AGP Executive Report

Heatwave Pressure on Farming and Food Safety: France reported a near-30% jump in heatwave deaths for the week starting 22 June, underscoring how extreme temperatures are straining health systems and raising pressure on outdoor work and supply chains. Biosecurity and Bird Flu Watch: Australia detected its first suspected H5N1 case on the east coast, with poultry authorities alerted—another reminder for Europe’s livestock sectors to keep surveillance tight. CAP and Young Farmers Debate: Analysis highlights the need for the EU to deliver a brighter future for young farmers, as policy design and implementation remain key battlegrounds. EU Deforestation Rules Catch Up in Supply Chains: Rubber traceability efforts are accelerating ahead of the EU anti-deforestation regulation deadline in 2027, pushing plantation databases and compliance systems. Agri Skills and Workforce Pipeline: AgroChallenge 2026 in Norfolk brought student teams across Europe to compete in practical farm tasks, spotlighting hands-on training for the next generation. Trade and Market Access Moves: The EU cleared major RRF payment requests and continues to expand tariff-free access for Armenia exports, which could shift sourcing and demand patterns for agri-food buyers. Cross-border Fresh Produce Logistics: A China-Kazakhstan “green channel” for agricultural goods at Horgos aims to speed customs and reduce spoilage—relevant for Europe’s importers watching perishable trade flows.

Animal Welfare & Crime: Spanish police in Ciudad Real rescued three wallabies plus roe deer, calves and 14 dogs from an illegal cannabis farm in Malagón, finding decomposing carcasses and filthy conditions; six indoor cannabis operations with nearly 1,000 plants were also dismantled, with suspects facing drug trafficking and animal abuse charges. Wildfire Pressure on Farming & Food Systems: Southern France saw nearly 3,000 evacuations as wildfires spread from Sainte-Marie-la-Mer to Canet-en-Roussillon, with 200 firefighters and water-bombing aircraft deployed after June’s record heatwave raised wildfire risk for ecosystems and agriculture. EU Trade Support for Farmers: EU Commission President Ursula von der Leyen pledged €18m aid to Armenia and tariff-free access for almost 80% of Armenian farm exports, aiming to help the country pivot away from Russian pressure. Fertiliser Aid Row: Ireland’s likely €15.3m share of an EU fertiliser support package is branded “derisory” by ICMSA, which argues payments should target farmers hit by inflated prices using fertiliser purchase records. Heatwave Fallout: France’s wildfire and heat impacts keep stacking up across Europe, with agriculture flagged as among the sectors hit by extreme temperatures.

EU Connectivity Push: European Commission President Ursula von der Leyen pledged up to €200mn for connectivity projects in the South Caucasus, aiming to link transport and energy as Armenia and Azerbaijan move toward a peace deal. Heatwave Shock to Farming & Infrastructure: A major June heatwave across Europe exposed weak adaptation, with Spain reporting 1,000 excess deaths and disruptions to power and transport—raising fresh concerns for agricultural operations and supply chains. Pesticide Scrutiny: New research questions the EU approval safety of fluazinam, a PFAS fungicide used on potatoes and apples, with campaigners calling for withdrawal. Organic & CAP Pressure: Scotland’s farming sector says policy design is done and now delivery must match the promises, while EU debate continues on fairer contracts and support for organic farmers and young farmers in the next CAP. Bioenergy for Rural Areas: Ireland’s climate minister backed anaerobic digestion plants as a rural jobs and biomethane boost, while warning that planning decisions vary too much across local authorities. Trade & Food Security: Belarus and Indonesia are lining up stronger trade ahead of Lukashenko’s visit, with agriculture and food security on the agenda.

EU Food Prices Pressure: Circana says the average EU6 shopping basket now costs €95.35, up 5.4% in three years, with Germany still the cheapest and France/UK among the priciest—another reminder that higher farm and energy costs keep feeding through to households. Heatwave Inequality: Reporting from France highlights a stark divide: some people can cool down without buying fans, while others in hotter, less-equipped homes say they’re “suffocating,” underlining how extreme heat hits vulnerable groups hardest. Livestock Tech Push: A cluster of market reports points to fast growth in cattle and poultry productivity tools—like in vitro embryo production, electrolyte dosing systems, and cow activity monitoring—showing how European farms are increasingly turning to automation and health management. Protein Security Debate: A new report warns EU soy dependence is a “strategic vulnerability” and argues for faster protein diversification across farming, feed use, and alternative protein production. Policy & Governance: Ireland takes over the EU Council presidency, with competitiveness, values and security on the agenda as it prepares major budget negotiations.

EU Farm Policy & Market Power: The EU has given final approval to strengthen farmers’ position in the food supply chain, aiming to curb unfair practices and rebalance power between growers and buyers. Heatwave Shock to Agriculture: Europe’s record-breaking heatwave has already been linked to more than 1,300 deaths, with knock-on risks for crops, livestock, water supplies and farm infrastructure as drought and wildfires intensify. EU Presidency Focus: Ireland starts its EU Council Presidency with competitiveness, security and enlargement on the agenda, while pushing negotiations on the next EU budget framework that must protect CAP funding. Agri-Food Innovation: EIT Food selects 65 startups for its 2026 accelerator network to scale agri-food technologies across Europe. UK Farm Contracts: Britain’s farming roadmap highlights fairer contracts and supply-chain protections for egg and fresh produce growers, with moves to tackle supermarket power. Protein & Diversification: The EU plans farmer support for diversification into plant-based crops under an upcoming protein strategy. Cooling Demand: Heat is driving a surge in cooling demand across Europe, with retailers reporting fast-rising sales for fans and air-conditioning.

CAP & Young Farmers: Ireland’s MEP Ciaran Mullooly says the post-2027 CAP must be backed by “real money”, pushing for generational renewal to reach 10% of the budget for young farmers, beyond the Commission’s 6% and a committee proposal of 8%. EU Risk Management: Bulgaria backs a Visegrad-group push for stronger CAP risk tools after 2027, citing climate shocks, plant and animal disease and instability, and calling for better-funded, more flexible crisis support plus improved insurance and faster payments. Fertiliser Prices: Urea markets cool as the Strait of Hormuz reopens and China returns to exports; prices in New Orleans fell to about $350/ton, with analysts expecting further drops before demand picks up later in the year. Fresh Produce Prices: Moldova reports expensive early cabbage but expects mid-season glut and price falls in summer/early autumn; Poland sees weak demand and historic lows for young white cabbage. Rural Infrastructure: Spain’s Valencian municipality resurfaced a rural road after residents and farmers asked for an emergency exit during bad weather, improving access and safety. Trade & Agriculture Links: The Netherlands launches a Dutch–Zimbabwe business network to connect investors and companies, aiming to deepen trade and investment ties that have already more than doubled.

EU-US Trade: The EU’s side of the US trade deal starts on July 1, cutting duties on many US industrial goods and giving preferential access for US farm produce, with safeguards through end-2029. Heat & Farm Risk: Europe’s record heatwave keeps hitting health systems and infrastructure, with knock-on pressure on farming and food supply chains as drought and extreme temperatures intensify. CAP & Food Chain Power: EU Council gives final green light to strengthen farmers’ position in the food supply chain, aiming to improve bargaining power. Chemicals Oversight: EU lawmakers agree a new legal framework to bolster ECHA’s chemicals oversight, a move that can affect farm inputs and compliance burdens. Italy Ag Finance: Italy approves a €20m agri loan, supporting agricultural investment. Pakistan–Italy Skills for Ag: Pakistan and Italy sign a €20m concessional loan to upgrade agriculture-focused vocational training and extension capacity. Agri-Tech Push: IIT Ropar, Syngenta and Google launch HACK CORE 2026 to build AI tools for crop health, pests, soil intelligence and climate-resilient farming. Water Quality Warning (France): French doctors urge stronger controls on tap water after concerns over cadmium contamination, linking it to phosphate fertiliser use. Market Signals: Global pineapple exports are projected to keep rising, with the EU, US and China expected to remain top importers.

CAP reform push: MEPs on the European Parliament’s agriculture committee, led by German rapporteur Norbert Lins, are backing post-2027 Common Agricultural Policy changes including 15% mandatory frontloading of Pillar I payments, alongside proposals on budget, redistribution, young farmers, farm stewardship and risk management. EU–China trade talks: The EU and China have set an October deadline to make progress on their widening trade dispute, with workstreams on trade/investment balancing, export controls, IP and WTO reform. Heatwave hits farming and food supply: France is bracing for long-term economic losses from its record June heat, with agriculture taking a hit—chicken deaths spiking and emergency measures allowing farmers to bury carcasses on-site—while ministers warn of damage to wheat and corn. UK greenhouse expansion: A major greenhouse tomato project in Essex is being pitched as a way to cut reliance on imports and boost UK output. Generational renewal in CAP: VistaMilk and partners held a Brussels workshop to shape recommendations for generational renewal in the next CAP, focusing on barriers to entry and making farming careers more viable. Greece olive oil outlook: Greece’s olive sector faces rising costs, climate stress and aging farmers, but experts point to opportunities in quality, producer cooperation, innovation and export strategy.

