Romania Sees Farming's Future in CAP Reform

Romanian farmers say they support recently unveiled plans to reform the Common Agricultural Policy, which include upping direct payments per hectare by 25 per cent for the first five years after farmers first start a farm.

The planned reforms to the CAP would come in from 2014 onwards.

“This measure should help Romanian agriculture. People under 40 will benefit most as they could get around 40,000 euros once they buy land and start farming,” Dacian Ciolos, the European Commissioner for Agriculture and Rural Development, said.

The reform of the CAP is intended to ensure greater food security in the EU and help reverse the sharp decades-long decline in the number of people engaged in farming.

Farmers today represent only about 3 to 4 per cent of the total European active population, according to data presented by Ciolos, a massive decline on the percentage engaged in farming before the Second World War. Most farmers in Europe are also over the age of 55.

Other proposed changes include more help for farmers coping with rapid changes in prices and demand by speeding up support during economic crises, linking agricultural production to research and innovation, rewarding environmentally friendly practices and promoting more direct links with consumers, cutting the number of intermediaries.

Agriculture is still a significant factor in Romania. The country once known as "the bread basket of the Balkans" has an agricultural surface of 14.7 million hectares of which 9.3 million hectares are arable. Almost half of Romania's 21 million people still live in rural areas.

But agriculture has long lacked investment and irrigation networks, while other problems include fragmentation of holdings, property-related lawsuits and obsolete technology. Most of the country's 2.8 million private farmers own less than five hectares.

Early this year, Romania’s Agriculture Minister unveiled plans to impose financial penalties on landowners who are not using their land for agricultural purposes, in a move aimed to revive agriculture.

As many as 1.3 million hectares of arable land are not used in Romania, according to statistics. Owners of large farms have hailed the government plans as a necessary stimulus.

"The coming decades will be crucial in laying the foundations for a strong agriculture, able to deal with climate change and international competition, while meeting public expectations," Ciolos said.

"Europe needs its farmers. And its farmers need the support of Europe," he added.