EU farm subsidies inflate aromatic herb crops in southern France

Declarations for organic coriander cultivation have boomed this year in Occitanie, as farmers benefit from generous aid for conversion to bio cultivation of aromatic herbs, amid growing criticism in the sector against "misappropriation" of funds.

Although organic coriander still represents a very small market in France and Europe, applications to convert to organic cultivation for this crop have increased 7-fold in 2024 in the South of France (Occitanie), from 1,800 to 11,700 hectares.

The plant is easy to grow and qualifies for a support of €900 per hectare when used in conversion to organic. In the Common Agricultural Policy (CAP) this kind of aid depends on the crop and specialised crops collect higher support.

The money comes from the CAP budget, but the subsidy is determined at national and regional levels. This is why this phenomenon has not yet been observed elsewhere in Europe, the umbrella organisation for organic food & farming IFOAM told Euractiv.

"When production areas are multiplied from one year to the next, the European Commission should be alerted," Philippe Camburet, president of the Fédération Nationale d'Agriculture Biologique (FNAB) told Euractiv.

Given the small market for these crops, the incentive is creating the conditions for oversupply. "Nothing will be harvested, everything will be destroyed," warned Camburet, highlighting the problem of possible "misappropriation" of CAP aid.

According to the FNAB, only 9% of the farms applying for conversion aid for coriander in 2024 were exclusively organic, pointing towards an "opportunistic approach" by conventional farmers, rather than a transition to organic farming.

All PPAM (perfumed, aromatic and medicinal plants) - thyme, lavender, verbena, helichrysum, rosemary, oregano, sage, etc. - can potentially be used in these practices, the organisation points out.

Spice war

Applications for aid for PPAM cultivation are €50 million worth this year - "the equivalent of all the other applications submitted across all sectors," stated the FNAB.

The Occitanie region had to backtrack by announcing a cap on aid. Originally intended for a maximum of 20 hectares per farm, this has been reduced to 3 hectares (6 for young farmers).

Combined with delays in the payment of conversion aid, the decision was contributing towards increasing discontent in the sector.

"It's a change of rules during the course of the CAP," the farmers' organisation Coordination Rurale said in a press release at the beginning of September.

They called for promised aid - almost €20,000 a year for some farms - to be reinstated, and for producers to be able to opt out by 2025.

Organic farming organisations are denouncing the inadequacy of emergency public aid, in the face of the repeated crises they are facing, forcing them to turn to alternative sources of this type, to receive sufficient aid.

Camburet also highlighted the need for member states to take responsibility and reinforce national administration capacities. "The Commission could oblige member states to devote sufficient human resources to getting a better idea of applications [for aid] and their feasibility," he suggested.

[Edited by Angelo Di Mambro and Rajnish Singh]