Agenda 2000: arable crops, support system for producers

PURPOSE: to strengthen the support system for producers of certain arable crops introduced by the 1992 CAP reform in order to improve the competitiveness of European agriculture by bringing European prices closer to world prices. COMMUNITY MEASURE: Council Regulation 1251/99/EC establishing a support system for producers of certain arable crops. CONTENT: The Council's Directive falls within the scope of the CAP reform and reflects the Agenda 2000 guidelines with respect to the arable crops sector (protein crops, cereals, grass silage and set-aside, linseed and oilseeds). The main characteristics of the regime are as follows: - granting of area payments; - for cereals, oilseeds and protein crops, the intervention prices are reduced by 15% in two equal tranches of 7.5% from the 2000-2001 marketing year onwards, falling from the current 119.19 euros per tonne to 101.31 euros per tonne; - the system of monthly increases, which introduces seasonal corrections, is maintained; - the direct payments change, in two annual installments, from 53 to 63 euros per tonne. In the case of oilseeds, the direct payments per hectare are brought in line, in three annual stages, with the level of payments for cereals, and the reference price system for oilseeds will be abolished in 2000; - protein crops will benefit from a premium added to the basic direct payment, taking the total aid to 72.5 euros from the 2000-2001 marketing year; - the compulsory set-aside is maintained until the 2006-2007 marketing year with a basic rate of 10% from the 2000-2001 marketing year; - the voluntary set-aside is maintained, but the system will be improved, in particular bearing in mind environmental considerations; - the compensation granted for land set-aside is set at 63 euros/tonne from the 2000-2001 marketing year; - the minimum price for potatoes used to produce starch is set at 1778.31 euros/tonne from the 2001-2002 marketing year onwards, while the payment to producers will be 110.54 euros/tonne, the national quotas being adapted as a result; - the Member States in which maize is not traditionally produced have the possibility to make grass silage eligible for area payments and to define the specific sub-base areas of grass silage to which the basic reference yield for arable crops is applied. ENTRY INTO FORCE: 27/06/1999. The Regulation applies from the beginning of the 2000-2001 marketing year.