Factsheet on Rural Development Programme for Sicily

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1 Factsheet n Rural Develpment Prgramme fr Sicily The Rural Develpment Prgramme (RDP) fr Sicily was frmally adpted by the Eurpean Cmmissin n 24 Nvember 2015, utlining Sicily's pririties fr using the millin f public mney that is available fr the 7-year perid ( millin frm the EU budget, 874 millin f natinal c-funding). Sicily's RDP is putting particular emphasis n actins related t restring, preserving and enhancing ecsystems as well as n actins related t imprving the cmpetitiveness f the farm and frestry sectrs and t prmting scial inclusin and ecnmic in rural areas. Organic farming is extremely imprtant as a ttal f almst hectares will receive supprt t cnvert t rganic farming and anther ha t maintain rganic prductin. Abut 30.39% f the agricultural land is expected t cme under management cntracts supprting better water management, nearly % f the agricultural land will be under cntracts t imprve sil management and almst 31.43% f the agricultural land will cme under management cntracts supprting bidiversity. T imprve the cmpetitiveness f farmers, ver farms will receive supprt fr investments in restructuring and mdernisatin and yung farmers will be granted business start-up aid. Mrever, particular emphasis is put n innvatin when selecting the supprted peratins and 2.6% f RDP public expenditure is earmarked by actins that fster innvatin, cperatin and the f the knwledge base. In this framewrk Sicily regin will implement the Eurpean Innvatin Partnership t help deliver innvative slutins t the farm sectr. Finally, Sicily's RDP will cntribute t scial inclusin and ecnmic in rural areas with ver 83% f the rural ppulatin cvered by lcal strategies. Supprt fr Rural Develpment is the 2nd Pillar f the Cmmn Agricultural Plicy, prviding Member States with an envelpe f EU funding t manage natinally r reginally under multi-annual, c-funded prgrammes. In ttal, 118 prgrammes are freseen in all 28 Member States. The new RD Regulatin fr the perid addresses six ecnmic, envirnmental and scial pririties, and prgrammes cntain clear targets setting ut what is t be achieved. Mrever, in rder t crdinate actins better and maximise synergies with the ther Eurpean Structural & Investment Funds (ESIF), a Partnership Agreement has been agreed with each Member State highlighting its brad strategy fr EU-funded structural investment. This dcument prvides a brief verview f hw the challenges and pprtunities Sicily is facing are addressed by the RDP. In the annex, a table indicates the pririties and fcus areas each with their specific targets, and their allcated budgets. 1. SITUATION AND KEY CHALLENGES In Italy, rural is implemented thrugh 22 separate RDPs ne at natinal level and 21 reginal RDPs (including "less develped", "transitin" and "mre develped" regins). In additin, the Natinal Rural Netwrk Prgramme prvides the funding fr the netwrking f rural actrs in Italy.

