EU member states clash over CAP reform as farmer crisis deepens

Agriculture ministers met on 27 April in Luxembourg for the Agriculture and Fisheries Council to shape the Common Agricultural Policy (CAP) after 2027 while confronting an acute economic crisis gripping the sector. Discussions revealed deep divisions over how to distribute direct payments, balance environmental goals with economic viability, and deliver immediate relief to farmers squeezed by high costs and low prices.

At the heart of the debate stands the European Commission’s push for degressivity and capping of direct area-based payments. These mechanisms would gradually reduce and limit subsidies for larger recipients, aiming to create a more equitable system and free up resources for other priorities. Agriculture and Food Commissioner Christophe Hansen acknowledged the proposal’s unpopularity but insisted that core rules must remain set at EU level to guarantee a level playing field across the bloc.

Poland has emerged as a vocal opponent. Minister of Agriculture Stefan Krajewski made clear before and during the meeting that his country wants decisions on fund allocation to stay firmly in national hands. “We want this to remain at the member state level, so that we can make these decisions domestically,” he stated. Several other countries echoed calls for greater flexibility, with the Cypriot Presidency noting a broad preference for a more voluntary approach to capping and degressivity.

Tensions between uniform rules and national needs

Commissioner Hansen emphasized that savings generated by degressivity and capping would remain within the respective member state or even region, depending on national choices. Countries could redirect those funds toward modernisation, competitiveness, and job creation, including support for larger, more efficient farms, or toward rewarding environmental services and sustainable practices.

Yet Hansen firmly rejected making the capping mechanism entirely voluntary, arguing it would undermine the common nature of the policy that all member states expect. He showed openness, however, to exempting young farmers from caps, recognizing the contradiction in simultaneously encouraging generational renewal while potentially clawing back support. “I am open to discussion about whether… it wouldn’t make sense to ultimately not help young farmers in a situation where, on the one hand, they receive support, but on the other, we take money away from them,” he said.

The Commission has also proposed doubling the share of CAP funds dedicated to young farmers, raising it from 3% to 6%. This shift, Hansen explained, requires reallocating resources elsewhere given overall budget constraints. Cypriot Minister Maria Panayiotou highlighted a consensus that generational renewal should rely on positive incentives for young entrants rather than penalizing older farmers. Further talks on these issues are set to continue at the next AgriFish Council in June.

Beyond structural reforms, the meeting exposed widespread alarm about the immediate viability of European farming. Soaring energy and fertilizer prices, combined with persistently low farm-gate prices, have left many producers – especially grain farmers – unable to cover costs. Commissioner Hansen did not mince words: “They are not earning a living from their work. And this situation is very serious.” He recounted conversations with farmers contemplating taking land out of production, a scenario he is determined to prevent ahead of the next planting season.

The fertilizer action plan and short-term measures

Minister Krajewski confirmed the difficulties extend across Europe. In response, the Commission is fast-tracking both financial and regulatory relief. A key deliverable is the Fertilizer Action Plan, scheduled for presentation on 19 May. The plan aims to reduce dependence on imported fertilizers, boost domestic production, accelerate the shift to bio-based and low-emission alternatives, and promote nutrient recycling, biomethane, biogas, and innovative technologies.

Hansen noted that the suspension of Most Favored Nation status for certain fertilizers is already in motion and should help ease prices, although it will not fully resolve the crisis. Ministers also discussed the definition of an “active farmer” in the future CAP, an issue that directly affects eligibility for income support and the overall fairness of fund distribution. There was broad agreement on the need for a strong, adequately funded CAP that safeguards food security while adapting to national realities.

The Luxembourg meeting occurred against a backdrop of years of accumulated pressure. Russia’s invasion of Ukraine exposed vulnerabilities in fertilizer supply chains, while European Green Deal regulations added compliance costs at a time when energy prices were already volatile. Farmer protests across multiple countries forced earlier policy adjustments, yet many in the sector feel the support remains insufficient.

As Europe prepares for the 19 May Fertilizer Action Plan, farmers and ministers alike await concrete measures that go beyond regulatory tweaks. The coming months will test whether the EU can reconcile ambitious sustainability targets with the urgent need to maintain viable, productive agriculture. Success will depend on finding the right balance between common European rules and the flexibility member states need to address their specific challenges.

The outcome of these negotiations will shape not only the next CAP period but also the resilience of Europe’s food system in an increasingly uncertain world. With planting decisions looming and profitability under threat, the pressure is on Brussels and national capitals to deliver meaningful solutions that keep farmers on the land and production stable.

The original of this article in Polish by EUalive’s partner FocusEurope.pl can be found here.

Caption: A view of rapeseed fields in bloom near Zuklin, southeastern Poland, 2 May 2026. Poland is one of top EU producers of rapeseed for high-quality edible oils and sustainable biofuels. EPA/DAREK DELMANOWICZ