FARMERS are still digesting the potential impact of what has been called “the biggest shake-up ever in European agriculture”.

The changes agreed to the Common Agriculture Policy effectively break the link between subsidies and farm production, which has led to farmers producing surpluses of unwanted food.

The aim of this “decoupling” is to give farmers the freedom to produce what the market wants, with subsidies linked to environmental, food safety and animal welfare standards by 2005.

John Geldard, who runs a mixed farm at Low Foulshaw, Levens, said farmers were burdened with “totally unacceptable” red tape, and any reform that would lighten the bureaucratic load would be “welcomed”.

“The intention of decoupling is that it will reduce that burden,” said Mr Geldard, vice-chairman of Cumbria NFU. “The important thing is to make sure that it achieves that.” He added: “With a 30-page document I don’t believe any of us have thoroughly digested it all yet, and we’ve got to make sure the perimeter of it and the small print don’t dilute and don’t detract from the main goal.” That goal was to give farmers freedom to produce the food the market wanted, and get “a true price” for it that reflected the quality of the goods, he added.

Appleby NFU group secretary Mike Sanderson said the changes he had read about so far looked like “a dog’s dinner”. “If the EU do anything and make it simpler, it will be the first time,” he said.

Mr Sanderson said the changes seemed “massively complicated” and could leave farmers “working in the dark”, adding: “How anybody can make business plans with this hanging over them is beyond me.” Dairy farmer John Park, of Low Sizergh, said the implications of the reform still looked “extremely foggy”. The changes had come as no great surprise to farmers. But there was a concern that while the French were being allowed to keep most of their subsidies until 2007, other states would move to decoupling by 2005.

Mr Park said: “The main concern is that there’s less and less that’s actually common about the Common Market, because our friends over the water – as they often do – have done their own thing. That just rankles a bit but it’s not totally unexpected.

“And all the time we seem to be fighting a rearguard action to stay in business and remain competitive with others who don’t have to accept the same sort of system as we do.” Mr Park added: “Apart from that it’s difficult to be totally objective about the implications of the changes until they become clearer.” He said he hoped the reform would simplify some of the vast swathes of complex paperwork farmers had to contend with.

Cumbria NFU chairman Steve Dunning said the changes adopted by EU farm ministers would have “a huge impact” on agriculture but it was “extremely disappointing” farmers would have to wait until 2005.

Mr Dunning, who runs a beef, sheep and dairy farm at Raisgill Hall, near Tebay, said: “The next few weeks and months will be crucial as the finer details come from the European Commission, and indeed our own Government.

“The hard work now starts to ensure if we take the route of total decoupling that UK farmers are not disadvantaged against our fellow Europeans.” l Dairy farmers are being invited to attend a conference to hear how their businesses will be affected by CAP reform. Dairy North West is at Myerscough College on Wednesday, July 9, from 10am to 3pm. The registration fee includes lunch. Speakers will include NFU chief dairy advisor Phil Hudson, chief executive of First Milk John Duncan, and DEFRA head of rural strategy Ciaran Gannon.

The event is being organised by Pye Farm Feeds, Myerscough College, NatWest and the NFU.