2 Sicily is an insular regin f suthern Italy, classified as a less develped regin. It cvers a ttal area f km 2 f which agricultural land cvers 68.5% and frestry abut 15%. Sme 97% f the ttal area is classified as rural, while 60% f the ttal Utilized Agricultural Area (UAA) is currently classified as Less Favured Area. Sicily has abut 5 millin inhabitants with a high rate f elderly ppulatin (19.3%) f which nly 3.4% live in rural areas, while 50.1% live in areas classified as neither fully rural nr urban. The unemplyment rate is 21% (2013) but it ges up t almst 54% amng the yungsters (age between 15 and 24 years). The regin is facing structural changes: ttal Utilized Agricultural Area (UAA) and number f active agricultural hldings are decreasing as cmpared t early Tday there are 219,680 farm hldings (13.6% f the ttal natinal value) with an average size f 6.3 hectares, fr a ttal reginal UAA f sme hectares. Hwever, mre than half f the agricultural hldings have a size f less than 2 hectares; mrever 92.2% f farms are cnducted by single individuals r run by families, with a nly limited number (althugh increasing) f additinal emplyees and the level f prfessinal educatin in agriculture remains lw. Mre than 45% f the farms are cnducted by ver 60 farmers and nly 12% are managed by "under 40". Finally the sectr remains affected by an verall lack f infrastructure and services thrughut the territry, which influences negatively the ecnmic f the land as well as the quality f life f rural ppulatin. Due t the favurable cnditins f climate and sil, the mst imprtant agricultural prductins f the regin are: table grapes, pistachis, hazel nuts, almnds, citrus fruit, peaches, lives, live il, wine and cereals. The presence n numerus quality prducts (PDO/PGI and rganic) is a significant pint f strength f the reginal agricultural sectr. Sicily is characterised by an utstanding naturalistic heritage: the surface cvered by prtected high value natural areas (parks, reserves, Natura 2000 sites) is 502,618 hectares. In additin t 223 SCI, 30 ZPS and 2 wetlands f internatinal interest, Sicily has 238 sites part f the Natura 2000 netwrk, cvering 24.8% f the ttal surface area, 56.4% f the ttal frest area (512,121 ha) and 18.6% f the UAA (10.6% f which are pastures). T date 55 Natura 2000 Management Plan fr the cnservatin f bidiversity are in place, in cmpliance with the Habitat Directive 92/43/EEC. The main envirnmental challenges t be tackled cncern pllutin, plant diseases, landslides and sil ersin. 2. HOW SICILY'S RDP WILL ADDRESS THESE CHALLENGES In addressing the challenges, Sicily's RDP will fund peratins under all six Rural Develpment pririties, with a particular emphasis n Restring, preserving and enhancing ecsystems as well as n Imprving the cmpetitiveness f the farm and frestry sectrs and n Prmting scial inclusin and ecnmic in rural areas. The fcus f each pririty is explained briefly belw. Knwledge transfer and innvatin in agriculture, frestry and rural areas Knwledge transfer will address the training, caching, infrmatin and advisry needs f the agricultural, fd and frestry sectrs as well ther land hlder and SMEs in rural areas, in particular related t sustainable agricultural and frestry practices, regulatry issues, innvatin and technlgy, quality prducts and diversificatin. Almst places will be made available in training curses. An imprtant element is innvatin: 78 prjects will be supprted t strengthen the link between agriculture, fd and frestry sectrs and research and innvatin. Cmpetitiveness f agri sectr and sustainable frestry Given the ageing farmer ppulatin and the small - and lately further decreasing - size f agricultural hldings in the regin, the RDP will supprt the start-up f yung farmers and investments and mdernisatin farms, with a specific emphasis n

3 innvatin as a means t increase cmpetitiveness. The sustainability f agricultural prductin is taken int accunt als by prmting a reductin f energy cnsumptin and an efficient use f renewable energy surces. Fd chain rganisatin, including prcessing and marketing f agricultural prducts, animal welfare and risk management in agriculture Under this pririty, Sicily will supprt the prmtin f quality prducts and the participatin f farmers t quality schemes: the RDP is expected t supprt farms t participate in quality schemes. The RDP will als supprt the and strengthening f supply chains, including shrt supply chains and lcal markets, in rder t enlarge the market f the reginal prducts and ensure a higher added value t the farmer's prductin resulting in a higher incme fr the farmer. Cperatin and chain prjects will als be supprted fr this purpse. Restring, preserving and enhancing ecsystems related t agriculture and frestry Under this pririty, Sicily will fcus n envirnment-friendly farm investments and management prcedures: 30.39% f agricultural land will be under cntracts t imprve water management. The prblem f ersin will be tackled by placing almst 30.39% f the agricultural land under management cntracts cmbating sil ersin. Mrever ver 31.43% f agricultural and frestry land will be under management cntracts supprting bidiversity. Abut 35% f the allcated EAFRD amunt will be used fr area-based payments t farmers fr using envirnment/climate-friendly land management practices, including rganic farming and supprt t areas facing natural cnstraints. Almst hectares f farmland will receive supprt t either cnvert r maintain rganic farming. Resurce efficiency and climate Thrugh the cntributin t this pririty, Sicily will pursue carbn cnservatin and sequestratin mainly by supprting envirnmentally and climate friendly practices, and related knwledge transfer and innvatin actins; 0.13% f ttal reginal agricultural and frest land will be under management cntracts cntributing t carbn sequestratin and cnservatin. Scial inclusin and lcal in rural areas RDP Sicily pays particular attentin t scial inclusin and ecnmic in rural areas (11% f the resurces have been allcated t this pririty), which are prmted thrugh the supprt t the creatin and diversificatin f SMEs and t farm and business, including supprt t technlgical and ITC activities and services, and t the prvisin f basic services and village renewal in rural areas, als invlving welfare and scial care services. Mrever, Lcal Develpment Strategies will be implemented thrugh 17 LEADER Lcal Actin Grups and will cver ver 83 % f the rural ppulatin. Thanks t the peratins prgrammed under this pririty, 495 additinal jbs will be created and 2.19% f rural ppulatin will benefit frm the prvisin f new r imprved services. The five biggest RDP measures in budgetary terms (ttal public funding) are: 712 millin allcated t measure 4 (Investments in physical assets) 417 millin allcated t measure 11 (Organic) 245 millin allcated t measure 6 (Farm / business ) 226 millin allcated t measure 10 (Agri-envirnment-climate)

