Ireland East MEP Mairead McGuinness told the annual conference of the Agricultural Science Association (ASA) in Galway today that a major battle for agriculture will take place next year when the EU concludes a wide ranging review of EU spending, including funding of the Common Agriculture Policy (CAP).

"This budget review is the legacy of former British Prime Minister Tony Blair who instigated it, with funding of the CAP and the UK rebate specifically mentioned. Given the UK attitude towards the CAP, it is clear that the 'Blair budget project' is about thrashing the agriculture budget," she said.

"It is now more widely appreciated than at any time in the past that food security is a major priority at EU and global level. It is also accepted that agriculture requires support in order to meet the demands for more food, for environmental services and for climate change mitigation measures.

"Looking at the agriculture budget to save money would be foolhardy and counterproductive," she said.

She said spending on agriculture policy in the EU has declined from over 60 per cent of the EU budget in the 1980s to 32 per cent today.

"In a world where food production needs to double by 2050, we need to spend more money on agriculture development, not less. Research and development is a key area for investment. It is alarming that in the developing world, the amount of aid money targeted at agriculture projects, including research, dropped from17 per cent in the 1980's to just three per cent currently.

"The demise of such investment in agriculture in the developing world contributed to the current food crisis. The dismantling of research facilities and extension services has been a disaster and it will take 20 years of work to rebuild what was lost in earlier developments."

McGuinness added that the current debate about publication of EU farm payments misses a key point. The publication of individual farm payments is on the surface about openness and transparency and this is something that farmers will have to live with. However, it will be used to chip away at supports to farmers because it will not be placed within a context of explaining the CAP regime.

"Publication could be part of a more sinister attempt to undermine the current support regime by way of general public questioning of it.

"That said, there is also a move to change from the historic payment regime towards a flat rate per hectare system and, while Ireland will not opt for this system in the current Health Check of the CAP, after 2013 it will be harder to resist the pressure for change. Equally, larger recipients will become the focus of more severe modulation cuts," said Mairead McGuinness.