposed by the Commission

Amendment

2.  Member States shall ensure redistribution of support from bigger to smaller or medium-sized farms by providing for a redistributive income support in the form of an annual decoupled payment per eligible hectare to farmers who are entitled to a payment under the basic income support referred to in Article 17.

2.  Member States shall ensure a fair redistribution of support from bigger to smaller or medium-sized farms by providing for a redistributive income support in the form of an annual decoupled payment per eligible hectare to farmers who are entitled to a payment under the basic income support referred to in Article 17.

Text proposed by the Commission

Amendment

3.  Member States shall establish an amount per hectare or different amounts for different ranges of hectares, as well as the maximum number of hectares per farmer for which the redistributive income support shall be paid.

3.  Member States shall establish a payment equivalent to an amount per hectare or different amounts for different ranges of hectares. They may differentiate those amounts in accordance with the territories defined pursuant to Article 18(2).

Text proposed by the Commission

Amendment

3a.  The amount of the redistributive payment per hectare shall not be higher than 65 % of the basic income support for sustainability, in accordance with the national or territory average, multiplied by the number of eligible hectares.

Text proposed by the Commission

Amendment

3b.  The number of eligible hectares per farmer shall not be greater than the national average size of holdings, or the average size in accordance with the territories defined pursuant to Article 18(2). Member States shall grant access to that payment starting from the first eligible hectare of the holding.

Text proposed by the Commission

Amendment

3c.  Member States shall identify non-discriminatory criteria, with the objective laid down in point (a) of Article 6(1), for calculating the amount to be granted for complementary redistribution of income for sustainability in the context of the CAP Strategic Plans, and shall also set a financial ceiling above which farms shall not be entitled to the redistributive payment. Member States shall take into consideration the average level of farms' income at national or regional level. In the distribution criteria, they shall also take into consideration the natural and specific constraints faced by some regions, including island regions, in the development of their agricultural activity.

Text proposed by the Commission

Amendment

4.  The amount per hectare planned for a given claim year shall not exceed the national average amount of direct payments per hectare for that claim year.

deleted

Text proposed by the Commission

Amendment

5.  The national average amount of direct payments per hectare is defined as the ratio of the national ceiling for direct payments for a given claim year as laid down in Annex IV and the total planned outputs for the basic income support for that claim year, expressed in number of hectares.

deleted

Text proposed by the Commission

Amendment

5a.  For a legal person, or a group of natural or legal persons, Member States may apply the maximum number of hectares referred to in paragraph 3 at the level of the members of those legal persons or groups where national law provides for the individual members to assume rights and obligations comparable to those of individual farmers who have the status of head of holding, in particular as regards their economic, social and tax status, provided that they have contributed to strengthening the agricultural structures of the legal persons or groups concerned.

Text proposed by the Commission

Amendment

5b.  Member States shall ensure that no advantage provided for under this Chapter is granted to farmers in respect of whom it is established that they divided their holding with the sole purpose of benefiting from the redistributive payment. This shall also apply to farmers whose holdings result from that division.

Text proposed by the Commission

Amendment

1.  Member States may provide for complementary income support for young farmers under the conditions set out in this Article and as further specified in their CAP Strategic Plans.

1.  Member States may provide for complementary income support for young farmers defined in accordance with the criteria laid down in point (d) of Article 4(1), under the conditions set out in this Article and as further specified in their CAP Strategic Plans.

Text proposed by the Commission

Amendment

2.  As part of their obligations to contribute to the specific objective 'attract young farmers and facilitate business development in rural areas' set out in point (g) of Article 6(1) and to dedicate at least 2% of their allocations for direct payments to this objective in accordance with Article 86(4), Member States may provide a complementary income support for young farmers who have newly set up for the first time and who are entitled to a payment under the basic income support as referred to in Article 17.

2.  As part of their obligations to attract young farmers in line with the objective set out in point (g) of Article 6(1) and to dedicate at least 2% of their allocations for direct payments to this objective, in accordance with Article 86(4), Member States may provide a complementary income support for young farmers who have newly set up for the first time as head of the holding and who are entitled to a payment under the basic income support as referred to in Article 17.

Text proposed by the Commission

Amendment

3.  The complementary income support for young farmers shall take the form of an annual decoupled payment per eligible hectare.

3.  The complementary income support for young farmers shall be granted for a maximum period of seven years, starting from the date of the submission of the application for the payment for young farmers, and shall take the form of an annual decoupled payment per eligible hectare. It may be calculated at the national level or on the basis of the territories defined in accordance with Article 18(2).

