can the cap contribute to improve life standards in rural areas and to diversify economy? some...

Can the CAP contribute to improve life standards in rural

areas and to diversify economy?

Some aspects from Portugal

Ricardo Ferreira ricbruno@esaelvas.pt

Answering the question:

YES, I think so!

But only if:

Local players find good ideas / create good projects

Program managers and information centres are able to disseminate good examples and to provoke the emergence of ideas of excellence

I’ll focus the following:

• What has happened in the past.

– The results from 2006

• A view of some interesting projects

• Some strong personal ideas

What has happened in the past

• PROGRAMA OPERACIONAL AGRICULTURA E DESENVOLVMENTO RURAL - AGRO

Year Assumed//programmed*

Executed//programmed*

2000 1,1 0,12001 29,2 6,32002 46,8 18,62003 66,3 32,12004 82,4 45,02005 98,0 56,22006 107,4 68,5

Total execution (%)

Money is being spend

Projects are appearing and money is circulating in the economy ...

Data on this slide and the next ones comes from the 2006 official report of AGRO

AGRO – execution per axis

Axe2 Assumed//programmed*

Executed//programmed*

2000 0,0 0,02001 30,6 1,22002 47,7 15,72003 64,4 29,12004 85,7 46,22005 102,9 61,72006 117,9 73,0

Axe1 Assumed//programmed*

Executed//programmed*

2000 1,2 0,12001 30,2 6,92002 47,0 18,92003 66,5 32,42004 81,8 44,72005 97,7 55,42006 106,5 67,8

No significant differences between different axis

There is a serious difference between assumed expenditure and executed projects

Agro – main results

Axe 1 – Results 2001 2002 2003 2004 2005 2006 AimProduct increase in supported units / average product increase

3,5% 2,8% 3,1% 1,8% 2,4% 0,7% 2%-4%

Increase in total irrigated area

2,4% 2,7% 3,1% 3,5% 3,8% 3,9%3.5%-4.7%

Investment in environmental factors on total investment in axe 1

nd 5,0% 5,5% 6,5% 8,0% 9,2%11%-13%

Investment in infrastructures on total investment in axe 1

2,5% 8,0% 7,8% 6,6% 5,8% 5,4%6.5%-8.5%

Investment in immaterial assets on total investment in axe 1

nd 4,1% 4,0% 4,2% 4,2% 4,1% 8%-10%

Young farmers installed over number of farms

0,3% 0,5% 0,7% 0,9% 1,1% 1,1%1.7%-1.9%

Young farmers installed over ben. of cessation

118,4 10,3 7,2 6,5 6,4 5,6 2.3-2.5

New forest area over existing forest

0,2% 0,4% 0,6% 1,0% 1,5% 1,5% 2,70%

Supported forest area over existing forest

1,0% 1,9% 2,8% 4,0% 5,4% 5,4% 4,70%

Increase in labor units in the supported farms

35,0% 35,9% 37,3% 37,1% 45,6% 43,9% 0,00%

Axe 2 reults 2001 2002 2003 2004 2005 2006 AimTime dedicated by learners

. 5,9% 8,4% 8,3% 9,8% 9,9% 8%

Number of learners / potential learners

. 8,6% 20,7% 33,5% 57,3% 70,6% 30,70%

Women learners / total learners

46,0% 49,7% 48,6% 52,4% 53,2% >=50%

Courses w/ envir. goals / total courses

Nd 25,0% 26,1% 22,0% 30,2% 32,8% >=80%

Proj. on innovation / proj. on demonstr.

44,0% 44,0% 44,0% 40,9% 40,9% 43,9% >=30%

Specialized institutions / total institut. w/ courses

2,0% 9,8% 9,8% 9,8% 9,8% 9,8% 20%

Benef. of agro-rural serv./ total farmers

9,8% 23,3% 40,4% 43,0% 49,9% 56,0% 40%-60%

Invest. in envir. factors / total inves. in the axe

Nd 10,3% 7,6% 16,3% 13,4% 13,9% 18%-20%

Invest. in infrastr. / total invest. In axe

7,5% 15,7% 14,8% 11,7% 9,7% 11,6% 13%-15%

Immaterial investment / total investment in the axe

Nd 81,6% 84,8% 87,7% 88,2% 88,6% 83%-85%

Interesting examples

• The following are examples of companies which have benefited from rural development support. – Will focus not on the project itself, but on the

entire company idea• Quizcamp• Granfer• Frulact• Fertiprado• Fluviário de Mora (support from regional policy)

“Quizcamp® ‘s mission is to give its clients a better quality of life, providing healthy food products originated in the country side, produced following the most demanding standarts of food security, ofering a set of experiences and ludic and pedagogical associated activities.

QuizCamp

Quizcamp.com

Several Agro-Food Products

Connection with delicatessen stores network

Mini garden:

“A system of modular vases, allowing intensive growing of plants, by anyone, anywhere. Usable for decoration, aromatic plants, flowers, small fruits, etc.” (Clearly aiming at urban clients)

“Have you imagined having breakfast collecting the strawberries on your balcony? Or receiving friends in your living room with a wall covered with flowers with a incomparable aroma and unique decoration effect?”

QuizCamp

2005 – Vineyard project 89.700€ (support = 26.910€)Fruit production project 449.541€ (support = 134.862)

Granfer.pt

Granfer

Its a large fruit central,

In the past 3 years has renovated facilities to achieve the highest international quality standards

Also renovated equipments, including production lines and refrigeration systems

At the present they count with 3 independent production lines, allowing for trustable supplies of their products

Granfer.pt/produtos

Its a company of products derivated from milk and fruit, created in 1987

Its also present in Marrocco, Tunisia

Recently implemented a new factory in Tortosendo, strategically connected to a area of great fruit production

Allows for a clear development in the region, not only the company

Frulact.pt

Incopil

Basically its a factory of condiments. Their main product is dried powered pepper (paprika)

Its a leader in its market,

Its success is clearly due to the reunion of several old producers which were too small to be competitive in the market on their own

We must promote in our producers the capacity, and the will, to cooperate with

each otherIncopil (site)

Incopil history

www.fluviatiomora.pt

“Welcome!

Mora Fluviario invites you to river trip – a paradigm of a Iberian river. You may observe different types of habitats and the living beings in those. You’ll get to know species, some of which disappeared from our rivers ...”

Fluviario de Mora(River Aquarium of Mora ???)

From one of the leading national newspapers:Mora, Évora, 19 Mar - Um ano após ter aberto as portas ao público, o Fluviário de Mora festeja sexta-feira o seu primeiro aniversário com teatro, circo e entradas gratuitas para jovens e idosos, esperando atingir os 210 mil visitantes

210 thousand visitors in the first year

Funded by EU regional development policy and not rural development...... But it could have been

Some personal ideas #1

• Tradition, history and heritage must be emphasised.... BUT– People will not live only from artisan works, jams,

and mushrooms – Rural tourism must be professionalised – Minimum dimensions should be kept – Partnerships are essential

• Some examples of false useless projects

Some personal ideas #2

• People are the basis– Need motivated and well formed youth

• Open-minded • Youngsters must leave their home regions to see

– Selectivity in formation programmes

• Entrepreneurship, Innovation, Capacity to cooperate are key elements to promote

• Economy is the principal element– There will be no development if not creating

wealth;– Profit is not a bad word!!!!! It’s essential;

• New projects should aim at– Finding regional comparative advantages– Productivity; competitiveness– And most of all: Export basis

Some personal ideas #3

• Environment will be a key element– To maintain the advantages of rural areas– Amenities to be explored

• Tourism, food quality, energy

– We live where others want to spend their retirements, must take advantage from ...

... And be happy about it!

Some personal ideas #4

Thank you for your time

ricbruno@esaelvas.pt