The European Union’s (EU) Common Agricultural Policy (CAP)

The Common Agricultural Policy (CAP) of the EU is crucial for the future of farming and forestry, aligning with the goals of the European Green Deal. As of January 1, 2023, a reformed CAP is in effect, aiming for a fairer, greener, and more effective system.

The CAP plays a crucial role in ensuring a sustainable future for European farmers by supporting smaller farms and allowing flexibility for local adaptation within Member States. As an integral component of the European Green Deal, CAP 2023-2027 is essential for the Farm to Fork and biodiversity strategies, emphasizing a modernized approach with ten specific objectives for social, environmental, and economic sustainability.

The CAP 2023-27 adopts a performance- and results-based approach with objectives framing EU countries’ CAP Strategic Plans. Through National Strategic Plans, each EU country tailors its approach, contributing to these objectives via a toolbox of policy measures. These plans, one for each EU member (except Belgium, which has two), target specific needs while aligning with EU-level goals, including the European Green Deal. The European Commission’s overview of the 28 approved CAP Strategic Plans highlights key elements, focusing on data officially approved by December 31, 2022. The Plans, vital for implementing the policy, are designed to support farmers in transitioning to sustainability while contributing to climate and environmental commitments.

The CAP’s reformed structure aligns with the European Green Deal, featuring higher environmental ambitions, eco-schemes, and a focus on climate and biodiversity. The policy also strives for fairness by directing support to smaller farms, promoting social conditionality, gender equality, and aiding young farmers. The CAP also strengthens farmers’ position in the supply chain, encourages cooperation, maintains market orientation, and includes a crisis reserve, fostering competitiveness. With a robust long-term budget of €387 billion for 2021-2027, the CAP supports income, rural development, and environmental goals. Additionally, the commitment to research and innovation, including €10 billion from the Horizon Europe program, aims to enhance agricultural knowledge and innovation systems.