Making small scale farming viable for people and nature in Romania. Fundaţia ADEPT Transilvania

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1 Making small scale farming viable for people and nature in Romania Fundaţia ADEPT Transilvania

2 Policy environment Policy makers should overhaul global food systems, making them healthier and more sustainable while acknowledging that we cannot rely on an input intensive model to increase production, and that the solutions of the past have shown their limits. FAO DG José Graziano da Silva in September 2014 Nations International Year of Family Farming. United Support for smaller family farms has become mainstream. Why? And why are they still so threatened if they have this support?

3 The concept of Family Farms EU analysis: simple definition: farms owned and managed by a single natural person 85% of all holdings in the EU are family-owned 68% of total UAA is family-owned 71% of total output is from family-owned farms Corporate farms (average 152 ha/holding) are 15 times bigger than family-owned farms (average 10 ha/holding). Most family-owned farms are under 5ha in EU-15 South, and in New member States. Almost all small farms are family-owned (European Commission, EU Agricultural Economic Briefs, Oct 2013).

4 Characteristics of Small Farms beyond simple ownership Small-scale farms have remarkable characteristics compared to large-scale company-owned industrial enterprises: more flexible adaptive to market conditions more resilient to climate change - can shift from one crop to another relatively easily provide sustainability of soil and biodiversity conserve the traditional variety of crop seeds and animal breeds future food security in a changing world provide local employment / local prosperity more productive than big farms

5 Are Smaller Farms really more productive? Economic production (gross margin / ha): (Eurostat 2011) In 21 out of 28 MS, smaller farms have a higher production/ha than larger farms. In 9 of those countries (Bulgaria, Greece, Spain, Italy, the Netherlands, Austria, Portugal, Romania, UK) production/ha of smaller farms is more than twice that of larger farms! In Romania, production/ha of smaller farms is 378 production/ha of larger farms is 143

6 So why are small-scale farms failing? Economic: small size = limited access to farming resources, credit constraints, powerlessness in food supply chain association/cooperation, develop markets Territorial: communications. smart solutions: internet, mobile phones, coordinated delivery systems. Social and demographic: ageing, succession. Most farm managers on holdings in EU under 5 ha are over 65. Over 5 ha, age class is highest. help young farmer succession.

7 Târnava Mare A lowland area of high biodiversity, ha farmed by families in small-scale farming communities

8 ADEPT approach Conservation based around small-scale farmer viability Balanced policy (economy and environment) and good ability of locals to capitalise on opportunities. If we can achieve viability, we have social sustainability (farming communities survive) economic sustainability (small-scale farming families prosper) food security (adaptability, sustainable use of soils etc.) Protection of biodiversity not dependent on hand-outs... conservationists may destroy biodiversity by undermining viability of traditional farming!

9 Transylvania present Scenarios: Joern Fischer et al., How will this landscape look in 30 years time?

10 Our land, their wealth Policy: pro-economy, lower emphasis on environment Ability of locals to capitalise on opportunities: low

11 Prosperity through growth Policy: pro-economy, lower emphasis environment Ability of locals to capitalise on opportunities: high

12 Missed opportunity Policy: pro-environment, lower emphasis on economy Ability of locals to capitalise on opportunities: low

13 Balance brings beauty Policy: pro-environment, lower emphasis economy Ability of locals to capitalise on opportunities: high

14 What has ADEPT done? WORKING WITH MINISTRY Developing CAP payments In we designed Romania s first HNV grassland agri-environment scheme. Scheme launched nationally in Participation of Târnava Mare area farmers in the agri-environment scheme was five times higher than regional average : 100 farmers, 1,000 ha : 230,000 farmers on 1.1m ha

15 Simple schemes keeping farmers on the land Light green These shepherds get 90 /ha basic grassland a-e payments + 58 ha non-mechanisation + 100/ha direct payments = total 282 per ha per year They are not changing their behaviour. But without a-e payments they would not continue.

