Diederen, P.J.M., and Silvis, H.J., Environmental targets and policies for agriculture in Europe. The Hague (The Netherlands), National Council for Agricultural Research (NRLO), 1998. NRLO Report 97/18.
[Original title: Milieudoelstellingen en landbouwmilieubeleid in Europa - Achtergrondstudie voor de verkenning hulpstoffen en energie in landbouwsystemen in 2015]
ISBN 90-5059-048-9

Summary

The development of EU environmental policy is of growing importance for Dutch agriculture. With what targets will this policy confront us in twenty years time? This report approaches this issue from two different angles. First we extrapolate current policy trends into the future; then we analyse a number of determinants that could possibly influence divergences from these trends. The recent experiences with EU environmental policies do not promise rapid progress or sharp deviations from the current course. Also, further developments of policies will have to cope with growing contrasts within European agriculture as the EU expands.

EU environmental policies for agriculture

The contours of future EU environmental policies are outlined in the fifth Environmental Action Programme. For agriculture, one of the targeted sectors in the programme, clear long term environmental goals have been specified: maintenance of those basic natural processes that are indispensable for sustainable agriculture, especially protection of water, soil and genetic material; reductions in the use of chemicals to levels that do not disrupt essential natural processes; equilibrium between the use of nutrients and the absorption capacity of the soil and vegetation; maintenance of the rural environment aimed at preservation of biological diversity and natural habitats and minimalisation of natural dangers and forest fires.

Concrete midterm targets have been set in the programme up until the year 2000 as well as a number of policy measures to attain those goals. However, the targets do not have a mandatory status. The execution of policies is guided by the subsidiarity principle: the EU only has a role to play when goals cannot be met at the national level.

Closer analysis of the policy process shows that environmental policies for agriculture tend to be decided upon only with great difficulty. There are hardly any solid agreements and existing agreements tend to be ineffective. The execution of the nitrate directive, in fact the nucleus of the policy is years behind schedule in all Member States. There is a useful directive in operation dealing with the admission of agrochemicals to the market, but hardly anything is done to curb the use of these chemicals. This unconvincing picture also emanates from the environmental aspects included in the Common Agricultural Policy.

The emissions of nitrates and agrochemicals will be a problem in 2015 as it is today. The European Commission will attempt to improve the effectiveness of it's policies, for example by attaching more weight to environmental aspects in its price and income policies. Ideas have been launched about direct financial support for extensivation of production, for biological agriculture and for maintenance of low input agriculture in areas of high nature value. However, individual Member States tend to try to slow down these developments. It is hard to predict how the balance of power between Commission and Member States will develop over the next twenty years. After a period of increasing authority on the part of the Commission in the eighties we have entered a period of mounting resistance against further loss of souvereignty to Brussels. Expansion of the EU toward the South and East will not stimulate countries to transfer more competences to the Commission.

Determinants of environmental policies for agriculture

Most likely there will still be a large gap between the actual state of affairs and the environmental targets that would ensure sustainability in the year 2015. The games of give and take in the policy arena will thus continue to be staged then as they are now; the question is only how and to what end. Agreements on targets are reached in a dialogue between Member States. Two factors determine the position of countries take in such a dialogue: the nature of agriculture in the country and the political and economic weight of agricultural interests relative to environmental concerns.

In some Member States of the EU, notably in the North and West, agriculture has become an ever more soil and capital intensive, export oriented manufacturing industry. This process of industrialisation has eroded old social (corporatist) structures and traditional values. In terms of production volume and value agriculture represents large interests in these countries, but in terms of employment and relative contribution to GDP it is a marginal sector. In politics the sector therefore has a modest impact. The traditional spokesmen of agricultural interests in the civil service look for a new mission or get reorganised away. Farmers are being pushed into the role of guardians of our valuable natural resources and are suspiciously watched by government agencies who try to keep them on the right positive and negative economic incentives.

In other Member States, especially but not exclusively in the South and East, agriculture remains a sector of central interest within the national economy, both from an economic and from a social point of view. Agriculture, usually relatively extensive in character and organised around family farms, provides a large share of rural employment. Important regions in some of these countries enjoy comparative advantages in climate, natural circumstances and soil condition. Labour costs are relatively low and educational levels are slowly coming up to standards. Investment funds are finding their way into these economies. Large areas in these countries, where conditions are less favourable, remain traditional. In these countries the political weight of agriculture is large and economic growth and development takes precedence over environmental protection.

Ambitious environmental targets emerge from national policy arena's in wealthy countries where primary agriculture has developed into a small but integrated part of a high technological agro-industrial complex. In these countries the environment outvotes agriculture. Then these countries, as they realise that their internal policies hurt them on international markets, try to get comparable environmental requirements imposed on foreign competitors. Pleas for stiffening environmental policies in Brussels' councils and commissions can be expected more from countries practicing a high tech intensive agriculture than from countries with a more traditional type of farming.

Contrasts and antagonism between EU Member States are likely to increase over the coming decade or two. On the one hand, environmental problems in countries with intensive agriculture get ever more pressing, on the other hand the group of countries with a traditional farming sector is growing. This could strangle further progress in EU environmental policies for agriculture, it could paralyse the execution of environmental policies, and it could further jeopardize the authority of the European Commission in the area of environmental policy.

Research demands

At present, discussions about environmental targets for EU agriculture seem to have stalled. Deficiencies in the knowledge base on which analyses and arguments are built is one of the causes of the apparent deadlock. Deficiencies figure all over, from our understanding of the ecological resilience of the environment across Europe and the economic resilience of its farmers, to the drivers of public opinion and the determinants and dynamics of policy mechanisms.

There is no full picture of all relevant natural processes in soil, water and air; there is no integrated picture of the condition of the environment in Europe on a regional basis. There is lack of understanding of the interaction between environmental policy, farmers' behaviour and attitude, and environmental degradation. We are in need of scientific knowledge on the physical side of these processes, but also of economic and sociological knowledge about the behavioural components.

For a long time attention in agricultural research has been focussed predominantly on the supply side. However, agricultural producers have come to realise that they depend upon consumers and therefore need an understanding of their thoughts and opinions, e.g. with respect to environmental concerns and sustainability. Not only is our theoretical knowledge of consumer behaviour and attitude deficient, also we lack an overview of differences in these variables across Europe. A similar thing can be said about our understanding of policy mechanisms with regard to environmental policy across the EU: most importantly we lack an integrated and comparative inventarisation of the dynamics of policy formation and implementation in the EU Member States.

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