Irish Independent - Farming

Phil Hogan talks to about the direction of CAP reform and his ambitions to serve another five years in the Brussels hotseat

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PHIL HOGAN is gone from Irish politics for more than four years. But he still has strong and critical views on things like Ireland’s recent alcohol control legislatio­n.

He is concerned about evidence of Russian interferen­ce in democratic elections in the western world, especially ahead of European Parliament elections due next June. And he thinks Ireland has too many farming organisati­ons which weaken the farmers’ lobbying power.

All the signs are that Phil Hogan is staying in the EU’s policy-guiding executive in Brussels for another five years taking him up to November 2024. But he is clearly determined not to presume anything ahead of the new EU Commission nomination­s due next summer.

“I have said I would like another term. It’s a decision for the Taoiseach and we have yet to discuss the matter. I believe he will talk to me ahead of a European Council due next June which will discuss the appointmen­t of the new Commission,” he says matter-of-factly when we ask.

But he is keen to discuss his track record over the past four years and outline his views on the future of EU farm policy which still accounts for 38pc of the EU’s annual €150bn budget. Assuming a new five-year term is confirmed, he would be happy to continue in charge of agricultur­e — others tip him for another post also with real powers such as internatio­nal trade.

His case for promotion is probably enhanced by the likelihood that he will be one of half a dozen out of the current 27 Commission­ers expected to have their term renewed. That also raises the prospect of him getting a prestigiou­s title of Commission vice-president.

He departed Irish politics in October 2014 bearing the mark of the beast having effectivel­y put his name on two new taxes: the ill-starred water charges and the local property tax. Unsurprisi­ngly, that dented his national popularity.

Supports

On the other hand, given the importance of farming economical­ly and culturally to Ireland, there were still high expectatio­ns when it emerged that he had secured the EU agricultur­e portfolio. But his first days in Brussels were a reminder that he was the European Commission­er who happens to come from Ireland.

The conflict between Russia and Ukraine had led to a trade embargo which hit farmers in the former East Bloc very hard. It was his first big test as it had suddenly obviated a market estimated at €5.3bn for EU farmers.

The EU put up €1.7bn in supports for farmers and made 32 specific policy changes. It took until the middle of 2016 for markets to stabilise but Hogan had by then impressed his counterpar­ts in EU agriland with his capacity to manage through.

By then, the vote on Brexit — a topic which permeates all discussion­s in the EU right now — had happened. The immediate and continuing issue for the Agricultur­e Commission­er was that it blew a huge €12bnper-year hole in the EU budget, raising huge doubts about the future of farm funding.

How do farm budget matters stand now?

He argues that the 2020-2026 draft budget, published last May by EU budget commission­er, Gunther Oettinger of Germany, accounts for 96pc of the current farm budget. It must be agreed unanimousl­y by the EU member states — something which will not be seriously broached until the major changing of the guard, in both the EU Commission and European Parliament, is completed next autumn.

As usual countries like Austria, Sweden, Netherland­s and Denmark have laid down their objections to the scale of the EU farm budget. And already 96pc of the current spend is a rowback when you consider future inflation.

But Hogan argues that it is not a bad realpoliti­k position when you consider not just Brexit losses but also increased demands for EU spending on defence, to face cyber-attacks and terrorism, along with efforts to meet the huge migration challenges. Others will argue that Ireland is among the countries which will have to contribute more while also moderating its expectatio­ns from both the farming and regional and social funds.

“But if those countries doubtful about farm funding want support for things like defence and migration, then they will also have to compromise on agricultur­e,” he says.

He insists that the focus of EU farm policy has to continue to favour the “family farm model” It must also involve more supports for young farmers to address the worrying trend of too few young people coming into the business.

“We have an ageing population of farmers, the average age in Ireland is 57. It is a difficult occupation and young people these days have other options,” he says.

The focus has to be on more installati­on grants and low-interest loans, with top-grants for farmers in charge of their holding aged under 40.

He is especially proud of his work-in-progress for which he has got political approval in the European Parliament.

It aims to put in a floor of guaranteed rights for farmers in their ongoing unequal relationsh­ip with food processors and retailers.

The draft law will outlaw late payments for perishable food products, last-minute order cancellati­ons, unilateral or retroactiv­e changes to contracts, forcing the supplier to pay for wasted products and refusing written contracts.

It was something he argued for at his successful ratificati­on hearings in the European Par- liament in September 2014 but it had never been done before by the EU. He hopes to enhance it with measures for more transparen­cy on pricing and costs in the food chain.

Phil Hogan is rated by the movers and shakers in Brussels and is still well got with Taoiseach Leo Varadkar. It is known that he helped Varadkar in his successful Fine Gael leadership campaign in summer 2017 as he still has influence in the party. There are many strong arguments for renewing his appointmen­t and he has done his duty by Ireland in helping oil the Brussels wheels on many issues. He has also delivered wise counsel on Brexit.

But the relationsh­ip is not all sweetness and light. He remains insistent that Ireland must address its “laggard image” on climate change which has been publicly acknowledg­ed by the Taoiseach.

He sees heavy fines looming soon for this country if better results are not achieved.

He acknowledg­es the problems in the Irish beef sector but is not convinced that this requires drastic reductions in numbers of farmers engaged in the business and heavily dependent on EU subsidies for all their income. “It is only to be expected that certain sectors in farming will experience difficulti­es from time to time. Everything we do in the EU is

HE SAYS THE FOCUS OF EU FARM POLICY HAS TO CONTINUE TO FAVOUR THE FAMILY FARM MODEL

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