Text proposed by the Commission

Amendment

3a.  Young farmers who have received in the final year of application of Regulation (EU) No 1307/2013 the support provided for in Article 50 of that Regulation may receive the support provided for in this Article for the maximum total period referred to in the paragraph 3.

Text proposed by the Commission

Amendment

3b.  The payment shall be granted for a number of hectares not exceeding average size of the farms at national level or according to the territories defined in Article 18(2).

Text proposed by the Commission

Amendment

3c.  Member States may lay down specific provisions relating to young farmers belonging to groups of farmers, producer organisations or cooperatives with the aim of ensuring they do not lose support pursuant to this Article when joining such entities.

Text proposed by the Commission

Amendment

Schemes for the climate and the environment

Schemes for the climate, environment and animal welfare

Text proposed by the Commission

Amendment

1.  Member States shall provide support for voluntary schemes for the climate and the environment ('eco-schemes') under the conditions set out in this Article and as further specified in their CAP Strategic Plans.

1.  Member States shall establish and provide support for voluntary schemes for the climate, environment and animal welfare ('eco-schemes') under the conditions set out in this Article and as further specified in their CAP Strategic Plans.

Text proposed by the Commission

Amendment

That support shall aim to preserve beneficial practices and/or promote the necessary conversion to practices and techniques that make a stronger contribution to the environment and climate.

Support may be directed towards commitments for agricultural practices in specific sectors and/or geographical areas defined by the Member States. Areas designated pursuant to Directives 92/43/EEC or 2009/147/EC shall automatically be regarded as eligible for the scheme.

Text proposed by the Commission

Amendment

2.  Member States shall support under this type of intervention genuine farmers who make commitments to observe, on eligible hectares, agricultural practices beneficial for the climate and the environment.

2.  Member States shall support under this type of intervention active farmers or groups of farmers who make commitments to observe, agricultural practices and certified schemes beneficial for the climate environment and animal welfare, which lead to achieving one or more of the specific objectives defined in points (d), (e), (f) and (i) of Article 6(1), and are tailored to address specific national or regional needs.

Text proposed by the Commission

Amendment

3.  Member States shall establish the list of agricultural practices beneficial for the climate and the environment.

3.  The Commission shall adopt delegated acts, by … [two months after the date of entry into force of this Regulation], in accordance with Article 138, supplementing this Regulation by establishing a catalogue of examples of agricultural practices beneficial for the climate, the environment and animal welfare, taking into account the conditions referred to in paragraph 4 of this Article.

Member States may establish, in cooperation with, national, regional and local stakeholders, complementary national lists or draw from the examples in the catalogue referred to in the previous paragraph to take into account their specific needs.

Those lists shall consist of measures of a type other than those covered under Article 65, or of measures of the same nature but with a different level of ambition. Farmers may choose at least one of them in order to be eligible for aid.

Text proposed by the Commission

Amendment

3a.  Member States shall, at least, include in those lists eco-schemes to set up a minimum share of agricultural area devoted to non-productive features or areas, the use of a farm tool for the sustainable management of nutrients, and, where applicable, appropriate maintenance of wetland and peatland.

Text proposed by the Commission

Amendment

4.  Those practices shall be designed to meet one or more of the specific environmental- and climate-related objectives laid down in points (d), (e) and (f) of Article 6(1).

4.  Each of those practices shall be designed to meet one or more of the specific environmental, climate-related and animal welfare objectives laid down in points (d), (e), (f) and (i) of Article 6(1) .

Text proposed by the Commission

Amendment

(b)  go beyond the minimum requirements for the use of fertilisers and plant protection products, animal welfare, as well as other mandatory requirements established by national and Union law;

(b)  go beyond the minimum requirements for animal welfare and the reduction of the use of fertilisers and plant protection products as well as other mandatory requirements established by Union law;

Text proposed by the Commission

Amendment

(d)  are different from commitments in respect of which payments are granted under Article 65.

(d)  are different from, or complementary to, commitments in respect of which payments are granted under Article 65;

Text proposed by the Commission

Amendment

(da)  contribute to the maintenance of practices that are beneficial for the environment.

Text proposed by the Commission

Amendment

6.  Support for eco-schemes shall take the form of an annual payment per eligible hectare and it shall be granted as either:

6.  Support for eco-schemes shall take the form of an annual payment per eligible hectare or/and a per farm payment, and it shall be granted as incentive payments going beyond compensation of additional costs incurred and income foregone, which may consist of a lump sum.