4 Annex 1: Indicative public supprt fr the Rural Develpment Prgramme in Sicily Target Measure Ttal public % Pririty1: Knwledge transfer and innvatin in agriculture, frestry and rural areas 1 1A: Fstering innvatin, cperatin, knwledge base 2.58 % f RDP expenditure 01 knwledge 02 advisry 16 cperatin 1B: Strengthening links (with research etc.) 78 cperatin prjects 1C: Training participants trained 16 cperatin 01 knwledge Pririty 2: Farm viability, cmpetitiveness and sustainable frest management A: Ecnmic perfrmance, restructuring & mdernisatin 0.82 % f hldings with RDP supprt 01 knwledge advisry investments farm / business frest B: Generatinal renewal 0.74 % f hldings with RDP supprted business plan/investments fr yung farmers 01 knwledge advisry investments farm / business Pririty 3: Fd chain rganisatin, including prcessing and marketing f agricultural prducts, animal welfare and risk management A: Imprving cmpetitiveness f primary prducers 0.46 % f agricultural hldings receiving supprt fr participating in quality schemes, lcal markets and shrt supply circuits, and prducer grups/rganisatins 2.67% f agri-fd hldings supprted 01 knwledge advisry quality schemes investments farm / business cperatin B: Farm risk preventin and management 0.02% f farms participating in risk management schemes 01 knwledge advisry restring agric. ptential N financial allcatin shwn fr Pririty 1 as the expenditure is distributed acrss ther fcus areas.

5 Pririty 4: Restring, preserving and enhancing ecsystems in agriculture and frestry A Bidiversity % f agricultural land under cntracts 0.09 % f frest/ther wded area under cntracts 4B Water management % f agricultural land under cntracts 01 knwledge advisry investments frest C Sil ersin and management % f agricultural land under cntracts 10 AEC rganic farming NAT 2000 and WFD ANC frestenvirnment Cperatin Pririty 5: Resurce efficiency and shift t lw carbn and climate resilience ecnmy in agriculture, fd and frestry sectrs A Water efficiency 01 knwledge advisry B Energy efficiency 01 knwledge advisry C Renewable energy 01 knwledge advisry Cperatin D Reducing GHG and NH3 01 knwledge advisry E Carbn cnservatin / sequestratin 0.13% f agricultural and frest land under cntracts 01 knwledge advisry AEC Expenditure under Pririty 4 is prgrammed fr the pririty as a whle, nt fr individual fcus areas.

6 Pririty 6: Scial inclusin, pverty reductin and ecnmic in rural areas A Diversificatin, SMEs and jb creatin Jbs created in supprted prjects 01 knwledge advisry M06 Farm / business Cperatin B Fstering lcal % f rural ppulatin cvered by lcal strategies 2.19% f rural ppulatin benefiting frm imprved services/infrastructures 495 jbs created (via LEADER) 07 basic services LEADER and CLLD C Access t and quality f ICT 3.03 % f rural ppulatin benefiting frm new r imprved services/infrastructures (ICT) 01 knwledge advisry basic services Technical Assistance Ttal public expenditure

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