1. TRAINING SESSION IV EU Market Intervention EU Private Storage
Technical Assistance for Development of a Strategy for Alignment with
Common Market Organisation (CMO) Requirements
TR2014/AG/10-A1-01/001
This Project is co-financed by the European Union and the Republic of Turkey
TRAINING SESSION IV EU Market Intervention EU Private Storage
Ankara, 14 May, 2018

2. EU financing rules
Legal background: REGULATION (EU) No 1306/2013 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL Establishes the European Agricultural Guarantee Fund (EAGF). It shall finance measures regulating or supporting agricultural markets (including market intervention and private storage).

3. EU financing rules
Market intervention: - Member State agency buys up the goods and pays the price for market operators. Ownership of intervention stocks is on Member State, but the right to decide on the stocks is retained by the EU. - Member State also pays for storage of intervention stocks. - During storage the EU provides the Member States a uniform interest rate-reimbursment and a flat-rate reimbursment of physical operations (storing in, storing out and storage).

4. EU financing rules
Market intervention (continued): - A balance is made after selling the intervention stocks, any deficit is reimbursed by the EU, any sufficit is paid by the Member State into the EU budget. Private storage: - Member State pays the storage aid in advance to operators. - After the private storage period is over and all necessary checks have been carried out, the EU reimburses the Member States.

5. The role of different state agencies /institutions and private organisations
Ministry of Agriculture – responsible for all measures in relation with the European Agricultural Guarantee Fund (EAGF). Ministry of the Prime Minister – responsible for all measures in relation with the European Agricultural Fund for Rural Development (EAFRD). Agricultural and Rural Development Agency (ARDA) (now part of the State Treasury) – single paying agency.

6. The role of different state agencies /institutions and private organisations
Agricultural Research Institute (AKI) – price monitoring, FADN, … Sectorial and Horizontal professional organisations: - all relevant information are shared. - they are always consulted when preparing a mandate for voting in Brussels.

7. Organization of the Ministry of Agriculture
Total staff (as of November 2017.): 633 of which: executives: 144 non-executives : 489 County government offices: 19+1 offices (19 counties+capital)

8. Organization of the Ministry of Agriculture
MINISTER
State Secretary
Secretary responsible
for parliamentary issues
Secretary responsible
for state lands
Secretary responsible for
environment, development
and hungaricums
Secretary responsible
for food-chain control
Secretary responsible
for agro-economic issues
Departement of
agro-economy
Department of
agricultural markets
Department of
agriculture
Department of ARDA
control and legal issues

9. Organization of the Ministry of Agriculture
Department of
agricultural markets
Unit responsible for
products included in the
Single Common Market
Organization of the EU
Unit responsible for
producer groups and
interprofessional
organizations
Unit responsible for
market development
and market-politics
5 colleagues in total:
1 head of unit
2 staff for animal products
2 staff for plant products

10. Agricultural and Rural Development Agency

11. Agricultural and Rural Development Agency

12. Agricultural and Rural Development Agency
European Agricultural Guarantee Fund (EAGF)
Internal market measures
External market measures
Intervention
Complementary national
payments
Direct Payments
Other measures (NVT)
European Agricultural Fund for Rural Development (EAFRD)
European Fisheries Fund
European Agricultural Guidance and Guarantee Fund
(EAGGF) Guidance: ARDOP
Pre-accession fund: SAPARD
National measures

13. Agricultural and Rural Development Agency
Number of registered clients: Number of claims per year: from which SAPS: from which EAFRD: Total area claimed for SAPS: ha Total area approved for SAPS: ha

14. Agricultural and Rural Development Agency

15. Agricultural and Rural Development Agency

16. Agricultural Research Institute (AKI)
Founded in AKI is the most important centre of agricultural economics research in Hungary. Total staff: 131 people, of which 47 carries out research, the others are involved in management and data processing.

17. Agricultural Research Institute (AKI)

18. Agricultural Research Institute (AKI)
Staff responsible for price communications:
Cereals and oilseeds – 2 colleagues
Milk products – 1 colleague
Sugar – 1 colleague
Meat (including poultry) – 2 colleagues
Wine + tobacco – 1 colleague
Fruit and vegetables – 3 colleagues
Total: 10 staff

19. TRAINING SESSION IV. Closing and Evaluation
Technical Assistance for Development of a Strategy for Alignment with
Common Market Organisation (CMO) Requirements
TR2014/AG/10-A1-01/001
This Project is co-financed by the European Union and the Republic of Turkey
TRAINING SESSION IV. Closing and Evaluation
Ankara, 14 May, 2018

20. Common Agricultural Policy (CAP) spending

21. Breakdown of CAP expenditure (past)

22. Breakdown of CAP expenditure (past)

23. CMO regulation

24. Evolution of the CAP
Market-related expenditure ↓ Within the market related measures: Intervention, private storage ↓ Export/import measures ↓ Quota systems ↓ Producer Org./Interbranch Org. ↑ Contractual rules ↑ School schemes/Other small aid pr. -

25. Evolution of the CAP
- Direct market related measures (intervention, private storage, exp/imp measures, quota systems) are diminishing in importance. - Some of them used as a safety net in case of extreme market turbulence. - Other (indirect) market related measures are favourised (Producer Org./Interbranch Org.), providing market information becomes more important.

26. This publication has been produced with the financial assistance of the European Union
The contents of this publication is the sole responsibility of NIRAS IC Sp. z o.o. and can in no way be taken to reflect the views of the European Union