1. Opportunities for financing measures for sustainable management of the pastures and meadows in Bulgaria Sofia, June 2006 г.

2. Structure of the presentation
Basic principles and objectives of CAP
Cross compliance – basic elements
GAEC
Less favoured areas
Agri-environment payments
Natura 2000

3. Basic objectives of CAP
To ensure stability of supplies of affordable and safe foods;
To ensure a “fair” standard of living of agricultural producers;
To protect the environment for the future generations;
To preserve agricultural activity in all regions;
To care about the welfare of the people in rural areas (not only of those who are involved in agricultural activity).

4. Basic objectives of CAP
First pillar
Measures for market assistance and income supporting (direct payments and market assistance)
EAFRD
Second pillar
Rural development
EAFRD

5. Basic principles of CAP – Medium-term changes
Introducing payments separated from the quantity of the produce of 2005
Cross-compliance – subsidies are related to requirements for environment protection, humane attitude to animals and food safety; Obligatory management requirements and GAEC
Modulation – decreasing of payments to large agricultural producers (funds from pillar 1 to pillar 2)
Financial discipline – not to exceed the budget up to 2013
Revision of the CAP market policy for milk, cereals, rice, nuts, etc.

6. What is cross-compliance?
Instrument for pillar 1 of CAP
Binding direct payments with requirements for compliance with standards
Objective: to implement and observe the European legislation and the compulsory standards related to:
Environment protection;
Natural resources and biodiversity;
Animal welfare and health care;
Requirements for maintaining lands in good agricultural and environmental condition.

7. Basic elements of cross compliance
Obligatory management requirements – require compliance with definite paragraphs of 19 EU directives, 16 of which are obligatory as from beginning 2006; 3 – as from beginning 2007
Conditions for maintaining lands in good agricultural and environmental condition – determined on national level

8. Minimum requirements for maintaining land in good agricultural and environmental condition (GAEC)
All agricultural producers receiving direct payments in EU Member States and applying the Single Agricultural Payment Scheme per hectare (SAPS) must observe a set of minimum management standards called good agricultural and environmental conditions (GAEC)
Framework for development of GAEC standards is set out in Annex ІV of Regulation 1782/2003

9. Въпрос
Стандарт
Soil erosion
to protect the soils by adequate measures
minimum soil cover
minimum management requirements reflecting the specific conditions of respective areas
terrace preservation
Organic matter in soils
to preserve the organic matter level in the soils by adequate measures
Standards for crop-rotation, where appropriate
Mechanical
Soil structure
To maintain soil structure by definite measures
Use of adequate technology and equipment
Minimum processing level
to ensure minimum level of processing to avoid loss of habitats
Maintenance of minimum animal units density or pasture density
Protection of permanent pastures
Protection of landscape characteristics
Avoidance the occurrence of undesirable vegetation on agricultural land

10. Issue
Standard
Organic matter in soils
Stubble-field burning prohibited;
Minimum processing level
Agricultural lands must be used for growing agricultural crops or let lie fallow. Lie fallow lands must be periodically cultivated to eliminate undesirable vegetation.
Agricultural lands and permanent lawns must be cleared from undesirable shrub vegetation.

11. Financing of pastures and meadows – pillar 1
Registration in IACS;
To have the required minimum area;
To observe the maintenance conditions in accordance with GAEK;
To also observe the Obligatory management requirements after 2012.

12. Implementation of CAP in Bulgaria pillar 2
Rural Development Programme
2007 – 2013 г.
Aid to rural areas development will be provided by RDP measures, which are thematically grouped in the following priority axes:
Axis 1 - “Improvement of the competitive power of the agriculture and forestry sector”;
Axis 2 - “Preservation of the natural resources and environment in rural areas”;
Axis 3 - “Standard of living in rural areas and diversification of rural economy”;
Axis 4 - “Leader”.

