AGP Executive Report

EU Trade & Farming Rules: The European Commission has blocked sheep exports from Romania after a small ruminant plague outbreak was cited, banning movement of sheep and goats from Romania until end-2026 and threatening contracts that had been reopening markets. Dairy Market Pressure: Protein demand is rising faster than supply, with whey shortages pushing prices up and squeezing food makers across Europe. Farm Incomes & Prices: Dairy finances are under strain as milk cheques fall again, while EU agriculture output prices are down in the first quarter. Regenerative Farming Results: A French study finds regenerative farms lose less in drought, translating into enough extra wheat for millions of baguettes—fuel for the debate on farming methods. Agri-food Standards: Farmers reject changes to the PDO halloumi standard, keeping pressure on EU-style rules for protected foods. Energy for Farms: Spain’s grid trial using a large-scale 100% hydrogen engine signals a push to cut fossil fuel dependence—relevant for farm energy costs and resilience.

Toxic Waste & Rural Trust: A massive illegal rubbish dump in Bickershaw, near a primary school, has burned for nine days and remains a rotting public health hazard—residents say it’s become a “symbol” of the north-south divide. Animal Welfare & Farming Reality: A Devon farmer says the RSPCA accused him of “sheep worrying” after he used a collie to move his own flock between fields, highlighting growing friction between rural practice and urban perceptions. Energy Security for Agriculture & Industry: Offshore Energies UK (OEUK) urges the UK to classify North Sea oil, gas and offshore wind assets as critical national infrastructure amid reported drone activity and sabotage fears. Housing Pressure on Renters: After the Renters’ Rights Act, a Bermondsey estate sale has triggered eviction notices for long-term tenants, showing how market moves can override protections. Land Transparency Crackdown: Scotland’s offshore land control register is widely ignored, with hundreds of overseas firms missing—raising concerns about who really controls land and public subsidies. Fisheries Cost Squeeze: A Yorkshire fisherman complains fuel support is missing while costs rise and margins shrink, saying Brexit added paperwork burdens for selling into Europe. Biosecurity & Trees: Northern Ireland researchers are deploying traps to protect native ash trees from an invasive ash sawfly, aiming for environmentally friendly control over three years. Regenerative Farming Results: A French study finds regenerative farms lose less wheat to drought, with implications for resilience and future yields. EU Fertiliser Relief: The EU proposes €540m in financial relief and CAP flexibility as fertiliser costs bite, with farm groups calling the package insufficient. Circular Bioeconomy Funding: The EU’s CBE JU signs €172m in grants for circular bio-based projects, including turning potato waste into alternatives to palm oil.

Fertiliser Relief for EU Farmers: The European Commission has proposed €540m in financial relief and other supports to help farmers cope with rising fertiliser costs, alongside moves to shield households from new carbon costs. Dairy Pressure Across Europe: Dairy finances are under strain as milk cheques fall again, adding to the squeeze on farm margins. Livestock and Feed Costs: Farmers warn of an unavoidable “calorie crisis,” while beef production scrutiny continues in Spain amid concerns about factory cattle numbers. Policy and Compliance: EU countries fail to agree on new pesticide rules, and the EU is making it harder to suspend carbon tax on imports—raising the stakes for farm inputs and trade. Climate Risk for Agriculture: El Niño is officially underway, with experts warning it could be among the costliest on record, threatening agriculture through disruptive weather patterns. Trade and Market Access: Andalusian agri-food exports rose nearly 4% in Q1, and the apple and pear producers of Spain, France and Italy are pushing back on an Omnibus Regulation approach to phytosanitary products.

EU carbon border rules: EU ministers agreed to narrow when countries can suspend the carbon emission fee on imports, aiming to boost certainty for low-carbon investment while still tightening the “suspension” conditions. Fertiliser pressure on farms: The EU is moving to shield farmers from soaring fertiliser costs with a €540m aid package and CAP flexibility, as the fertiliser crisis feeds into wider food and energy worries. Food safety and health: A large European study using EPIC data found that even small increases in processed meat intake are linked to higher stomach cancer risk, reinforcing WHO concerns about processed meat. Trade and market access: South West-grown Bravo apples have made their first mainland shipment to China, with the new access expected to be worth over $10m in two years. Animal health and environment: Research in Spain suggests unhatched bird eggs can act as a long-term record of agricultural pollution, adding a new tool for tracking contaminants in ecosystems.

Fertiliser Shock Response: The European Commission has proposed €540m in emergency support plus CAP tweaks to help farmers handle soaring fertiliser costs, including faster liquidity measures and higher advance payments. Carbon Border Rules: The EU Council adopted its position to strengthen CBAM from 1 January 2026, extending coverage beyond raw materials to key downstream products like fertilisers and metals, ahead of talks with the European Parliament. Food Safety Lab Boost: A new McGill-linked lab (FOCAL) in Quebec, in partnership with France’s INRAE and Oniris, is set to study chemical contaminants in food using advanced detection methods. Water Security for Farming: Kazakhstan and France are stepping up work to protect Lake Balkhash, with research spanning agriculture impacts, glacier-fed water flows and digital tools for basin planning. Renewables With Farm Links: Italy’s GreenGo won authorisation for a 12 MW wind project in Foggia, adding to a pipeline that also includes agrivoltaics. Armenia–Russia Trade Friction: Armenia is challenging Russia’s import bans on Armenian food, seeds, flowers and fertiliser, arguing they violate EAEU rules and disrupt agricultural trade.

Fertiliser shock and food prices: A UK-focused analysis warns that the Iran war and Strait of Hormuz disruption could tighten global fertiliser supply (about a third of world fertiliser passes through), pushing up costs for farmers and raising the risk of higher food prices across Europe. Water pollution pressure: Netherlands data show sewage treatment plants discharged more nitrogen compounds, phosphorus and heavy metals into surface water in 2023-2024, reversing earlier improvements and adding to agricultural run-off as a key pollution driver. EU budget politics with agriculture in the mix: Cyprus’ EU presidency draft “negotiating box” for the next long-term budget puts cohesion and agriculture among priority areas, while also proposing new funding sources—setting the stage for tougher talks. Offshore wind tender (energy for farms): France is preparing a major 10 GW offshore wind tender (fixed and floating projects) aimed at energy sovereignty and climate targets—relevant for rural power and grid planning. Lake Balkhash water planning: Kazakhstan and France presented interim findings for a master plan to protect the Balkhash ecosystem, focusing on hydrology, glacier runoff and water allocation through 2040.

Irrigation Upgrade in Moldova: About 1,900 hectares in Briceni district will get access to a modernized irrigation network after three storage reservoirs and pumping stations are rehabilitated and interconnected under the World Bank’s AGGRI project, with new pipelines and distribution networks to supply water from the Prut and Vilia rivers. Moldova Tax Overhaul Draft: Moldova has opened public consultation on its 2027 fiscal policy, aiming for a simpler, more competitive tax system, including a 0% rate on reinvested profit, faster VAT refunds, and lower personal income tax for lower earners. Moldova-Bulgaria Dealmaking: Moldova and Bulgaria plan a joint economic forum in Chisinau next autumn focused on agri-food, IT, and energy, with MEDEF also set to bring new partnerships later in June. EU Budget Negotiations: The Cypriot EU presidency proposes a “negotiating box” for the 2028-2034 budget, including a 2% smaller overall size and slightly more support for farmers, while shifting resources toward competitiveness and defence. Insect Protein Scaling in France: Innovafeed says it has scaled its black soldier fly ingredient production to industrial levels at its Nesle facility, backed by €51m, while cutting R&D roles as it moves from research to commercial output. Organic Berries Trade Update: Ukraine’s organic berry exports rose 8.5% in value in 2025 despite lower volume, with strong EU demand for raspberries and especially blueberries. EU Climate Risk Guidance: WHO Europe released updated guidance for heat-health action plans as El Niño conditions are expected to intensify, warning that heat has already caused over 200,000 deaths across Europe in recent years. Foot-and-Mouth Surveillance Gap: South Africa’s ongoing foot-and-mouth outbreaks highlight the lack of a mandatory nationwide tracing system, worsening impacts on the beef sector and exports. EU Energy Policy Signal: The EU budget talks and carbon-cost measures continue to shape farm and household cost pressures across Europe.

EU Food Safety Simplification: Cyprus is pushing for a deal on the EU’s food and feed safety “simplification” package, with ambassadors set to decide Friday; the main fights are over pesticide residue limits in imports (MRLs) and how long approvals last for substances. Chlorpyrifos Scrutiny: A new review says nearly 300 studies link chlorpyrifos to multi-organ damage and chronic disease, as regulators reassess whether the insecticide should stay on crops like apples and strawberries. GMO Enforcement in Latvia: Latvia’s Plant Protection Service found unauthorised GMO “Norfolk Purple” tomato seedlings at a collector’s home, ordered destruction, and will keep monitoring. Farm Input Pressure: UK trials work highlights how higher nitrogen costs make soil pH and nutrient testing more critical for farmers to avoid wasting expensive fertiliser. Labour Housing in UK Agriculture: A North Yorkshire potato farm won approval to keep three static caravans for seasonal workers after failing to find adequate local accommodation. EU Enlargement Track: Commissioner Marta Kos says accession talks can accelerate now, with reforms and unanimous sign-offs still the key hurdle for Balkan states and Ukraine.

Fish Welfare Row: European aquaculture producers (FEAP) hit back at the European Commission’s new fish welfare report, arguing it overlooks practical farm realities and could push production outside the EU. Livestock & Rural Demographics: Ireland’s EESC president Séamus Boland warned rural depopulation is accelerating, calling for better long-term planning and housing so people can stay in rural areas. Dairy Economics: Rabobank says growing milk supply no longer pays for Irish farmers, adding pressure as margins tighten. Pig Supply Shock: Sofina Foods will not renew a small number of Northern Ireland pig supply contracts, citing downward market pressure linked to African swine fever impacts and shifting trade flows. Innovation in Farming: An Irish MEP said innovation is key to tackling major Irish agriculture challenges, highlighting research on emissions reduction and water quality. Wildlife & Land Use: Rare footage from Poland shows wolves hunting European bison, adding new detail to conservation and predator-prey dynamics.

Fertiliser Shock in the UK: The NFU says the Iran conflict is again squeezing farmers via higher fertiliser and shipping disruption, urging a “trigger point” for government support and warning CBAM could push costs further. Livestock Health Policy: England plans to vaccinate cattle against bovine TB from 2030, aiming for TB-free status by 2038, but it hinges on EU rules that currently ban vaccination exports. Agri-Business & Animal Health: Ceva Animal Health is buying Spain’s Aquilón to strengthen swine intestinal disease prevention and cut antibiotic dependence. Food & Trade Signals: EU fruit and vegetable consumption remains below WHO targets, while EU food safety leaders defend bloc standards amid ongoing scrutiny. Farming Community & Nature: Open Farm Sunday highlights water-meadow farming that protects wildlife and keeps traditional haymaking alive. Energy Inputs Pressure: With clean energy grid connections improving in the UK, the wider backdrop remains volatility in energy and input markets that directly affects farm costs.

EU Environment & Defence: Commissioner Jessika Roswall says water and climate risks should be treated as security issues, pointing to peatland restoration and re-flooding along eastern borders as a dual climate-and-defence tool. West Bank Settler Violence Sanctions: The UK and allies (including France, Norway, Australia, Canada, New Zealand) announced new sanctions targeting entities and individuals they say finance and enable extremist settler violence, while the UK stopped short of a full trade ban. Armenia’s EU Pivot: Armenia’s election outcome is widely read as a rebuke to Moscow and a mandate to keep moving toward the EU, with analysts flagging the next phase for peace talks and regional alignment. Cocoa Volatility: Cocoa prices slipped after forecasts pointed to drier West Africa conditions, with inventories high and funds holding large net shorts—raising the risk of sharp swings. Farm Inputs & Policy Watch: EU fertilizer tariffs are reported to be suspended to cut input costs, as ministers push for action amid soaring global fertilizer prices. Agrifood Trade & Supply Chains: Colombia passed a cattle traceability law aimed at keeping beef linked to deforestation out of supply chains, aligning with EU deforestation rules. Climate Risk for Farming: A Michigan study highlights how farmers and residents can reduce harmful algal blooms by limiting nutrient runoff—an issue that resonates across Europe’s water-stressed farming regions.

EU gene-editing rules for wine: The EU is set to vote on 17 June on easing restrictions for gene-edited grapevines, but wine groups warn patent disputes and outdated rules could still block growers from bringing new varieties to market. Fertiliser shock at G7: G7 agriculture ministers met as fertilizer prices spiked amid Middle East disruption, with ministers stressing strategic supply of key inputs like urea for farmers and next season. SAF push in France: Technip Energies, Airbus, Safran and Tereos are teaming up on a large Alcohol-to-Jet sustainable aviation fuel project at Dunkirk, targeting about 160,000 tonnes a year. Organic waste to compost in Cyprus: Athienou is developing a resilience hub to turn pruning residues and livestock manure into affordable compost for local farms under Horizon Europe’s NURISH project. Beekeeping biotech: Research highlights a gene-silencing biopesticide approach targeting the Varroa mite while aiming to keep honey bees safe. Aquaculture debate: New analysis flags that Europe’s farmed seafood growth still shifts environmental pressure from sea to land via aquafeed inputs.

Fertiliser Security at G7: G7 agriculture ministers met in France to assess fertilizer supply risk after the Strait of Hormuz closure, warning urea exports are hit and nitrogen prices have jumped sharply in Europe. Climate & Food Imports: UK research warns heat stress and El Niño could disrupt global supply chains, putting UK food import security at risk. Renewables & Farm Co-benefits: A German study finds solar farms on rewetted peatland can boost biodiversity while locking away carbon, offering a new income path for landowners. Biofuel Sustainability: EU renewable ethanol hit a new greenhouse-gas reduction record, with audited figures stressing co-products for food and feed. Animal Health & Biosecurity: UK equine flu outbreaks keep rising, with stricter show checks on passports and vaccination compliance. Agrifood Trade & Access: Moldova hosted a Moldova–EU investment conference with over €1bn in announced partnerships, aiming to speed integration and exports. Cocoa Volatility: Cocoa prices tick up as West Africa weather damages buds and trees, with El Niño risks adding pressure. EU Enlargement (Agri Angle): Serbia says it could be technically ready to open EU accession Cluster 5 on agriculture by end-June.

Climate & Food Security: A new study warns El Niño heat stress is already disrupting farm work in poorer countries that supply Britain with staples like rice, coffee, tea and chocolate, with 13% of UK food imports tied to these regions and huge lost working hours; UN scientists say El Niño risk is rising, threatening higher food prices. Input Costs & Fertiliser Supply: UN’s IFAD chief warns the Iran war’s Strait of Hormuz disruption is feeding through to fertiliser and fuel costs, pushing farmers to delay planting and raising the odds of a food crisis by year-end. EU Policy & Farming: The EU is pushing a clearer link between farm subsidies and emissions cuts, as debate grows over how CAP-style support should drive climate outcomes. EU-India Agri-Food Links: EU “Team Europe” ambassadors are set to visit Assam (June 8-9) to deepen cooperation, including tea and agri-food processing value chains. Animal & Biosecurity Rules: Czech Republic introduces mandatory central dog registration from July 1, with vets handling entries and fines for non-compliance.

EU-Armenia Trade Pivot: Armenia’s parliamentary election is being watched in Brussels and Moscow as Prime Minister Nikol Pashinyan seeks a stronger mandate to keep moving toward the EU while Russia tightens pressure via export restrictions. EU Support for Agriculture Exports: The EU is preparing/pledging major support for Armenia amid Russian trade limits, including tariff-free access for agricultural exports and emergency funding aimed at keeping fruit, vegetables and floriculture moving. EU Investment Linkages: A “Team Europe” delegation is set to visit India’s Assam on June 8-9 to back value chains in tea and agri-food processing, plus flavours/fragrances and broader industrial partnerships. UK Farm Inputs & Health: In Britain, Public Health Wales warns North Wales visitors to cover up due to reported tick surges, with implications for livestock and outdoor workers. Farm Sector Costs & Power: In India, farmers face reduced electricity supply and insurance payment delays, adding pressure to already strained rural livelihoods.

EU Trade & Food Flows: Morocco widened its agro-food surplus with the EU in early 2026, with EU imports down only 2% to €800m while EU exports fell 18% to €561m, driven by weaker cereals, beef and soybean oil shipments. Global Food Prices: FAO data shows world food prices broadly steady in May, but cereals rose—world wheat up 3.4% on the month and 7.8% year-on-year—pointing to weather and energy/input risks. Water Stress in the Mediterranean: Cyprus launched “Larnaca -26” to cut household water use by 26 liters per person daily by September, as drought pressure and summer demand keep reservoir levels under strain. Energy Costs Hitting Farms: Scotland’s renewables sector warned UK transmission charging is “not fit for purpose,” with forecasts suggesting higher network bills in the north—an indirect pressure on wider rural energy costs. Labour Mobility Watch: The EU Labour Authority highlighted fair mobility as a core challenge amid shortages, undeclared work and migrant exploitation, with coordinated enforcement increasingly targeting problem areas.