There is no adequate data demonstrating that the support farmers' receive from the Common Agricultural Policy makes any 'effective or efficient' contribution, according to a new report by the European Court of Auditors.
Between 2014 and 2020, about €270 billion – a third of the EU budget – will go directly or indirectly towards supporting farmers’ incomes.
This is intended contribute to viable food production throughout the EU and help farmers maintain fair living standards.
Under new CAP rules, the Commission has to assess the impact of farm subsidies in relation to their objectives.
'Not sufficiently reliable'
The auditors examined the design of the Commission’s performance measurement system for farmers’ incomes and whether the necessary statistical data was properly defined and of an appropriate quality. They found that the system was not sufficiently well-designed and that the data had significant limitations.
“These key indicators, on which the Commission has to base its assessments, are not sufficiently reliable and are not linked clearly enough to CAP measures,” said Mrs Rasa Budbergyte, the Member of the European Court of Auditors responsible for the report.
“As they stand, they are of no use in showing whether the subsidies have achieved their desired effect and reduced the income gap between farmers and others.”
Vague objectives
No representative data is available on the disposable income of farm households, say the auditors, and there is no reliable system for comparing agricultural incomes with those in other sectors in order to justify support for farmers.
Nor did the Commission or the Member States always ensure that the data used was of an appropriate quality.
Vague objectives for some CAP measures and the absence of a baseline make it difficult to assess whether they will achieve their objectives.
The auditors visited six Member States which, between them, account for more than half the gross value added of European agriculture and whose farmers receive more than half the EU budget for agriculture, primarily in the form of direct payments: Germany, Spain, France, the Netherlands, Poland and Romania.
The auditors recommended that the Commission develop a more comprehensive framework for providing information on disposable income and for comparing farmers’ incomes with incomes in other sectors of the economy.
They also urged further development of the main farm income measurement tools so its potential can be better achieved.