(a)  payments additional to the basic income support as set out in Subsection 2 of this Section; or

(b)  payments compensating beneficiaries for all or part of the additional costs incurred and income foregone as a result of the commitments as set pursuant to Article 65.

Text proposed by the Commission

Amendment

The level of payments shall vary according to the level of ambition of sustainability of each intervention or set of interventions, based on non-discriminatory criteria, in order to offer an effective incentive for participation.

Text proposed by the Commission

Amendment

7.  Member States shall ensure that interventions under this Article are consistent with those granted under Article 65.

7.  Member States shall ensure that interventions under this Article are consistent with those granted under Article 65, assuring the adequate delimitation between the two types of interventions. Where the distinction between interventions decided under both articles is the level of environmental ambition, the Member State shall avoid double financing.

Text proposed by the Commission

Amendment

8.  The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation with further rules on the eco-schemes.

deleted

Text proposed by the Commission

Amendment

Article 28 a

Schemes for boosting competitiveness

1.   Member States shall provide support for voluntary schemes for boosting competitiveness (‘boost-schemes’) under the conditions set out in this Article and as further specified in their CAP Strategic Plans

2.   Member States shall support under this type of intervention active farmers who make commitments to expenditure beneficial for boosting agricultural competitiveness of the farmer.

3.   Member States shall establish an eligible list of categories of expenditure beneficial for boosting competitiveness of the farmer.

4.   Those practices shall be designed to meet one or more of the specific economic objectives laid down in points (a), (b) and (c) of Article 6(1) and contributes to the cross-cutting objective as set out in Article 5.

5.   Under this type of interventions, Member States shall only provide payments covering commitments which do not result in double funding in respect of this Regulation

6.   Support for boost-schemes shall take the form of annual payment and it shall be granted as either:

(a)   payments based on eligible hectares additional to the basic income support as set out in Subsection 2 of this Section; or

(b)   payments compensating beneficiaries for all or part of the costs incurred; or

(c)  based on output relevant for this type of intervention

7.   Member States shall ensure that interventions under this Article are consistent with those granted under Articles 27, 28, 65, 68, 69, 70, 71 and 72.

8.   The Commission is empowered to adopt delegated acts in accordance with Article 138 supplementing this Regulation with further rules on the boost-schemes.

Text proposed by the Commission

Amendment

1.  Member States may grant coupled income support to genuine farmers under the conditions set out in this Subsection and as further specified in their CAP Strategic Plans.

1.  Member States may grant coupled income support to active farmers under the conditions set out in this Subsection and as further specified in their CAP Strategic Plans.

Text proposed by the Commission

Amendment

2.  The Member States’ interventions shall help the supported sectors and productions or specific types of farming therein listed in Article 30 addressing the difficulty or difficulties they undergo by improving their competitiveness, their sustainability or their quality.

2.  The Member States’ interventions shall help the supported sectors and productions or specific types of farming therein listed in Article 30 addressing the difficulty or difficulties they undergo by improving their competitiveness, their structuring, their sustainability or their quality. In addition, these interventions must be consistent with relevant specific objectives set out in Articles 6(1).

Text proposed by the Commission

Amendment

3.  Coupled income support shall take the form of an annual payment per hectare or animal.

3.  Coupled support is a production-limiting scheme that shall take the form of an annual payment based on fixed areas and yields or on a fixed number of animals and shall respect financial ceilings to be determined by Member States for each measure and notified to the Commission.

Text proposed by the Commission

Amendment

3a.  Member States may decide to target or increase the coupled aid according to the beneficiary's commitment to improve its competitiveness, quality or the structuring of the sector.

Text proposed by the Commission

Amendment

Coupled income support may only be granted to the following sectors and productions or specific types of farming therein where these are important for economic, social or environmental reasons: cereals, oilseeds, protein crops, grain legumes, flax, hemp, rice, nuts, starch potato, milk and milk products, seeds, sheepmeat and goatmeat, beef and veal, olive oil, silkworms, dried fodder, hops, sugar beet, cane and chicory, fruit and vegetables, short rotation coppice and other non-food crops, excluding trees, used for the production of products that have the potential to substitute fossil materials.

Coupled income support may only be granted to the following sectors and productions or specific types of farming: cereals, oilseeds, protein crops, grain legumes, flax, hemp, rice, nuts, starch potato, milk and milk products, seeds, sheepmeat and goatmeat, beef and veal, olive oil, silkworms, dried fodder, hops, sugar beet, cane and chicory, fruit and vegetables, short rotation coppice.

