The Council has reached today a political agreement with the European Parliament on a new EMFAF regulation to provide a simplified fund for fishermen with the aim to modernise the fleet, support data collection and efficient control and strengthen international ocean governance. Despite the push from the European Parliament to top up the original budget proposal[1] by 614 million (10% increase), and the Commission’s additional funding proposal of €500 million to help the sector recover from the impact of Covid-19 (8% increase), EU governments decided already in July a cut of € 32 million, resulting in a financial envelop of € 6.108 billion.

Daniel Voces, managing director of Europêche, declared: “Now more than ever the support from the EU is fundamental not only to face external challenges such as the Covid-19 or Brexit but also to implement ambitious policies such as the EU Green Deal. With such a difficult scenario and ambitious policies on the horizon, the sector would have expected a higher budget. We regret that the Council has not followed the proposals from the Parliament nor the Commission to increase the financial envelop to meet the pressing challenges confronting us”.

On a positive note, the new fund moves away from rigid descriptions of financing possibilities and eligible measures, only prescribing conditions on certain fleet subsidies to ensure a level playing field and sustainable investments. Under the new philosophy, operations not explicitly forbidden will be permitted, granting greater legal security to Member States and fishermen.

The new EMFAF will continue financing operations to modernise and improve energy efficiency, health, safety and working conditions for all fleets regardless of the size of the vessel. Only three specific operations will be exclusively granted to vessels below 24 metres. These are: 1. the replacement of engines with the aim to increase energy efficiency and reduce CO₂ emissions; 2. incentivise access to the sector by supporting the first acquisition of vessels by young fishermen; 3. as a novelty, in line with the long-standing call of the sector, operations that require more space on board such as renovating accommodation for the well-being of the crews. Europêche regrets that the call from the Parliament to extend these measures to the whole fleet was finally not taken on board, especially since larger boats are actually subject to binding international legal obligations.  

Europêche welcomes that the new EMFAF may support the temporary cessation of fishing activities for up to 12 months per vessel or per fisherman during the programming period. However, from now on, no compensation will be granted for fishermen in case of non-renewal of a fisheries agreement with a third country. The sector also welcomes the reintroduction of permanent cessation or decommissioning schemes. Thanks to the Parliament, the new fund has included new measures to help fishermen respond to exceptional crises, such as Covid-19, that cause market disruptions such as storage aid and compensations to operators for their income foregone or additional costs.

The industry appreciates the Council’s request for the continuity of the financial support for key actions such as fisheries control and enforcement, including the purchase, installation and management of tracking and electronic systems for all vessels used for control purposes.

Given the Covid-19 situation and the disruption of the markets, Europêche calls on the Commission to facilitate the extension of the current EMFF funding, including the emergency measures adopted last year, allowing its full use until the national operational programmes specifying how governments intend to spend the money are in place.  

The sector appreciates the efforts made by the European Parliament rapporteur Gabriel Mato to fight for a fund that enables the EU fleet to fish better, not to fish more, fully in line with WTO’s mandate to end harmful subsidies.

[1] Commission proposal in 2018 (in current prices): € 6.14 billion. This represented a 5% drop compared with the current EMFF budget (2014-2020) mainly to compensate the upcoming Brexit gap in the EU Budget.

Press contacts:

Rosalie Tukker, Policy Advisor of Europêche: +32.2.230.48.48 rosalie.tukker@europeche.org

EP Press Release – EMFAF Agreement

In its proposal the European Commission has put forward the necessary legislative modifications to allow Member States more flexibility to reallocate and transfer unused financial means of their fisheries funds (EMFF) so it can be destined to mitigate the impact of the coronavirus where needed. The Commission also modifies EMFF-provisions to allow aid for those fleets forced to stay in the port due to quarantine measures, operational problems or market disruptions. Member States may apply this support with retroactive effect from 1^st February 2020. The Commission also reintroduces storage aid mechanisms for fish unsold due to the lack of market demand or extremely low prices, with a view to fostering the stabilisation of the markets.

While welcoming these fundamental changes, the Industry however would have liked to see a higher level of ambition regarding the measures proposed. In this context, Mr Garat, President of Europêche, declared: “We are facing a paradox: EU and national governments are encouraging our operators to continue fishing but, for the moment, they are not tabling any measure to compensate the loss of income faced by our companies due to the huge reduction of up to 50% of fish prices threatening their financial viability. It should be seen as fundamental that our fishermen continue to supply healthy food under these very difficult circumstances. Therefore, it is essential for them to receive a certain level of income compensation through the EMFF or other funds to make this possible.”

Pim Visser, President of EAPO commented: “The COVID-19 pandemic will have tremendous and unpredictable implications for the future of our industry. We appreciate the efforts and legislative changes made by the Commission to unlock and redistribute the existing funding possibilities. However, many countries have already spent or committed most of their available national funding under the EMFF. In addition, the market situation, once the public health crisis is under control, is expected to be very difficult. Therefore, extra-funding should be injected in the fisheries fund by the EU, in order for these measures to effectively cope with the crisis. We are just in the midst of a horrific storm and we do not know how long it will last.”

Javier Garat, concluded: “The fishing industry is a vital, sustainable and responsible sector, committed to continue fishing and maintaining food security. However, the fishing sector has been hit particularly hard by the COVID-19 crisis. If we want to have a healthy fishing industry after the crisis we need additional funding and full flexibility in the interpretation and application of any new rules.”

Press contacts:

Daniel Voces de Onaíndi, Managing Director of Europêche: +32 2 230 48 48 daniel.voces@europeche.org

Emiel Brouckaert, Secretary General of EAPO: +32 59 43 20 05  info@eapo.com

EP and EAPO Press Release – COVID 19 EMFF