The report coordinated by Isabel Bardají and Alberto Garrido of the Research Centre for the Management of Agricultural and Environmental Risks (CEIGRAM) at the Technical University of Madrid for the European Parliament Research Service, reviews the state of play of risk management in the 2014-2020 Rural Development Programmes submitted by member states. However, although CAP support for agricultural risk management has increased, the share of CAP funds spent on crisis and prevention measures continues to be very low, less than 2% of the Pillar II funds and 0.4% of the total 2014-2020 CAP budget.

The EP study acknowledges that few or no figures at all on risk management spending can be found in standard statistical sources. Therefore it is extremely difficult to collect information on the situation of risk management tools in the EU.

One of the major contributions of the study is to collect information about government spending on the implementation of risk management tools in the agricultural sector in the 28 EU member states.

Given the low priority for this spending area, the study also examines possible future CAP developments related to risk management in order to deal more effectively with income uncertainties and market volatility.

Written by Alan Matthews

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