13. MEASURES, WHICH WILL BE IMPLEMENTED IMMEDIATELY AFTER THE OFFICIAL APPROVAL OF RDP BY THE EUROPEAN COMMISSION Pillar 2
AXIS 2 – PRESERVATION OF THE ENVIRONMENT AND RURAL NATURE
(Sustained management of lands and forests)
211 - Payments for natural limitations of farmers in mountain regions
212 - Payments for natural limitations of farmers in regions other than mountainous
214 – Agri-environmental payments
Initial afforestation of non-arable land
Restoration of the forestry potential and implementation of preventive measures

14. Proposal for a budget on the priority axes of Regulation 1698/2005 (million EUR)
Priority axis
% of the total budget*
% of the budget on the three axes
EU funds
National
Total (ЕU+ national)
Axis 1
40%
42%
985.45
246.36
1,231.81
Axis 2
26%
27%
640.54
140.61
781.15
Axis 3
30%
31%
739.09
184.77
923.86
Axis 4**
2.5%
61.59
15.40
76.99
Technical assistance 4%
98.55
24.64
123.18
Mярка „National payments in addition to direct payments”
145.47
36.37
181.84
*Total budget without additional payments but with technical aid;
** Funds according to Axis 4 (Leader) included in the budgets according to axes 1, 2 and 3

15. Financing of pastures and meadows – pillar 2 (RDP) Measure “Payments for unfavoured regions”
Registration in IACS;
To fall within the scope of mountainous or “other “ unfavoured regions;
To meet the requirement for minimum area
(minimum 0.5 ha for mountainous and min. 1 ha for “other” for 5 years)
Where the agricultural lands represent common land or pastures, to breed grazing animals in accordance with the requirements for density of bred animals
Observance of GAEC

16. SUSTAINABLE LAND MANAGEMENT Measure “Payments to farmers in mountainous unfavoured regions”
Mountainous regions – definition criteria
Land of minimum altitude of 700 m.
Lands of average terrain declivity min. 11.3° (20%)
Lands of average altitude between 500 and 700 m in combination with average terrain declivity min. 8.53° (15%)
Lands or groups of lands neighbouring mountainous lands where minimum 75% of the land limit borders mountainous lands shall be homogenised.
Compensatory payments –
Farms of 1 to 50 ha – EUR 100/ha
50 to 100 ha – EUR 40/ha
over 100 ha – EUR 0

17. Other unfavoured regions
SUSTAINABLE LAND MANAGEMENT Measure „Payments to farmers in regions with natural defects other than mountainous regions”
Other unfavoured regions
- Low productivity agricultural lands on the territory with average weighted category index of 6 to 10.
- Regions with specific limitations are lands bordering the outer border of the European Union.
Compensatory payments
Farms of 1 to 100 ha – EUR 50/ha
ha – EUR 20/ha
over 200 ha – EUR 0

19. SUSTAINABLE LAND MANAGEMENT Measures “Payments according to Natura 2000” Scope
Protected zones for birds cover 11.3% of the territory of Bulgaria.
Protected zones according to the natural habitats directive cover 13.4% of the territory of Bulgaria.

20. Measures “Payments according to Natura 2000” Objectives
Measures NATURA 2000 shall compensate farmers for missed income and expenses incurred relating to the execution of due legal limitations in accordance with the land-use regime of their lands (Law on Biological Diversity), which are part of the European environmental network. This is aimed at attaining maintenance or recovery of species and natural habitats referred to in Annexes 1 and 2 of the Law on Biological Diversity.

21. Measures “Payments according to Natura 2000” Beneficiaries
Agricultural producers (natural persons or legal entities), registered in the Integrated Administration and Control System (IACS) who own, rent or lease for a minimum of 5 years lands or forests included in NATURA 2000
Agricultural and forest farmers who maintain natural habitats and species and have submitted applications to the Settlement Agency for payment of compensations;

22. Measures “Payments according to Natura 2000” Requirements to beneficiaries
To observe the conditions for maintaining lands in good agricultural and environmental condition (GAEC)
To observe the limitations for land-use as laid down in orders for declaring and/or plans for management of protected zones;

