The agricultural sector has recently become the protagonist of demonstrations, roadblocks and protests involving numerous European countries. L'Europe woke up with the fields and roads invaded by tractors, while the farmers, united in their discontent (not always justified, given the amount of community subsidies) and in the fight for their rights and their requests, set themselves the aim of bringing their protest right under the dome of the European Parliament, during the recent extraordinary European Council. But what drives farmers to raise the banner of revolt?
The tractor revolt: that's why farmers are protesting across Europe
The issues vary from country to country, but some common issues unite demonstrations across Europe. Farmers contest the European Union Green Deal, considering it excessively restrictive, ask for a revision of the plan to better adapt it to the needs of agricultural production; they also contest the obligation under the CAP to allocate part of the land to non-productive purposes and express hostility towards a agreement with the Mercosur countries (Brazil, Argentina, Paraguay, Uruguay) which, according to the sector, favor the invasion of the European market of products with dubious standards and lower prices. Among the claims: higher incomes and greater aid, protection from extreme climatic events, high energy costs and epidemics. Also there war in Ukraine it further complicated the picture, impacting the import of agricultural products, especially cereals, at lower prices. Farmers report that the production of some goods in Ukraine costs approximately half as much as in many European countries. This is perceived as a situation of unfair competition, as the size of Ukrainian agricultural holdings is on average much larger than their European equivalents, creating a clear imbalance in market dynamics. But how can we forget that Ukraine is a country at war, which is suffering a lot?
The European Commission responded by temporarily suspending negotiations with Mercosur and proposing a special exemption to the set-aside of land. However, the protesters believe that these openings are insufficient and call for stronger support for agriculture.
The 5 reasons for the farmers' revolt in Italy
The farmers' protest in Italy represents a cry of alarm that resonates throughout Europe, underlining the need for an urgent response from the government and European institutions. here are the 5 main reasons that inflame Italian farmers:
- High diesel price: Italian farmers complain about the high cost of diesel. Despite maintaining tax breaks, Italian farmers say they pay more than their French and German counterparts, generating an additional financial burden for their businesses.
- Constraints of the Common Agricultural Policy (CAP): farmers contest the obligation imposed by the CAP to leave 4% of their land fallow as a condition for accessing community contributions. Although exemptions have been granted for 2023 and proposals for 2024, farmers are asking for the obligation to be definitively removed. Not only. They call for a broader review of the CAP which has played a crucial role in promoting the recovery of European agriculture and ensuring the continent's food security, but over the last few years, things have changed. Rising energy and raw material costs, growing competition from emerging countries and the impacts of climate change have posed significant challenges to the economic sustainability of European agriculture.
- Disparity between producer prices and retail prices: another crucial aspect that permeates the protests in Italy is the request to recognize a minimum price for agricultural products. Too often, farmers see their products paid only a fraction of the final cost on supermarket shelves.
- Failure to extend the Irpef exemption: farmers complain that in the 2024 budget the tax breaks for the agricultural sector have not been extended, leading agricultural incomes to be taxed ordinarily: direct farmers and professional agricultural businesses (IAP) will have to declare dominion and agricultural incomes based on the results cadastral. These incomes will be revalued at 80% for those on the land and 70% for those on the land. Subsequently, a second revaluation of 30% will be applied, limited only to landowners and non-exempt farmers, such as direct farmers and IAPs. The Minister of Agriculture, Francesco Lollobrigida, defined it as an "unjustified" exemption. The leader of Italia Viva defined it as the “Lollotax”. Not only. The 2024 Budget Law also requires young farmers to pay social security contributions. This represents a further financial burden for farmers who also propose the reduction or complete exemption of VAT on some primary food products, with the application of a maximum rate of 10% for wine.
- Criticisms of the European green deal: Farmers contest the European Union's ecological goals, calling them too restrictive and unrealistic. Calls to reduce the use of pesticides by 50% by 2030 and other environmental directives are perceived as burdensome and unsustainable for many already indebted farms. Farmers also denounce the unfairness of competition, accusing Italy of importing products from countries with less sustainable agricultural practices.
In conclusion, the agricultural issue has become the focal point of a broader discussion on the balance between environmental and economic sustainability, a dilemma that requires concrete solutions and collaboration between farmers, governments and European institutions.