Copa and Cogeca call on EU Commission to take action on protein plant and biofuel markets

In Belgium, in a letter sent to the European Commission, Copa and Cogeca express their concerns about the potential consequences of the Covid-19 crisis on the vegetable oils, biodiesel, protein-rich by-products like rapeseed and sunflower meals and DDGS, and ethanol sectors.

Faced with falling European production and social distancing measures in the EU and worldwide due to the pandemic, protein-rich plant by-product markets risk entering into a phase of greater instability, as a result of lower demand in the biofuel sector and lower EU production of protein crops. In this context, the European farmers and cooperatives organisations are calling for a set of rapid actions that could limit major disruptions.

The planted area with protein-rich crops is around 30% below its highest level reached in 2018/2019. In this context, possible disruptions of supply from the main producing countries being the United States, South America and India, are feared as the COVID-19 pandemic might well accelerate in those regions.

Against this backdrop, Pedro Gallardo, Copa-Cogeca’s Oilseeds and Protein crops Working Party Chairman, considered that “the best way to increase our production in the short term, is that the European Commission accept temporarily lifting some restrictions on the use of plant protection products (PPPs) for nitrogen fixing crops in ecological focus areas. This approach would increase our domestic production of soya, peas, beans and lupines on land beyond the areas receiving support in the form of voluntary coupled support”.