Land improvement and preparations for 2014-2020 programming period

Marko Gorban

17 May 2012

Content of presentation

• RDP 2007-2013

• Challenges and outlook for land improvement

• Preparations for the 2014-2020 programming period

RDP 2007-2013

Land improvement as part of CAP II pillar

• Total budget for EU rural development policy is 96,2 bln euros

• Land improvement is supported through Infrastructure related to agriculture and forestry

• MS spend 5 bln euros to the measure (5,3% of budget)

• On EU-level 28% of funds foreseen for measure have been used

Share of Infrastructure related to agriculture and forestry in RDP budget

5,2%4,5%

0%1%

2%3%4%

5%6%7%8%

9%10%

EU-27

Estonia

Usage of funds for Infrastructure related to agriculture and forestry

28%

60,1%

0%10%

20%30%40%50%

60%70%80%

90%100%

EU-27

Estonia

Supporting land improvement investments in Estonia

• 2004-2006 ENDP measure 3.4 Integrated land improvement – budget 8,3 mln euros

• 2007-2013 RDP measure 1.8 Infrastructure of agriculture and forest management – budget 41,8 mln euros

Land improvement investment measure in 2004-2006 and 2007-2013

8,3

41,8

05

101520253035404550

2004-2006 2007-2013

mln

eur

os

Implementation of RDP and measure 1.8

Implementation of RDP measure 1.8

100% 100%

80,0%

99,7%

60,1%57%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

RDP Measure 1.8

Budget

Commitments

Payments

Main results of RDP measure 1.8

• 233 projects approved • 37 thousand ha of land improvement systems

constructed, reconstructed and renovated • 632 km of roads constructed, reconstructed and

renovated• More than 460 environmental protection facilities

constructed, reconstructed and renovated

Challenges and outlook for land improvement

Climate change

Source: European Commission - DG AGRI, EEA, JRC

Food security

• By 2050 world population over 9 bln people• To feed the world population in 2050, need to produce 70%

more food- it presumes additional 1 bln tons of cereals production- it presumes additional 200 mln tons of meat production

• To provide this food, additional 5% of agricultural land (70 mln ha) needs to be taken into use

• Rest of the food demand can be covered by increase in average yields 0,7% annually (by 2050 average yield is 4,3 t/ha)

• Urbanization and changes in consumption patterns – by 2050 70% of people are living in cities

Land use in Estonia

• 940 thousand ha of agricultural land• SAPS applied to 885 thousand ha• Agri-environmental support applied to 417

thousand ha• LFA support applied to 368 thousand ha• Permanent pasture 287 thousand ha• Organically farmed 120 thousand ha

Land improvement in Estonia

• 1,3 mln ha of drainage systems, including 644 thousand ha on agricultural land and 697 thousand ha on forest land

• 522 000 ha of agricultural land and 600 000 ha of forest land possible to operate only if the land improvement systems are functioning

• Most of the land improvement systems built more than 30 years ago

• Average land improvement system 60-400 ha, covers land of different owners

• 144 land improvement cooperatives

Investment need in land improvement

Kuivendussüsteemide vanus

0

50000

100000

150000

200000

250000

300000

61-65 56-60 51-55 46-50 41-45 36-40 31-35 26-30 21-25 16-20 11-15 6-10 1-5

aastat

Pin

da

la [

ha

]

Preparations for the 2014-2020 programming period

Preparations of RDP 2014-2020

• Started preparations in the spring 2011• Have finalized situation analysis for new RDP• Have started ex ante evaluation • June 2012 – objectives of the CSF funds to be approved by

Government• September 2012 – financial tables to be approved by the

Government• December 2012 – draft Partnership Contract and RDP to

be submitted for preliminary approval to Government

Preparations of RDP 2014-2020 (2)

• Steering committee has been formed:- background for Estonian positions- input to Partnership Contract- coordination and approval of the RDP 2014-2020

• 29 different organizations (including land improvement association) involved in the Steering committee

• 5 sessions so far – discussions on situation analysis and objectives of the RDP 2014-2020

Objectives of RDP 2014-2020

• Strengthening and developing the linkages between producer, processor, advisor and scientist by implementing innovation and research results in advisory services and production process and by promoting knowledge transfer

• Increasing competitiveness and resource efficiency of agricultural sector, which is targeted at sustainable food production

• Creating conditions for sustainable age structure in agricultural sector

• Strengthening market position of enterprises engaged in producing and processing of agricultural products and improving horizontal and vertical cooperation in producing, processing and marketing of agricultural products

Objectives of RDP 2014-2020 (2)

• Guaranteeing agricultural land use, which is purposeful, retains soil fertility, environmentally-friendly and takes into account regional specifities

• Preserving high nature value agriculture and forestry, biodiversity and traditional landscapes through promotion of favourable production methods

• Fostering diversification of agriculture and [rural enterprise], providing alternative employment opportunities for people disengaged from agriculture and promoting quality of life

• Promoting local initiative and targeting it to solutions based on local resources and potential in developing local living and enterprise environment

Thank You for Your Attention!