Adopting a 2024 promotion coverage work programme, the EC will plough the multi-million-euro funding into creating new market alternatives for the agrifood sector.
“For 2024, the work programme comprises a price range of €185.9m for co-finance promotion actions designed to lift consciousness of EU agricultural merchandise’ high quality, gastronomic traditions, and dietary and sustainability options,” Olof Gill, spokesperson for commerce and agriculture on the European Fee (EC), advised FoodNavigator.
Whereas a welcome signal of assist and progress in pursuing agrifood improvement, the €185.9m quantity is similar as 2023.
“The price range must be strong and preserve its capability for adaptation to reply to ongoing challenges,” Ignacio Sanchez Recarte, Secretary Normal on the Comité Vin, which represents the European wine sector and carefully follows the Promotion File, advised FoodNavigator. “But, it’s price mentioning that the price range in 2020 was nearer to €200m.”
Optimistic variations are current within the 2024 EU agrifood promotion coverage, nevertheless. Sanchez experiences there may be “no discriminatory standards towards alcoholic drinks and purple/processed meat put ahead because it was achieved within the 2023 preliminary proposal, beneath the ‘relevance’ sub-criterion throughout the award standards evaluation”.
Allocating budgetary spend
Via its capital injection, the EC goals to develop prospects for farmers and the broader meals sector within the EU and assist them in sustaining their current work. Together with boosting sustainable agricultural product manufacturing and consumption, the promotion coverage strives to assist the EU agrifood sector’s sustainable restoration in a difficult financial context.
In 2024, agrifood promotion campaigns will give attention to that includes merchandise from sustainable farming practices that decrease dependence on pesticides and antimicrobials, minimise fertilisation and water air pollution, scale back greenhouse fuel emissions (GHG), increase natural farming, and elevate animal welfare.
Sustainably produced agrifood merchandise will obtain €62m, together with €42m for natural merchandise. As a part of their aims, the EU hopes to additional increase European customers’ recognition of the EU natural brand and natural product consumption, aligning with the present EU motion plan for natural manufacturing.
The EC will break up the entire quantity of funding between EU inside market campaigns and people in third nations, with €81.3m going to European initiatives and €85.1m injected into third nations.
In assigning the spend to initiatives inside and outdoors the EU, the EC has recognized nations and areas with excessive progress potential as predominant promotion targets. These embody China, Japan, South Korea, Singapore, and North America. Within the EU, the UK stays a key export market, the EC detailed, making up over a fifth of exports.
Rising EU and international manufacturing
“The EU’s promotion coverage helps EU producers promote their farm merchandise in an more and more aggressive international market whereas delivering jobs and progress at dwelling,” mentioned Gill.
The idea for the EU agrifood promotion coverage is Regulation EU 1144/2014, which issues the promotional measures for agrifood merchandise within the inside market and third nations. The Regulation units out the primary intention of agrifood promotion coverage: to reinforce the competitiveness of EU farmers and agrifood companies.
Primarily based on the mentioned Regulation, the European Fee prepares an annual work programme to assist EU farmers and agrifood companies, Gill mentioned, “whose merchandise meet the top quality, security and environmental requirements relevant within the EU”.
As per the Regulation, two particular forms of promotion motion can be found: these run by European commerce or inter-trade associations and co-financed by the EU and people run immediately by the EU itself, corresponding to diplomatic offensives by the Commissioner in non-EU nations to increase upon agrifood commerce or participation in gala’s and communication campaigns.
“The coverage was applied to extend customers’ consciousness of the deserves of the Union’s agricultural merchandise and manufacturing strategies and to extend the notice and recognition of Union high quality schemes,” added Gill.
“The promotion coverage should proceed to assist all agricultural sectors to attain the notice of the excessive requirements of the EU by way of meals manufacturing and value-added,” mentioned Sanchez. In any other case, the priority is that EU merchandise will lose market share to others. “The general geopolitical ferment is creating uncertainty concerning the commerce relations with third nations sooner or later and their doable implications for initiatives,” added Sanchez.
Commerce alternatives for agrifood in 2024
Funding in 2024 will assist EU high quality schemes and the standard and gastronomic options of EU agrifood merchandise. As well as, it would additionally assist natural merchandise, contemporary fruit and greens within the context of wholesome diets and sustainably produced merchandise.
The plan goals to reinforce the notice of the EU’s high quality schemes and merchandise registered as protected designation of origin (PDO), protected geographical indication (PGI) and conventional speciality assured (TSG). Over 3,500 names of agrifood merchandise and drinks are at present protected beneath the coverage. It goals to make sure customers have entry to genuine merchandise and protect the EU’s cultural and culinary heritage.
All agricultural merchandise within the context of meals are eligible, as are sure processed meals merchandise corresponding to pastry and pasta, supplied they meet the authorized necessities. Promotion actions geared toward customers on the interior market should check with and align with the focused Member State(s) dietary tips.
“Agrifood product builders will be capable to open new markets for his or her merchandise and high quality schemes, diversify their buying and selling companions and change into extra aggressive,” Gill continued. Furthermore, these alternatives can be doable within the EU and international markets.
“Finances allocations must mirror market realities and take into consideration the submission statistics,” continued Sanchez. The programme, subsequently, Sanchez continues, requires extra vital assist for easy programmes, high quality schemes and different sustainable agricultural practices on the interior market. “As for multi programmes, ideally, the price range would have to be boosted for third nations,” Sanchez added.
The 2024 coverage has launched a “flexibility clause”, a welcome transfer for a lot of operators. Re-allocating unused funds from easy to multi-products will keep away from doable budgetary reductions on the grounds that the price range is underused. Nonetheless, Sanchez famous that the challenge submissions lower is principally because of the continuation guidelines and never lack of curiosity.
Shifting previous manufacturing limitations
“The primary goal is to assist the competitiveness of EU farmers and agrifood companies whereas supporting their transition in the direction of extra sustainable meals manufacturing,” added Gill.
“The annual work programmes ought to assist the event of consumption developments and never pre-empt customers’ behaviour,” mentioned Sanchez. Because of this, Sanchez highlighted that any disproportionate allocation between natural and different sustainable practices that don’t match the supply and demand pushed by the market must be prevented.
“The EU Promotion Coverage has been very profitable in boosting the competitiveness of EU agrifood merchandise,” mentioned Sanchez. The hope is for it to proceed for all meals and beverage trade sectors.
Reaching agrifood manufacturing and consumption targets
Amid rising well being and sustainability consciousness and subsequent stress this places on agrifood improvement and provide chains, the EC’s monetary assist is seen as a optimistic step in the direction of bolstering meals safety.
“This assist is particularly vital at a time when the sector is dealing with inflation and geopolitical uncertainties,” mentioned Gill. “Within the occasion of great market disturbance, lack of shopper confidence or different particular issues, the coverage helps restore regular market circumstances.”
In an analysis of the EU agricultural promotion coverage, Gill mentioned: “The coverage and, subsequently, the annual spending had a optimistic influence on the agrifood sector, and promotion actions had been efficient.”
“The disproportionate allocation between natural and different sustainable practices represents a problem as a result of it doesn’t match the fact of manufacturing and consumption,” mentioned Sanchez. Regardless of this, sustaining the general price range and eliminating discriminatory standards present certainty to these operators who rely upon these programmes for promotion.
In 2023, the EU held a collection of data days detailing the annual work programme and requires proposals, exploring commerce alternatives and selling agrifood merchandise within the EU and overseas. The EU will maintain data classes on thirty first January and 1st February 2024. The European Analysis Government Company (REA) will maintain proposal calls from 18th January to 14th Could 2024.
