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Minister warns that the post-2027 CAP proposal may distort the market

The proposal for the Common Agricultural Policy (CAP) has been met with opposition from José Manuel Fernandes, the Minister of Agriculture and the Sea, who expressed dissatisfaction over the establishment of a single fund, suggesting it could lead wealthier nations to distort the market.

During a joint parliamentary hearing with the Agriculture and Budget committees, Fernandes voiced confidence in the European Parliament and its co-rapporteur, noting the latter’s socialist background.

Addressing the situation as a proposal still under negotiation, the former MEP indicated ongoing discussions.

Deputy Alfredo Maia from the Communist Party questioned the government’s stance should the proposal remain unchanged.

Responding, Fernandes reiterated his concerns about a severe budget cut and upheld his critique of the current proposal.

The Minister also pointed to a potential “major conflict” between Cohesion and Agriculture, deeming the neglect of outermost regions unacceptable.

“The notion that farmers might receive more via the State Budget or through national debt is unacceptable, as it allows wealthier nations greater resource allocation, essentially nationalizing CAP and distorting the market,” Fernandes insisted.

He noted that Prime Minister Luís Montenegro had assured last week that regardless of negotiation outcomes, agriculture, deemed strategic and essential, would not lack resources.

The European Commission on October 16 defended the post-2027 CAP proposal, stating it offers Member States increased freedom and promising smooth negotiations without budget comparisons.

An official from the European Commission described it as a sound proposal, guaranteeing a minimum amount akin to the current allowance while allowing each Member State to make individual decisions.

The budget for farmers during this period is expected to be around 300 billion euros, supporting income through initiatives like agri-environmental actions, small and young farmer aid, and farm investments, though the Commission refrained from budget comparisons.

From the total allocation, 7.4 billion euros are proposed for Portugal.

The community budget set for 2028 to 2034 envisions Portugal receiving 142.5 million euros for fisheries.

Significant changes to the new CAP include the integration of rural development into the first pillar focusing on direct payments.

An official from the European Commission clarified to Portuguese media that the first and second pillar funds would merge, distinguished only by co-financing levels.

Thus, the amounts are no longer guaranteed, providing a minimum amount but no capped maximum.

This uncertainty over total funding has sparked criticism from the Portuguese agricultural sector against the post-2027 CAP budget.

Incorporated into the long-term European Union (EU) budget or the Multiannual Financial Framework, the post-2027 CAP proposal awaits approval from both the Council and the European Parliament, targeting a January 2028 implementation.

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