Court of Auditors Special Report 2019 no.23:Farmers’ income stabilisation: comprehensive set of tools, but low uptake of instruments and overcompensation need to be tackled
1. The European Court of Auditors (ECA) has examined the existing European Regulations offered to farmers to prevent and manage risks and crises. They considered whether these risk and crisis management tools have been effectively implemented by Member States and what results are being delivered.
2. The ECA’s audit covered the period 2014 to 2018; the ECA visited 4 Member States (Italy, France, Poland and Germany), selected for their use of support for insurance and exceptional measures. The ECA also examined 80 beneficiary files, sent by national authorities, covering risk management tools and exceptional measures, and visited 16 beneficiaries, in the Member States identified and in Greece. The ECA conducted 105 interviews with farmers from 17 Member States (including 5 from the UK) about their risk management strategy, and a survey was completed by national authorities in all Member States on their national agricultural risk and crisis management strategies.
3. The Common Agricultural Policy (CAP) contains many mechanisms addressing risks affecting farmers, although not all are available to all farmers. There are 2 groups of instruments explicitly designed to address risks and crises which contribute to increasing farmers’ resilience. These are: