A policy paper containing the European Commission’s proposed long-term reforms of the EU’s Common Agricultural Policy has been leaked and seen by just-food.

The ‘communication’ on the ‘CAP towards 2020 proposes making more environmental subsidies available for food producers and capping amounts paid to large agro-industrial companies.

It also suggests incorporating more risk management techniques in setting market-linked subsidies, so that the EU is better prepared to react to price falls.

Elsewhere, the document suggests removing time limits from emergency intervention payments to deal with crises.

It also proposes funding improvements to food supply chains, so the share of income commended by farmers rises compared to manufacturers and retailers, highlighting “the current imbalance of bargaining power”.

The paper will now spark further consultation, with formal legislative proposals being tabled by the Commission next year.