23. Measures “Payments according to Natura 2000 for agricultural lands” Model activities and limitations for which compensations will be paid
Elimination of undesirable vegetation (invasive species: juniper in mountain pastures/meadows; shrubs in lowland regions) after end July, i.е. maintenance of meadows and pastures in good agricultural and environmental condition;
Recovery of deserted meadows and pastures (by moderate grazing or mowing) ;
Ban on the use of fertilizers (and pesticides) or resowing;
Moderate grazing later in the season (after mid August) in humid areas;
Stepwise mowing of humid meadows / leaving unmown sections or strips;
Mowing from centre to periphery at slow speed;
Preservation of traditional orchards (with natural cover amongst trees, preservation of traditional fruit-tree varieties, preservation of old and low productivity trees) – lesser grey shrike, grey woodpecker, etc.;

24. Measures “Payments according to Natura 2000 for agricultural lands” Model activities and limitations for which compensations will be paid
Manual elimination of weeds and use of manure from biological farms;
Placing къщички за птици for European rollers (Coracias garrulus);
Leaving small (4х4 m) uncultivated pieces of land with natural vegetation amidst winter crops (2 to 5 m2 per hectare) – valid for intensive agriculture areas where hibernating geese feed;
Preservation of stubble-fields for the winter in spring crop fields;
Leaving permanent (min. 2 m wide) uncultivated strips on the edges of arable lands (not to be ploughed, treated with chemicals, mown after the season, not to be used for moving agricultural equipment and machines);
Limitation of human access to areas of birds of prey nesting ( m) during the nesting period (March-July);

26. Minimum areas to participate in this measure
The minimum area required to participate in this measure is 0.5 ha. The following exceptions from this requirement are allowed:
For sub-measure „Traditional orchard culture breeding” – 0.3 ha;
For activity „Biological plant-growing” – за култивирани mushrooms; cultures grown under glass; sowing and sapling material – 0.1 ha;
For activity “Biological bee-keeping” and measure “Traditional stock-breeding” (Preservation of extinction-threatened local breeds and mountainous stock-breeding) – no minimum size of land required.

27. Geographic coverage of the activities according to the agri-environmental measure
Biological agriculture – on the territory of the whole country
Management of agricultural lands of high natural value (HNV) – in areas defined as HNV regions
Traditional growing of orchard cultures – on the territory of the whole country where there are old (over 25 years) orchards
Protection of local breeds threatened by extinction – on the territory of the whole country
Traditional practices of seasonal pasture of animals (Pastoralism) – on the territory of the national parks “Pirin” and “Central Balkan Mountains”
Decrease of the nitrate contamination – with priority in nitrate-vulnerable areas
Control on soil erosion – with priority in erosion threatened areas
Agri-environmental activities in places of Natura 2000 – in places falling within the ecological network of Natura 2000

28. Amounts of compensatory payments for separate activities
Biological agriculture:
Field cultures incl. fodder cultures: EUR 155/ha
Meadows and pastures: EUR 101/hа
Perennial plants, vineyards and oil-yielding rose: EUR 418/ha
Aromatic and medicinal plants: EUR 267/hа
Vegetables cultures incl. cultivated mushrooms and potatoes: EUR 357/hа
Sowing and planting material – 20% of he calculated compensatory payments for each group of cultures
Bee-keeping: EUR 15/bee family

29. Sub-measure 2: Management of lands of high natural value (HNV)
Activities :
HNV 1 – Restoration and maintenance of undergrazed grasslands of high natural value – EUR 131/hа
HNV 2 – Restoration and maintenance of overgrazed areas of high natural value – EUR 155/hа
Geographic coverage
All semi-natural grasslands of high natural value and dependent on ongoing agricultural activity

30. HNV 1 – Restoration and maintenance of undergrazed grasslands of high natural value
Requirements to management:
To eliminate undesirable vegetation.
Not to use mineral fertilizers and pesticides except those listed in Regulation2029/91 of the Council on biological production.
Not to build new drainage systems.
Not to allow breaking of grasslands.
To conduct free pasture on meadows after last hay-making except for forest meadows.
To maintain minimum and maximum density of animals – animal units per hа.
To observe certain dates for pasture – the dates for flat and hilly areas will depend on climatic conditions; pasture in mountainous areas is usually between 30 May and 30 September/15 October.
To use traditional hay-making methods – maximum two hay-makings per year in flat and hilly areas and one hay-making per year for mountainous areas. Hay-making to be carried out after 15 June in flat and hilly areas and during the period 30 June – 15 July in mountainous areas.

