1. Agricultural Policy and Grasslands Jaak Herodes Estonian Farmers Federation

2. So far… European Union Common Agricultural Policy has developed continuously during its history Half of the European Union's land is farmed This fact alone highlights the influence of farming on the EU's natural environment but so far CAP focused on agricultural income and production

3. Agenda 2000 CAP two pillars: the market and income policy ('first pillar'), and the sustainable development of rural areas ('second pillar') increasingly aimed at heading off the risks of environmental degradation encouraging farmers to continue to play a positive role in the maintenance of the countryside and the environment by targeted rural development measures and by contributing to securing farming profitability in the different EU regions.

4. Current CAP reform The 2003 CAP reform brings greater quality to environmental integration, with new or amended measures to promote the protection of the farmed environment in both pillars. But: De-coupled payments – how to manage grasslands/valuable landscapes now? What is the impact of support entitlements to grassland management, biodiversity and valuable landscapes? How important are (natural) grasslands?

5. Grassland Multifunctional: Income: -agricultural production -tourism … Non profitable purposes: -preservation of resources -biodiversity -Impact of agriculture on landscapes…

6. Estonia

7. LFA in Estonia

8. LFA In whole Estonia less-favoured areas are together 2,259 thousand hectares (49,95% from state area). Forecasted supported area at 400 thousand ha. 2004 - 8323 applicant 297 452 ha

9. Estonia For future: At least 800 000 ha are maintained under CAP I pillar; Possibility to expand maintenance of valuable landscapes and biodiversity under CAP II pillar (RDP) Purpose – to maintain valuable landscapes and expand agricultural production - food and non-food

10. For future discussion As there is a number of choices for the member states it is worth to analyze: Purpose of landscapes (income/ environment) ? Best way to maintain valuable landscapes, biodiversity and manage grasslands?

12. Thank You!