16 dark green Natura 2000-related measures becoming more species-specific. But beware exporting W. European approaches to E. Europe! Confusion low uptake Undermines traditional management inflexible

17 The future: better payments schemes Results-based agri-environment payments schemes (RBAPS) Until now: management-based AES e.g. mowing dates But farmed landscapes are not so simple: variations place to place and year to year RBAPS : direct payments for desired result more freedom for farmers more adaptable to local conditions

18 Pros and cons of RBAPS Clear link between payment and biodiversity objective production of biodiversity becomes part of farming system Farmers are rewarded for their entrepreneurial effort Greater public recognition of farmer s role in maintaining biodiversity In some cases it is not possible to design indicators of biodiversity results Managing authority does not always have access to expertise to set up a RBAPS Farmers must be willing to accept a results-based approach

19 Târnava Mare and Pogány-havas pilot scheme Target: Hay meadows of High Nature Value Assessment of indicator species Monitoring in 2015 to determine suitable species, which: Only grow at low intensity hay meadows Are associated with high plant & animal species richness Are associated with good quality hay Are sensitive to changes in management

20 30 indicator species for TM & PH Same list for two regions Easily to recognize Primula spec. Species groups to avoid confusion Flowering in springsummer Indicators for wet, mesic & dry meadows Orchidaceae spec. Trollius europaeus Trifolium montanum

21 Indicator recording method Used by farmers AND payment agencies Number of species per transect section indicator s <100 m indicator s 8 indicator s <100 m

22 Payment levels 3 payment levels for 5, 8 or 10 species 213, 229, 259 Contract holders cannot step down during contract period are incentivised to manage in a way to step up to get higher payment rates

23 Why these numbers? frequency frequency TM habitat condition A PH habitat condition A TM habitat condition B PH habitat condition B TM habitat condition C PH habitat condition C Number of transects achieving the different indicator species levels according to habitat condition (totals for all habitat types). A = favourable B = unfavourable insufficient C = unfavourable bad minimum number of indicator species minimum number of indicator species minimum number of indicator species

24 What we hope to do First payments this month, 180 ha, 100 farmers Evaluation of implementation after 2018 Integration into national policy? Possibly an option for Natura 2000 areas?

25 The future: better payments schemes Territorial cooperation: potential in Romania 35% of UAA under 1 ha not eligible 900,000 farmers 1-5 ha challenge for the farmers, and for the control/payments agencies common grazing by cow owners: typically, a village has 1000ha of meadow, 1000 ha of common pasture: application problem Romanian Ministry keen to simplify the registration and control procedures, and to use this approach to stimulate farmer cooperation/associations in other ways

26 Territorial cooperation: what we hope to do Tarnava Mare pilot location Implement pilot territorial cooperation measures use option of extra transaction costs as top up -> incentive? Mapping at landscape scale: habitats, connectivity, landscape features Measure of uptake, farmer acceptance, willingness to associate Measure of maintenance of landscape complexity /biodiversity (we have flora and invertebrate baseline) Demonstrate to the Managing Authority the saving in administration time required, and simplification of contracts and controls

27 Commercial approach Production Example: Milk Collection Points serving over 170 farmers, and over 700 cows, /year additional income Biodiversity impact: Maintaining ha of grass by grazing/mowing in each village 1 cow = 1 ha HNV haymeadow maintained!

28 Markets and diversification Farmers markets 150,000 / year 70 producers Area branding Apps For direct sales, guest houses Mountain bike trails linking producers and guest houses 10-fold increase to 110,000 income 10,000 visitors

29 The future: Markets Potential for brands and controls/audit approach brand Sustainable Rural Development Index must connect to market! Various market approaches Beyond Certification! Participatory guarantee schemes quality product branding for direct marketing and retailing Potential for audit schemes. Unilever and others use Farm Sustainability Audit for producers

30 Sustainable Agriculture and Innovation Platform

31 Farm Sustainability Assessment

32 Conservation NGOs can use this language!

33 Conclusions Working with farmers to maintain management patterns Practical design of a-e measures farmers are necessary! Use markets and real benefits to give long term commercial support to biodiversity and sustainable farming Don t ignore existing audit systems from business world

34 Multumesc pentru atentie! Fundatia ADEPT Transilvania