31. HNV 2 – Restoration and maintenance of overgrazed grasslands of high natural value
Requirements to management:
To resow with local mixtures – preferably with mixtures of local origin.
Limitation on the use of manure – up to 50 kg N/ha.
Not to use mineral fertilizers and pesticides except those listed in Regulation 2092/92 of the Council.
Not to build new drainage systems, no breaking or processing of land.
To conduct free pasture on meadows after last hay-making except for forest meadows.
To maintain minimum and maximum density of animals – animal units per hа.
To observe certain dates for pasture – the dates for flat and hilly areas will depend on climatic conditions; pasture in mountainous areas is usually between 30 May and 30 September/15 October.
To use traditional hay-making methods.

32. Decrease of nitrate contamination – in the course of calculation
Amounts of compensatory payments for separate activities and requirements to management:
Decrease of nitrate contamination – in the course of calculation
Control on soil erosion
Zonal crop-rotation – EUR 32/hа
Creation of buffer strips – EUR 28/hа
Construction of drainage furrows – EUR 26/ha
Antierosion measures between lines of vines and plantations – EUR 103/hа
Transformation of arable lands into pastures – EUR 207/hа
Performance of amelioration measures in pastures – EUR 103/hа
Creation of ploughing terraces – EUR 205/hа

33. Amounts of compensation payments for separate activities
Traditional growing of orchard cultures - EUR 131/ха.
In case of planting young saplings from sorts and species existing in the orchard – additional payment of EUR 15 per sapling
Protection of local breeds threatened by extinction
Cattle – EUR 200/capita
Sheep and goat – EUR 25/capita
Pigs – EUR 61/capita
Horses – EUR 200/capita

34. Sub-measure: Traditional stock-breeding Ж 1: Protection of threatened local breeds
Requirements to management :
Support shall only be given for animals with Certificates of breed appurtenance or Tribe/Race Certificates issued by an approved breeding association.
Observance of the breeding programme for the respective supported breed
Keeping a log for the sales and purchases of supported animals in the farm
Notification and receipt of a written permission from the respective breeding association prior to slaughtering or sale of any animal supported by payments according to this sub-measure
Free-pasture breeding of pigs outside the places regulated for this purpose shall be prohibited

35. Bulgarian (grey) cattle Rhodope (Rhodope short-horn) cattle
Endangered local breeds – Indicative list (currently to be supplemented)
Bulgarian (grey) cattle
Rhodope (Rhodope short-horn) cattle
Karakachan sheep
Copper-headed Shoumen sheep
Dabene sheep
Replyanska sheep
Kalofer longhair goat
Karakachan horse
East-Balkan pig

36. Sub-measure 5: Traditional stock-breeding Ж 2: Traditional practices for seasonal pasture of animals (PASTORALISM) (Ж2)
This sub-measure shall only be applied for pilot regions suitable for development of pasturalism where:
there are large territories of deserted mountain pastures;
there are bears and wolves attacking the animals
there is an opportunity to sign pasture contracts between agricultural producers/shepherds and pasture owners, i.e. the national parks
National parks Pirin and Central Balkan have been proposed as pilot regions.
Agricultural producers must have permits for pasture in the high mountain pastures of the national parks.
EUR 150/capita of cattle and horses
EUR 20/capita of sheep and goat

37. For contacts:
MAF, Department “Agroecology and Biological Agriculture”,
Directorate “Development of Rural Areas” Tel. (02) , ,
Fax: (02)