1. Common Agriculture Policy (CAP) after 2013: the Hungarian standpoint __________________________________________________ S. Benedek, Á. Gábor, K. Kujáni and B. Kruppa Szent István University, Gödöllő ERASMUS-IP, 2 July, 2010

2. 1. Characterisation of Hungarian Agriculture

3. What is good to know about Hungary Our Country is suitable for the continuation of agricultural activities The main sector in Hungary: – Plant production – Horticulture (fruits and vegetables) – Wine production – Animal production

4. Soil map of Hungary

5. Plant production in Hungary The most important plants are: – maize – wheat Cereals 2.934.000 ha 69,1 % Wheat 1.131.000 ha 27,9 % Maize 1.198.000 ha 28,4 % Sonflower511.000 ha 12,2 %

6. Fruits and vegetables in Hungary Apple from Szabolcs county Plum from Szatmár County Peach from Kecskemét Pear Walnut from the Nort Balaton region

7. About the vegetables Potatoe Tomatoe Cabbage Papper Onion Garlic Root- crops

8. Animals in our country Pig Cattle Poultry Sheep Traditional species: „mangalica”, „grey cattle”, „racka”

9. Strengh in our agriculture Hungarikums Traditions Good climate to the fruits and vegetables Cheap labor force

10. Weakness in the agriculture Default of the found Econimie enviroment and taxes Processing industry The system is too bureaucratic

11. Opportunites in Hungary Traditional animals ( mangalica, racka) Thermal water Danube and Tisza river

12. 2. Hungarian position for CAP beyond 2013

13. How should the CAP look like in 2020? - Simple - Market oriented - Justified - Green - Fair - “ Public goods oriented” - Simple - Market oriented - Justified - Green - Fair - “ Public goods oriented” Future CAP The CAP has to be more…

14. Main directions: - Maintaining the current structure! - Maintaining the total funding at current level! Pillar 1 Single Payment Sceme (SPS) Pillar 2 Rural Development EU-fundedCo-funded € 20132020Gradually implemented

15. Pillar 1 (Single Payment Sceme) Flat rate model (200 €/ha) Simplification of cross-compliance Completely decoupled payments Particular coupled payments in sensitive areas Strenghtening modulation Intervention in special cases

16. Allocation of direct payments in 2013 and 2020 2013 2020 Flat rate model

17. Pillar 2 (Rural Development) 1. Climate change axis 2. Structural improvement axis 3. Diversification axis 3 axis Measures: -CO2 emission reduction -Green energy production -risk management -preserving water resoruces -Biodiversity Measures: -Improving human potential -Restructuring and developing phisical potential -Improving the quiality of production and products Measures: -Improving non- agricultural activities -Improving the quality of life -Supporting micro businesses Depends on GDP

18. Climate stability Agricultural landscapes Air quality Food security Rural vitality Carbon storage Water availability Resilience to fire and flooding Farmland biodiversity Farm animal welfare and health Soil functionality Water quality Public goods Rural development helps farmers to provide…

19. 3. Hungarian vision for CAP

20. Health Check (2008) → Changes in CAP after 2013 (Fehér, 2013) 1.Number of pillars (1,2,3) 2.Large and small farms 3.New system of direct payments 4.Water management 5.Rural development 6.Working places 7.Agricultural administration 8.Advisory system 9.Co-finance 10. SPS: experience in the member states

21. Support of farmers in the new EU-members (PSE) between 1990-2006 (Kirschke, 2009)

22. Rural development (1): population in Hungary

23. Rural development (2): unemployment in Hungary

24. World population growth  At present 6.8 billion  Yearly growth: 75 million (+ 1.1%)  2040: 9 billion

25. The CAP after 2013: questions… Direct payments Markets Rural development Structural adjustment Public goods

26. Conclusion Agriculture: feeding the growing world population CAP → necessary? Conception: intensive and sustainable agriculture

27. Thank you for your attention!