The EU’s rural development policy helps the
rural areas of the EU to meet the wide range of economic, environmental and
social challenges of the 21st century. Frequently called "the second
pillar” of the Common Agricultural Policy (CAP), it complements the system of
direct payments to farmers and measures to manage agricultural markets (the
so-called "first pillar"). Rural Development policy shares a number
of objectives with other European Structural and Investment Funds (ESIF).
Member States and regions draw up their rural development programmes based on the needs of their territories and addressing at least four of the following six common EU priorities:
- fostering knowledge transfer and innovation in agriculture, forestry and rural areas;
- enhancing the viability and competitiveness of all types of agriculture, and promoting innovative farm technologies and sustainable forest management;
- promoting food chain organisation, animal welfare and risk management in agriculture;
- restoring, preserving and enhancing ecosystems related to agriculture and forestry;
- promoting resource efficiency and supporting the shift toward a low-carbon and climate-resilient economy in the agriculture, food and forestry sectors;
- promoting social inclusion, poverty reduction and economic development in rural areas.
The rural development priorities are broken down into "focus areas". For example, the priority on resource efficiency includes focus areas "reducing greenhouse gas and ammonia emissions from agriculture" and "fostering carbon conservation and sequestration in agriculture and forestry". Within their RDPs, Member States or regions set quantified targets against these focus areas. They then set out which measures they will use to achieve these targets and how much funding they will allocate to each measure. At least 30% of funding for each RDP must be dedicated to measures relevant for the environment and climate change and at least 5% to LEADER
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