Common Agricultural Policy – Pillar I
The Common Agricultural Policy (CAP) concerns the pooling of European Union resources spent on agriculture and aimed at protecting the viable production of food, the sustainable management of natural resources and to support rural vitality. It consists of two pillars, the first includes direct payments (i.e. annual payments to farmers to help stabilise farm revenues in the face of volatile market prices and weather conditions) and market measures (to tackle specific market situations and to support trade promotion). The second pillar concerns rural development policy. Nearly 38% of the EU budget is spent on the CAP; for the Multiannual Financial Framework 2014-2020 the CAP amounts to €408.31 billion, of which €308.72 billion is allocated to the first pillar.
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