EU Council Position on Common Agricultural Policy Simplification and its Alignment with Sustainable Development Goals

Introduction and Strategic Objectives

On 3 September 2025, representatives of European Union member states established the Council’s official position on a legislative package aimed at simplifying the Common Agricultural Policy (CAP). The initiative, part of the Commission’s “Omnibus III” package, is designed to reduce administrative burdens and enhance the competitiveness of European agriculture. These objectives are directly aligned with the United Nations’ Sustainable Development Goals (SDGs), particularly those concerning food security, sustainable economic growth, and responsible production.

Key Provisions and Alignment with SDG 2 (Zero Hunger)

The Council’s position supports measures that strengthen the viability of farmers, especially smallholders, which is a critical component of achieving SDG 2 (Zero Hunger) by promoting sustainable agriculture and supporting small-scale food producers. Key provisions include:

• Increased Payments to Small Farmers: Easing financial pressures on smaller holdings to ensure their continued contribution to food production.
• Simplified Conditionality Rules: Reducing compliance burdens for beneficiaries, allowing them to focus on core agricultural activities.
• Higher Advance Payments: Increasing the percentage rate for advances on direct payments, providing administrations with greater flexibility to support farmers’ liquidity, especially following natural disasters.
• Improved Risk Management: Enhancing farmers’ access to tools such as insurance and mutual funds to build resilience against shocks.

Environmental Conditionality and Contributions to SDG 12 and SDG 15

The simplification package includes targeted amendments to environmental requirements, seeking to balance administrative efficiency with ecological responsibility. These changes contribute to SDG 12 (Responsible Consumption and Production) and SDG 15 (Life on Land) by encouraging sustainable farming practices.

Significant adjustments include:

1. Streamlined Rules for Organic Farms: Certified organic farms will benefit from simplified requirements, promoting a production model that supports biodiversity and ecosystem health.
2. Flexibility on GAECs: The mandate allows member states to determine the extent to which partially organic farms meet specific Good Agricultural and Environmental Conditions (GAECs), enabling a more tailored approach to sustainable land management.

Economic and Administrative Impact: Supporting SDG 8 (Decent Work and Economic Growth)

By reducing regulatory complexity, the proposal aims to bolster the economic sustainability of the agricultural sector, in line with SDG 8 (Decent Work and Economic Growth). The Commission estimates that the simplification could generate annual savings of up to €1.6 billion for farmers and over €200 million for national administrations.

Measures contributing to this goal include:

• A reduction in the frequency of on-the-spot checks.
• The deletion of the annual performance clearance requirement.
• A general reduction in compliance and reporting obligations for both farmers and paying agencies.

Crisis Management and Resilience

The Council’s position addresses crisis management by modifying the agricultural reserve to limit calls on the fund. While new types of crisis payments proposed under the Strategic Plan Regulation have been deferred for consideration within the broader CAP revision, the immediate focus remains on providing more predictable and accessible support channels to help farmers withstand economic and environmental shocks, thereby reinforcing food security (SDG 2) and economic stability (SDG 8).

Next Steps in the Legislative Process

The agreement on the Council’s position paves the way for inter-institutional negotiations. The legislative procedure will proceed as follows:

1. The European Parliament must adopt its own mandate on the proposal.
2. Trilogue negotiations will commence between the Council, the Parliament, and the Commission to reach a final agreement.
3. Once a joint text is concluded, member states will be required to amend their national CAP strategic plans to align with the revised provisions before implementation.

The package is framed as a targeted simplification focused on controls, reporting, and eligibility within the current CAP framework, rather than a fundamental redesign of the policy.

SDGs Addressed in the Article

SDG 2: Zero Hunger

• The article focuses on the EU’s Common Agricultural Policy (CAP), which is central to food production and the livelihoods of farmers. By aiming to support farmers, especially small ones, and promoting sustainable practices like organic farming, the policy directly addresses the goal of achieving food security and promoting sustainable agriculture.

SDG 8: Decent Work and Economic Growth

• A key objective of the policy change is to “strengthen the competitiveness of European agriculture” and reduce administrative burdens. This relates to improving economic productivity and ensuring the economic viability of the agricultural sector, which is a significant source of employment and economic activity.

SDG 1: No Poverty

• The article discusses measures for “crisis management” to help farmers during shocks like “natural disasters.” By improving access to risk-management tools and crisis payments, the policy aims to build the resilience of farmers, who are often in vulnerable situations, thereby reducing their vulnerability to economic shocks that can lead to poverty.

Specific Targets Identified

SDG 2: Zero Hunger

1. Target 2.3: By 2030, double the agricultural productivity and incomes of small-scale food producers.
   • The article directly addresses this by mentioning “increasing payments to small farmers” and a general initiative to “support farmers including new and young entrants.” The reduction of compliance burdens is particularly aimed at “holdings with limited administrative capacity,” which often includes small farms, helping to improve their productivity and income.
2. Target 2.4: By 2030, ensure sustainable food production systems and implement resilient agricultural practices.
   • The policy simplifies rules related to “good agricultural and environmental conditions (GAECs)” and provides streamlined requirements for “certified organic farms.” This supports the implementation of sustainable agricultural practices. The focus on crisis management and risk tools also contributes to building resilient agricultural systems.

SDG 8: Decent Work and Economic Growth

1. Target 8.2: Achieve higher levels of economic productivity through diversification, technological upgrading and innovation.
   • The initiative is presented as a way to “strengthen the competitiveness of European agriculture” by “cutting red tape” and reducing administrative burdens. This simplification is a direct strategy to improve economic efficiency and productivity within the agricultural sector.

SDG 1: No Poverty

1. Target 1.5: By 2030, build the resilience of the poor and those in vulnerable situations and reduce their exposure and vulnerability to climate-related extreme events and other economic, social and environmental shocks and disasters.
   • The article highlights new measures for “crisis management,” including “new types of crisis payments” to support farmers during shocks. It also mentions improving farmers’ access to “risk-management tools, such as insurance or mutual funds” and providing assistance after events like “natural disasters,” directly aligning with the goal of building resilience against shocks.

Indicators Mentioned or Implied

SDG 2: Zero Hunger

1. Implied Indicator for Target 2.3 (related to Indicator 2.3.2: Average income of small-scale food producers):
   • The article provides a quantifiable estimate of “annual savings of up to €1.6 billion for farmers.” This figure, along with the policy of “increasing payments to small farmers,” serves as a direct measure of the financial impact on farmers’ incomes.
2. Implied Indicator for Target 2.4 (related to Indicator 2.4.1: Proportion of agricultural area under productive and sustainable agriculture):
   • The article refers to rules for “partially organic farms” and their compliance with “good agricultural and environmental conditions (GAECs).” The application and monitoring of these simplified rules for organic and GAEC-compliant farms would serve as an indicator of the extent of sustainable agricultural practices.

SDG 8: Decent Work and Economic Growth

1. Implied Indicator for Target 8.2 (related to economic productivity):
   • The article explicitly states that the proposed simplification could generate “annual savings of up to €1.6 billion for farmers and more than €200 million for national administrations.” These monetary savings are a direct indicator of increased administrative and economic efficiency.

SDG 1: No Poverty

1. Implied Indicator for Target 1.5 (related to disaster risk reduction strategies):
   • The article mentions the introduction of “new types of crisis payments” and improved access to “risk-management tools, such as insurance or mutual funds.” The number of farmers accessing these tools and the amount of funds disbursed during crises would be a clear indicator of the implementation of resilience-building measures.

Table of SDGs, Targets, and Indicators

Source: eutoday.net