Joint Press Statement: EU must recognise agri-food producers as a priority in new emergency intervention | 2022

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Brussels, 29 September 2022

Copa Cogeca, Primary Food Processors (PFP) and FoodDrinkEurope jointly called on EU Member States to recognise the agri food supply chain as a strategic priority during emergency energy interventions designed to address Europe’s escalating energy crisis.

Ahead of the meeting of EU Energy Ministers, the organisations warned that unprecedented increases in energy prices were creating severe challenges across the entire agri food value chain, threatening food production, food affordability and long term economic sustainability.

The organisations called on EU Member States to guarantee affordable energy access and formally recognise the agri food chain as a strategic priority sector.

According to the joint statement, rising energy prices were affecting every stage of the food supply chain. Energy intensive operations faced substantial cost increases, food security risks were growing as supply chains came under pressure, and consumers were increasingly exposed to higher food prices. Continuous industrial food production systems also faced significant operational constraints due to rising energy costs.

The organisations highlighted that the agri food sector had already implemented numerous measures to improve resilience and reduce energy consumption. At farm level, operators had introduced more efficient cooling systems, shorter refrigeration cycles and operational adjustments designed to reduce waste and improve efficiency. Industrial operators had invested in alternative energy sources, adjusted production schedules and implemented energy efficiency measures to reduce peak demand.

Many food production facilities operate continuously and cannot significantly reduce peak energy consumption without disrupting food production.

Copa Cogeca, PFP and FoodDrinkEurope jointly called for several urgent policy actions. These included measures to reduce energy prices, exemptions from mandatory peak hour energy consumption reductions, prioritisation of the agri food sector within national gas rationing plans and revisions to the Temporary State Aid Crisis Framework to better support food chain operators.

The organisations also proposed reforms to state aid rules, including extending support measures through 2023, increasing maximum support levels, broadening eligibility criteria and recognising the specific challenges faced by energy intensive agri food industries.

According to the statement, many operators were already facing significant liquidity pressures while attempting to prepare investment and operational plans for the following year.

The organisations warned that many agri food businesses faced severe financial pressure while continuing to ensure food production and supply chain stability.

Despite the immediate challenges, the sector reaffirmed its commitment to long term industrial resilience and decarbonisation. Investments in renewable energy, energy efficiency technologies, combined heat and power systems and lower carbon industrial processes remain important priorities for the future of European food production.

The joint statement concluded that emergency support measures and long term energy transition policies must work together to safeguard Europe’s food security, industrial competitiveness and sustainability objectives.

PFP members process approximately 220 million tonnes of raw materials and employ more than 120,000 people across the European Union.

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