Text proposed by the Commission

Amendment

1a.  By way of derogation from paragraph 1, coupled support may be granted to farmers who do not have eligible hectares at their disposal.

When granting coupled support, Member States shall ensure that the following conditions are fulfilled:

(a)   there is a clear environmental, or socioeconomic need or benefit;

(b)   the support does not create major distortions in the internal market; and

(c)   support for livestock production shall be consistent with Directive 2000/60/EC.

Text proposed by the Commission

Amendment

[...]

deleted

Text proposed by the Commission

Amendment

Member States shall grant a crop-specific payment for cotton to genuine farmers producing cotton falling within CN code 5201 00 under the conditions laid down in this Subsection.

Member States shall grant a crop-specific payment for cotton to active farmers producing cotton falling within CN code 5201 00 under the conditions laid down in this Subsection.

Text proposed by the Commission

Amendment

–  Bulgaria: EUR 624,11,

–  Bulgaria: X EUR,

Text proposed by the Commission

Amendment

–  Greece: EUR 225,04,

–  Greece: X EUR,

Text proposed by the Commission

Amendment

–  Spain: EUR 348,03,

–  Spain: X EUR,

Text proposed by the Commission

Amendment

–  Portugal: EUR 219,09

–  Portugal: X EUR

Text proposed by the Commission

Amendment

(a)  fruit and vegetables sector, as referred to in point (i) of Article 1(2) of Regulation (EU) No 1308/2013;

(a)  fruit and vegetables sector, as referred to in point (i) of Article 1(2) of Regulation (EU) No 1308/2013 and such products as are earmarked for processing;

Text proposed by the Commission

Amendment

(f)  other sectors referred to in points (a) to (h), (k), (m), (o) to (t) and (w) of Article 1(2) of Regulation (EU) No 1308/2013.

(f)  other sectors referred to in points (a) to (h), (k), (m), (o) to (t) and (w) of Article 1(2) of Regulation (EU) No 1308/2013, as well as protein crops.

Text proposed by the Commission

Amendment

3.  Member States may choose in their CAP Strategic Plan to implement the sectoral types of interventions referred to in points (d), (e) and (f) of Article 39.

3.  Member States may choose in their CAP Strategic Plan to implement the sectoral types of interventions referred to in points (d), (e) and (f) of Article 39, and they shall substantiate their choice of sectors and type of interventions.

Text proposed by the Commission

Amendment

(a)  ensuring the proper functioning of types of interventions laid down in this Chapter;

(a)  ensuring the proper functioning of types of interventions laid down in this Chapter, in particular with a view to avoid distortions of competition in the internal market;

Text proposed by the Commission

Amendment

(aa)  providing support for producers organisations in relation to the fulfilment of their specific tasks under this Chapter;

Text proposed by the Commission

Amendment

(c)  the maximum level of Union financial assistance for market withdrawals referred to in point (a) of Article 46(4) and for the types of interventions referred to in Article 52(3);

(c)  the maximum level of Union financial assistance for market withdrawals referred to in point (a) of Article 46(4) and for the types of interventions referred to in Article 52(3), as well as fixed packaging and transport rates for products withdrawn for free distribution and processing costs prior to delivery for that purpose;

Text proposed by the Commission

Amendment

(ca)  establishing the conditions for setting up and managing the operating fund as well as requests for aid and advances.

Text proposed by the Commission

Amendment

The following objectives shall be pursued in the fruit and vegetables sector:

In accordance with Articles 5 and 6, the following objectives shall be pursued in the fruit and vegetables sector:

Text proposed by the Commission

Amendment

(b)  concentration of supply and the placing on the market of the products of the fruit and vegetables sector, including through direct marketing; those objectives relate to the specific objectives set out in points (a) and (c) of Article 6(1);

(b)  concentration of supply and the placing on the market of the products of the fruit and vegetables sector, including through direct marketing and short supply chains, as well as promoting the collective negotiation of contracts; those objectives relate to the specific objectives set out in points (a), (b) and (c) of Article 6(1);

Text proposed by the Commission

Amendment

(c)  research and development of sustainable production methods, including pest resilience, innovative practices boosting economic competitiveness and bolstering market developments; those objectives relate to the specific objectives set out in points (a), (c) and (i) of Article 6(1) ;

(c)  application, research and development of sustainable production methods, including pest resilience, innovative practices boosting economic competitiveness and bolstering market developments; those objectives relate to the specific objectives set out in points (a), (b), (c) and (i) of Article 6(1) ;