European Economics Essay Example | Topics and Well Written Essays - 2500 words

European Economics - Essay standardBut this has sweared unsustainable unsophisticated sectors. therefore, after three reforms in 1992, 1999 and 2003 it has been reduced to 45%, which is 55 billion euro per year, with the prospect of further reductions in regard to new long term EU budget of 2014 2020. (EC. 2005 Doliak, 2004 Europa, 2011) There were two pillars of CAP. The first pillar was the current Single Farm Payment whereas the measures of the second pillar aimed to support development and diversification of rural communities. The CAP Health Check was launched in 2008, so as to overhaul the policy and provide assistance when answering to new challenges such as climate changes. The EU 27 to a fault agreed to further cut direct subsidies to farmers, so that there can be get ahead of the rural development policy and also toabolish quotas on milk production. (ELO. 2001 EC., 2003) The future of CAP beyond 2010 in context of the general reform of EU budget has started in 2010. The European Commission highlighted the particular that farming must do more to mitigate climate changes and consider the option to establish the ternary pillar of CAP focusing on this issue. Also it stressed that the current single payment arrangement could by maintained but targeted at providing public goods so as to real EU added value. causation commissioner Marian Fischer Bowl has committed to the farmers to carbon emission will be reduced by 20 % by the year 2020. (Europa, 2011) The biggest recipient of CAP funds was France. The largest per capita beneficiaries from CAP were Greece and Ireland. All four graduated countries were pull in beneficiaries of EU budget and CAP funding. At the start of February 2010, the ministers of agriculture of Hungary, Slovakia, Poland, Romania, Lithuania, Latvia, Estonia, Cyprus and Bulgaria agreed in Warsaw on common statement on the future of CAP after 2013. They wanted both pillars to be preserved. They also opposed to the idea of basin g the payment level on historical principle. The economic crisis seriously attacked the European agricultural sector, especially the Dairy Farming. Farm milk prices began to fall in late 2008 until it brought the whole sector at the edge. Europe was a witness of several protests of farmers calling for action against volatility of prices and phasing out milk quotas as soon as possible, due to surplus production of milk and dairy products and falling prices. (Europa, 2011) In most 2020, the European Commission will publish a Communication on CAP which will examine the food, natural resources and territorial challenges in the near future. The reform focused in making the European agriculture sector more dynamic, competitive, and effective in responding to the Europe 2020 vision of stimulating sustainable produce, smart growth and inclusive growth. The paper outlined three options for further reforms. In mid 2011, the Commission will hand over formal legislative proposals following the discussion on these ideas. (Europa, 2011) On the basis of the Communication today, the Commissioner of EU factory farm and Rural Development highlighted on the importance of making CAP greener, fairer, more efficient and more effective. As per him, CAP will not be just for farmers but for all the EU citizens as consumers and taxpayers. Hence, it is weighty that we design our policy in a way which will more simply