The Direct Payments Management Committee in its meeting yesterday backed a proposal by the European Commission to permit Member States to advance 50% of the CAP Direct Payments for 2012 aid applications earlier than usual, in order to address liquidity problems which farmers face due to exceptional conditions caused by the ongoing financial crisis and unfavourable climatic conditions.
The derogation will allow the advance to be paid from October 16 onwards (ie the first day of the 2013 budget year) rather than from the usual date of December 1.
Until now 10 MS have officially requested to pay direct payments in advance (PT, SP, IT, GR, LT, HU, FR, LV, RO and IE).