Heatwave hits European farming and food supply: A new UK heatwave forecast for 8–11 July, with temperatures possibly above 40C, is raising fresh fears of a chicken shortage after thousands died in transport during the 2022 event. Climate risk for agriculture: Across Europe, record heat is already disrupting crops and livestock, with insurers and researchers warning extreme heat is now a major threat to health, water, energy and farming. Water stress in Mediterranean farming: Italy’s Po River is running low, pushing saltwater intrusion into farms and ecosystems and turning the heat into a food-security warning. Agritourism and rural income: Albania’s agritourism model shows how small farms can link to visitors and local supply chains, supported by grants and tax relief, while the wider sector is growing across Europe. Blue economy aquaculture: Portugal has issued its first offshore aquaculture permit, signaling a push to expand sea-based food production and reduce EU import dependence.

Heatwave Toll and Health Strain: Europe’s record-breaking heatwave has killed over 1,000 people in France, with officials warning the death toll will rise as more cases are confirmed in care homes and private residences; the WHO says 150 million people are living under extreme heat and that these events are becoming more frequent. Infrastructure and Power Disruptions: The heat is buckling roads and disrupting transport, while power generation is strained across countries, including reduced rail services and limits on nuclear output where cooling water is too warm. Agriculture Under Pressure: Rivers are running low and warm, adding stress for farming and electricity cooling; analysts warn harvest risks for key crops, with Spain’s olive sector and vineyards in France and Spain facing yield and quality threats. Economic Hit to Households: A new study links heat plus drought to nearly 3% average household income losses in Europe, with worst impacts in already water-stressed regions. EU Food Safety Monitoring: The EU’s Alert and Cooperation Network logged over 10,000 food-safety notifications in 2025, with Germany, the Netherlands and Belgium among the top reporters. Climate-Adaptation Funding in Farming: Moldova’s BERRIES project is backing berry growers with weather stations, biofertilizers and training to improve irrigation efficiency and resilience under harsher conditions.

Heatwave Fallout for Farms & Food: Europe’s record-breaking heatwave is spreading east and north, with Germany, Denmark, the Czech Republic and Switzerland all posting new temperature marks; the World Weather Attribution group says the event would be virtually impossible without human-caused climate change, and the extreme heat is already disrupting daily life and raising risks for agriculture and ecosystems. Water Stress on Crops: Italy’s Po River is hitting record lows as seawater threatens farms and fisheries, while farmers across the country are bracing for drought impacts. France’s Poultry Shock: France’s heat has been linked to massive poultry deaths, adding pressure to animal welfare and farm resilience during extreme weather. Biodiversity vs Power Lines (France): Environmental groups are urging President Macron to revise plans for a 65km, 400kV line that could cut through the Camargue nature reserve, home to flamingo nesting and major bird migration routes. Regional Ag Cooperation (Albania–Kosovo): Albania and Kosovo signed agreements to boost agricultural advisory services, technology transfer, innovation, and a shared approach to marketing and trade in agri-food products. EU Policy Context (Ireland’s EU Presidency): Ireland’s EU presidency agenda is set to be shaped by competitiveness, energy and enlargement priorities—less farm spending in the next EU budget structure is expected to be a key theme. Livestock Culture (Spain): San Pedro del Pinatar in Murcia held its Royal Livestock Fair and parade, underlining the ongoing importance of traditional livestock events for rural communities. Agrifood Trade Link (EU–Nigeria–ECOWAS): A regional investment forum focused on scaling partnerships across agriculture, irrigation, agro-processing and value chains, aiming to cut post-harvest losses and unlock new investment.

Heatwave Impacts Mediterranean Farms: Italy’s Po River is running dangerously low in the heatwave, letting seawater push up to 18 km inland and forcing irrigation canals to shut—threatening crops and wetlands that underpin Parmesan-area farming. Infrastructure Under Strain: Germany’s A2 autobahn has been partially shut as extreme heat damages the road surface, worsening travel disruption across the region. Wildfire Risk to Cropland: France, Greece and Spain saw new wildfires sparked by record heat, including blazes that damaged wheat during harvesting in eastern France. Water and Soil Stress: Farmers across Italy are also bracing for drought as river flows collapse early in the season, with seawater intrusion adding a fresh layer of risk beyond lack of rain. Policy Pressure on Food Security: An Irish MEP warns CAP budget cuts could undermine food security and rural economies, arguing the EU must keep funding strong to protect farming’s future. Wildlife-Safe Mowing Tech: In Germany, thermal-imaging drones are helping rescue fawns before mowing, boosting survival rates during the mowing season.

