Simon Coveney (Cork South Central, Fine Gael) | Oireachtas source

This is a very good question about the impact a failure to agree the multi-annual financial framework, MFF, might have on the proposed CAP reform. As holder of the Presidency, we are trying to finalise the European budget with the European Parliament, which must approve it, before the end of the Irish Presidency. We are also trying to conclude CAP reform and the Common Fisheries Policy, CFP, reform. Obviously these matters are intertwined because approximately 38% of the EU budget is the CAP budget. It is a very significant amount of money at approximately €370 billion over the next seven years. It will therefore be difficult to finalise a political deal on the CAP if we do not have a clear picture of the budget and how it will work.

We made a great deal of progress in the last few days, when both the Taoiseach and the Tánaiste injected some urgency into the system in terms of trying to find an accommodation between the concerns of the European Parliament and the decision of the European Council on the MFF. We are hopeful that can be achieved by the middle or end of June, which will make it easier for me to secure a CAP deal by the end of June as well. However, even if we do not secure an agreed MFF, I still believe we can agree a great deal of the CAP reform. The MFF is not going to change dramatically. What is under negotiation at present is the budget for this year and how that will be accommodated in the context of a budget for the next seven years.

I am hopeful we will be able to do both. That is the plan.

See this speech in context