COUNCIL OF Brussels, 1 March 2002 (05.03) THE EUROPEAN UNION (OR. fr) 6666/02 AGRI 52 COVER NOTE from : Mr Sylvain BISARRE, Director, Secretariat-General of the European Commission date of receipt : 11 February 2002 to : Mr Javier SOLANA, Secretary-General/High Representative Subject : The Agricultural Situation in the European Union – 2000 Report Delegations will find attached Commission document COM(2002) 67 final. ________________________ Encl.: COM(2002) 67 final 6666/02 mip/AM/ck 1 DG B EN COMMISSION OF THE EUROPEAN COMMUNITIES Brussels, 11.02.2002 COM(2002) 67 final The Agricultural Situation in the European Union 2000 Report (presented by the Commission) Report in conjunction with the General Report on the Activities of the European Union - 2000 BRUSSELS AND LUXEMBOURG, 2001 TABLE OF CONTENTS 1. The agricultural year .............................................................................................. 12 1.1. Overview ............................................................................................................... 12 1.2. Output.................................................................................................................... 14 1.3. Producer prices and market prices .......................................................................... 16 1.4. Input prices ............................................................................................................ 18 1.5. Farm income.......................................................................................................... 18 1.6. Farm accountancy data network (FADN) ............................................................... 23 1.6.1. Farm incomes......................................................................................................... 23 1.6.2. Income by type of farming ..................................................................................... 23 2. Policy developments and legislative initiatives in 2000 .......................................... 28 2.1. Quality policy ........................................................................................................ 28 2.2. Organic farming..................................................................................................... 30 2.3. Promotional measures ............................................................................................ 30 2.4. Simplification of agricultural legislation................................................................. 31 2.4.1. Introduction ........................................................................................................... 31 2.4.2. Transparency and accessibility of agricultural legislation ....................................... 32 2.4.2.1. Consolidation......................................................................................................... 32 2.4.2.2. Recasting of the regulations relating to import and export licences......................... 32 2.4.2.3. Export destination codes ........................................................................................ 32 2.4.2.4. Paying agencies’ proposals..................................................................................... 32 2.4.2.5. New guidelines for state aids.................................................................................. 32 2.4.3. Simplification measures in the market sectors ........................................................ 33 2.4.3.1. Flax and hemp........................................................................................................ 33 2.4.3.2. Meat....................................................................................................................... 33 2.4.3.3. Milk and milk products .......................................................................................... 33 2.4.3.4. Fruit and vegetables ............................................................................................... 33 2.4.3.5. Rice ....................................................................................................................... 34 2.4.4. Small farmers’ scheme........................................................................................... 34 2.5. State aids................................................................................................................ 34 2.5.1. A new legal framework.......................................................................................... 34 2 2.5.2. Overview of the year.............................................................................................. 35 2.5.3. Exceptional occurrences and natural disasters ........................................................ 36 2.5.3.1. Dioxin - (B) ........................................................................................................... 36 2.5.3.2. Recovery of the French forestry sector - (F) ........................................................... 36 2.5.4. Privatisation and restructuring................................................................................ 37 2.5.4.1. Aid for land purchase - (D) .................................................................................... 37 2.5.4.2. Restructuring and privatisation plans of EPAC and Silopor - (P) ............................ 38 2.5.4.3. Centrale del Latte di Roma - (I).............................................................................. 38 2.5.5. Fiscal measures...................................................................................................... 39 2.5.5.1. CO2 tax exemption for the glasshouse horticulture sector - (NL) ............................ 39 2.5.5.2. Exemption from mineral levies - (NL).................................................................... 40 2.5.6. Operating aids: Greek cooperatives - (EL).............................................................. 41 2.5.7. RIBS: State aid granted under market conditions - (I)............................................. 41 2.5.8. Pigmeat sector........................................................................................................ 42 2.5.8.1. Aid for pigmeat production - Stabiporc - (F) .......................................................... 42 2.5.8.2. Pig assembly centres - (NL) ................................................................................... 42 2.5.9. Livestock sector: general measures......................................................................... 43 2.5.9.1. Abandoning capacity: exiting scheme for intensive livestock farming- (NL) .......... 43 2.5.9.2. Livestock transport: "Gaelic Ferries"- (IRL)........................................................... 45 2.5.9.3. Aid to livestock farmers affected by adverse weather conditions - (IRL) ................ 45 2.5.10. Sugar sector ........................................................................................................... 46 2.5.11. Citrus sector........................................................................................................... 47 2.5.11.1. Aids for the citrus sector in Sicily - (I) ................................................................... 47 2.5.11.2. National action plan for the citrus sector - (I) ......................................................... 48 2.5.12. Wine-growing........................................................................................................ 49 2.6. Assistance to the needy .......................................................................................... 50 2.7. The outermost regions............................................................................................ 50 2.8. Information measures concerning the CAP............................................................. 51 2.9. Report on activities in the field of ICT (information and communication technologies).......................................................................................................... 52 2.10. Advisory committees and relations with bodies representing the trade.................... 53 3. Agricultural markets............................................................................................... 55 3 3.1. The 2000/01 price package..................................................................................... 55 3.2. Crop products......................................................................................................... 55 3.2.1. Cereals................................................................................................................... 55 3.2.1.1. World market......................................................................................................... 55 3.2.1.2. Community market ................................................................................................ 56 3.2.2. Oilseeds ................................................................................................................. 57 3.2.3. Peas, field beans and sweet lupins .......................................................................... 58 3.2.4. Linseed .................................................................................................................. 58 3.2.5. Grain legumes (chickpeas, vetches and lentils)....................................................... 58 3.2.6. Non-food production.............................................................................................. 59 3.2.7. Rice ......................................................................................................................