Heatwave Watch: Europe’s record-breaking heatwave is pushing east, with Germany and Poland bracing for sweltering conditions after a new German high near Saarbrücken (over 41C, preliminary). In France, the heat has already disrupted rail and power, triggered alcohol bans, suspended schools and forced event changes, while the UN’s weather agency warns of major impacts on health, ecosystems, agriculture and labour productivity. Drought Pressure on Farms: Italy’s Po River is running dangerously low and seawater is seeping into the waterway, forcing irrigation canals to shut and raising fears for Parmesan-linked dairy and wider crop damage. EU Governance: Ireland’s EU Presidency agenda is focused on competitiveness and delivering the “One Europe, One Market” roadmap, with priorities spanning rule simplification, trade, energy prices and digital/AI transformation. Farm Policy & Inputs: The EU is moving to support farmers hit by adverse climatic events and is also advancing fertiliser price support measures, as fertiliser costs remain a live political issue. Agri-Tech & Value-Add: A UK partnership is turning broccoli residues into plant-based protein and fibre ingredients, aiming to cut waste and harvesting costs while creating new revenue for growers.

Heatwave Pressure on Food & Farms: Europe’s deadly heatwave is straining hospitals and public services, with France reporting major poultry losses and health systems warning of saturation as temperatures push into the 40°C range; farming is also taking a hit as heat disrupts operations and workers. Water & Power Stress: In France, EDF has shut down nuclear reactors after river temperatures neared limits, adding to concerns about how a warming climate will affect water-dependent energy and wider supply chains. EU Policy for Farmers: The EU is preparing “membership-lite” benefits for candidate countries, while separate moves include fertiliser price support and simplified pesticide registration for niche crops—both aimed at keeping farm inputs and compliance manageable. Ukraine Integration Watch: Poland’s agriculture ministry says Ukraine’s EU accession must not harm farmers in other member states, highlighting big differences in farm size and production structures. Agri-Trade & Markets: Albania and Kosovo plan joint steps to help farmers reach wider markets, including advice, tech, and promotion. Agri-Industry Finance: A EUR 2m grant fund (with Oschadbank/EFSE) will support Ukrainian agribusiness recovery and resilience projects.

Heatwave Pressure on Farms and Food Systems: A new ECB study warns that compounding heat and drought is hitting EU regions hardest in agriculture, with simulated annual growth drops of 1.9 to 7.6 percentage points in many areas, especially across the Mediterranean. Heatwave Reality Check: Western Europe is still sweltering under record temperatures, with France reporting mass poultry deaths and power cuts, while schools close and workers face productivity losses as extreme heat spreads east. Cooling vs Climate Debate in France: As indoor temperatures soar, more French households are buying air conditioning despite environmental concerns, showing how heat is forcing practical choices. EU–UK Animal Rules Clash: Britain is pushing back against EU pressure to relax protections tied to puppy smuggling, with fears of reopening pre-Brexit loopholes. Farm Prices and Policy Stress: UK farming groups warn that any fast alignment with EU pesticide rules could force abrupt product changes and cost the sector hundreds of millions without a workable transition. Forestry Supply-Chain Tech: Baltic forestry firms are expanding digitised settlement and traceability tools to prepare for tighter EU rules like the EUDR.

Heatwave Pressure on Farms: Record-breaking temperatures across Western Europe are already hitting agriculture, with France reporting hundreds of thousands of poultry deaths and some dairy output down 15–20% as carcass collection struggles. CAP Negotiations: Ireland’s Martin Heydon says the next CAP talks need a “balance” between member-state flexibility and keeping a common rulebook, warning negotiations will be “very delicate.” Dairy Price Squeeze: Ireland’s ICMSA says milk farmers are stuck after months of low prices and high costs, calling for an EU-wide voluntary milk supply reduction scheme to lift prices. Armenia–EU Trade Push vs Russian Blocks: Armenia’s leaders are seeking wider EU market access for agri-food after Russia imposed import bans on multiple Armenian products, including flowers and fruits. Ukraine Recovery & EU Finance: At a Gdansk forum, Ukraine confirmed receipt of the first €3.2bn tranche of an EU loan, with a second €6bn tranche expected soon, including support for drone production. Irrigation Deal: Kenya secured German support for smallholder irrigation expansion in western counties, aiming to raise farmer incomes. Post-Brexit Food Security Warning: UK scientists warn heat-driven harvest failures could make it harder to afford food in the coming years.