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On 13 July 2026, the Council of the European Union formally adopted a legislative act amending Regulations (EU) 2021/2115 and 2021/2116 to provide exceptional temporary support under the European Agricultural Fund for Rural Development (EAFRD), allow adaptation of direct payments allocations for calendar year 2027, and introduce more flexible rules on advance payments. The measure responds to increased fertiliser prices triggered by the Middle East crisis, affecting farmers and rural development beneficiaries across the EU.

The act was adopted at the 4190th meeting of the Council (Agriculture and Fisheries) in Brussels. The voting result is attached to the note; reference document 43/26 was approved by the Special Committee on Agriculture (SCA) on 6 July 2026. Statements and explanations of vote are available on the Council's website under Transparency and Access to Documents.

Policy orientations and trade-offs The regulation introduces a specific type of intervention under the EAFRD to grant exceptional temporary support, enabling member states to channel funds quickly to farmers hit by input cost spikes. It also permits adjustments to direct payments allocations for 2027, giving national authorities flexibility to reallocate funds between pillars of the Common Agricultural Policy (CAP). More flexible rules on advance payments allow member states to disburse up to 70% of direct payments and certain rural development payments earlier than usual, easing cash-flow pressures.

The trade-off lies between rapid crisis relief and long-term CAP planning: while the measures provide immediate liquidity, they may temporarily divert resources from structural investments in sustainability and rural development. The one-off nature of the intervention limits its impact on the CAP's multi-annual framework.

Impact on stakeholders - EU farmers: Benefit from faster access to advance payments and exceptional support, alleviating cash-flow problems caused by high fertiliser costs. However, the temporary nature of the measure may not address underlying price volatility. - National authorities: Gain administrative flexibility to reallocate direct payments for 2027 and accelerate disbursements, but face implementation challenges in adjusting national CAP strategic plans on short notice. - EU taxpayers: The exceptional support is funded through existing EAFRD and direct payments budgets, potentially reducing funds available for other rural development priorities. - Fertiliser industry: Indirectly affected as the measure mitigates demand destruction among farmers, but does not address supply-side issues or market speculation.

Institutional follow-up The regulation will be published in the Official Journal of the European Union and enters into force on the day following publication. Member states must notify the Commission of their intention to use the exceptional intervention within a specified period. The European Parliament had previously approved the text under the ordinary legislative procedure. The Commission is expected to issue implementing guidelines for national administrations.

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