Daniel Hannan on idiocy of EU's Common Agricultural Policy 12Oct11

Summary

This transcript features a debate on the European Union's Common Agricultural Policy (CAP), its financial costs, environmental impact, and its role in shaping agricultural practices. British taxpayers contribute significantly to CAP subsidies, but critics argue that the system leads to higher food prices, harms developing countries, and encourages unsustainable farming practices. Supporters, like Tom Hind, argue that CAP provides essential support for farmers, ensuring food security and environmental sustainability. The discussion touches on broader issues such as Brexit, with some MEPs suggesting the UK should leave the EU due to CAP’s detrimental effects on British farmers.

Takeaways

• 😀 The Common Agricultural Policy (CAP) costs UK taxpayers approximately £107 per person annually, contributing to a total of £48 billion each year.
• 😀 Despite reforms to make CAP more environmentally friendly and fairer, the new deal will still result in minimal changes to the amount UK taxpayers pay.
• 😀 The EU aims to make CAP greener by implementing new environmental criteria and capping payments to large landowners, but food prices remain high.
• 😀 The CAP has been criticized for its negative effects on Africa, especially in blocking access to European markets for African producers.
• 😀 Critics argue that CAP encourages environmental damage in Europe, such as the destruction of hedgerows and the use of chemical-based fertilizers and pesticides.
• 😀 Dan Hannan, a conservative MEP, argues that the CAP system has been disastrous for Britain, particularly by subsidizing foreign competitors instead of supporting UK farmers.
• 😀 The CAP system results in higher food bills for UK consumers, with an average family of four paying nearly £2,000 more per year due to food price inflation.
• 😀 Tom Hind of the National Farmers Union (NFU) argues that although CAP reforms are needed, it still provides essential support to UK farmers and prevents widespread farm closures.
• 😀 There are concerns that scrapping the CAP overnight could lead to a collapse of UK farming and higher food prices due to the loss of support for farmers.
• 😀 The debate highlights the tension between reducing taxpayer costs and maintaining agricultural support to ensure food security and sustainability in the UK.
• 😀 The CAP, although reformed over time, remains a contentious issue, with ongoing debates about its effectiveness, environmental impact, and economic fairness.

Q & A

What is the total annual cost of the Common Agricultural Policy (CAP) for the European Union?

The total annual cost of the CAP is £48 billion.

How much does each British taxpayer pay annually toward CAP subsidies?

Each British taxpayer pays about £107 annually to subsidize farmers under the CAP.

What changes does the European Commission propose for CAP subsidies?

The European Commission proposes that large landowners' subsidies be capped at £262,000 per year and that 30% of direct subsidies be dependent on meeting environmental criteria.

How does the European Commission's proposal impact the overall cost of the CAP?

Despite the proposed reforms, the overall cost of the CAP will remain largely unchanged, with a slight decrease from 40% to 37.5% of total EU spending.

What is Dan Hannan's main criticism of the Common Agricultural Policy?

Dan Hannan criticizes the CAP for being an economic disaster, particularly for Africa and European ecosystems, and for artificially raising food prices while benefiting large landowners.

What argument does Tom Hind make in defense of the CAP?

Tom Hind defends the CAP by arguing that without it, many farmers would go out of business, leading to higher food prices and a loss of essential public goods like environmental protection and animal welfare.

What is Dan Hannan's view on the impact of CAP on British farmers?

Dan Hannan believes that CAP harms British farmers by subsidizing their competitors, putting them at a disadvantage and preventing them from competing on a level playing field.

How does Tom Hind justify the cost of the CAP to the British public?

Tom Hind justifies the cost by explaining that the CAP helps ensure affordable food prices and supports the farming industry, which is essential for food production and public goods like environmental sustainability.

What would likely happen if the CAP were abolished, according to Tom Hind?

If the CAP were abolished, Tom Hind argues that food prices would rise significantly, as many farmers would go out of business and the domestic food production system would collapse.

How does the debate reflect broader concerns about the European Union's policies?

The debate reflects concerns about the EU's economic policies, particularly their impact on national sovereignty, the cost to taxpayers, and the competitiveness of farmers in a global market.