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Effective Risk Management a Strategic Priority for CAP, Minister Panayiotou Says

Nicosia: Strengthening prevention, preparedness, and effective response to risks is now a strategic priority, both within the framework of the Common Agricultural Policy and more broadly at the European level, Minister of Agriculture, Environment and Rural Development, Maria Panayiotou, said on Monday, in her opening remarks at the beginning of the Informal Meeting of EU Ministers of Agriculture and Fisheries taking place in Nicosia.

According to Cyprus News Agency, recognizing the increasing intensity and frequency of risks affecting the agri-food sector in Europe, particularly due to the climate crisis, animal diseases, and growing geopolitical instability, the Cyprus EU Presidency has chosen to make risk management in European agriculture the main topic of today's informal meeting, with the aim of providing all attendees with an opportunity for a strategic exchange of views.

'The European agri-food sector is currently facing an increasingly complex and intensifying risk environment linked to the climate crisis, animal diseases, market disruptions, and geopolitical instability. These developments directly affect agricultural income, the resilience of rural areas, and the assurance of food security and sufficiency in the European Union. Strengthening prevention, preparedness, and effective response to risks is now a strategic priority, both within the framework of the Common Agricultural Policy and more broadly at the European level,' she noted.

She added that the Cyprus Presidency is currently seeking a substantive high-level policy exchange of views on how risk management tools can be further strengthened to the benefit of European farmers and the resilience of our agri-food systems, both within the framework of the Common Agricultural Policy and beyond.

She further said that, in preparation for today's discussion, the Presidency had circulated a note titled 'Actions on Agri-Climate Risk Management in the European Union,' which contains two guiding questions, first as to what extent are the existing risk management tools and crisis response mechanisms of the Common Agricultural Policy, as well as proposals for the Common Agricultural Policy after 2027, effective in supporting farmers in addressing increasingly frequent and severe risks and crises, and second, what additional actions at the European Union level, beyond the CAP framework, could further strengthen the Union's capacity to anticipate, prevent, and respond to systemic risks and crises affecting the agricultural sector.

Earlier, in a doorstep upon her arrival at the Conference Center in Nicosia, Panayiotou said that security is a fundamental pillar for every farmer, enabling them to plan their entry into the primary sector, their operations, and the safeguarding of their production.

'That is why today's informal Council of Agriculture Ministers, here in Nicosia, has risk management tools as its main topic. The risks and challenges faced by farmers and the primary sector are particularly complex, ranging from climatic conditions to animal diseases and, of course, geopolitical developments,' she noted.

'For us, Europe must be self-sufficient and open to the world, and food security is a key element in ensuring this. That is why today's discussion has a crucial role to play in the crisis management tools we want the new Common Agricultural Policy to have, tools we want every farmer to have at their disposal, so that they can continue to produce, so that we can continue to ensure food security for a Europe that is self-sufficient and open to the world,' she added.

On his part, Greece's Minister of Rural Development and Food, Margaritis Schinas, said that today's meeting will discuss ways in which European agriculture can be more resilient to crises, as well as the future of the common agricultural policy, while at the bilateral level, he will discuss with his Cypriot counterpart ways to better coordinate efforts to combat animal diseases affecting both Cyprus and Greece.

The European Commissioner for Agriculture and Food Development, Christophe Hansen, said that the situation for the farming community is very difficult currently, not the least with the crisis in the Middle East, which has skyrocketed fertiliser prices as well the fuel prices that our farmers need on a daily basis.

'We have also a vast multitude of animal diseases currently going on, as well here in Cyprus, so we clearly need to step up our efforts on biosecurity, but as well in general on risk management, because we know that climate change is there to stay and the effects are becoming ever bigger. That is why we are going to discuss as well about the insurance and reinsurance system in order to mitigate risks and in order to give more stability to the farming community, because without predictability and stability, the next generation will not take up the job. Our food security would be at risk and that is why we need to act swiftly,' he noted.

Minister of Agriculture, Agri-Food, and Food of France, Annie Genevard, said that managing the risks posed by climate change is a matter of utmost importance as many countries in the European Union have been affected by extreme weather events.

'But we must go further and work actively on prevention to build greater resistance and resilience to these climate events. Naturally, this discussion forms part of the broader debate on the future CAP and it is clear that within the future CAP, we must develop tools, tools that enable us to respond more effectively to these hazards when they occur, but also to be able to invest, and help producers invest in tools that allow them to anticipate, better withstand and prevent such events, notably the Competitiveness Fund, which could prove very useful in financing, in particular infrastructure dedicated to water storage to help withstand the droughts that are becoming increasingly severe every summer,' she added.

Minister of Agriculture, Fisheries and Food of Spain, Luis Planas, said that at present we face two major challenges, a geopolitical challenge arising from the situation in the Middle East, and all matters relating to climate change.

'Both drought and lack of rain, as well as floods and extreme weather events, are placing us in a situation where agri-food production is, if anything, even more complicated. For all these reasons, it is absolutely essential to take preventive measures, as well as remedial and risk management measures,' he continued.

'I believe it is very important, in the context of post-2027 European Union support, to separate support for market crises from that for climate crises through a specific fund and, finally, to strengthen agricultural insurance schemes for farmers and livestock breeders at European level. These are all the challenges we currently face and which we must tackle,' he further noted.

Minister of Agriculture and Forestry of Finland, Sari Essayah, said it is important to understand that if farms are in a good economic situation they have more resilience, also for different kind of risks. 'That is why we have to think different kind of measures, how to handle these risks, and I hope that we will find these kind of measures inside the CAP but also outside of the CAP, maybe with the help of the European Investment Bank as well,' she noted.

Finally, Minister for Agriculture, Food, Fisheries, and the Marine of Ireland, Martin Heydon, said that Cyprus has worked very hard in a spirit of cooperation and has given great direction to this Presidency, and Ireland as the incoming Presidency works very closely with Nicosia.

'This is a pivotal month ahead in terms of shaping the future for our farmers and our fishers to ensure we protect their incomes and build resilience to support their sectors, so Ireland looks forward to that challenge. We'll continue to work closely with Cyprus as they finish out the last few months of their Presidency before we take over on 1 July,' he noted.