Scholarly record
SOCIO-ECONOMIC AND ENVIRONMENTAL ASPECTS OF COMMON AGRICULTURAL POLICY SUPPORT PAYMENTS
Abstract
The European Union (EU) Common Agricultural Policy (CAP) plays a crucial role in agricultural and economic development in the Member States. In the future, CAP support instruments must foster sustainable agriculture, with economic, social and environmental goals achieved through synergy. It would be increasingly important to assess the effectiveness of support payments in terms of their economic, social, and environmental dimensions. Accordingly, the present research aims to evaluate CAP support payments' socio-economic and environmental dimensions in the EU Member States based on data from the publicly available Farm Accountancy Data Network (FADN) database for 2014-2022. The research revealed that the intensity of arable land use and CAP support payments per hectare (ha) of arable land differed across farms in the EU Member States, as there was a negative relationship between total support and the value of output per ha of arable land. Support is essential for maintaining jobs in rural areas and encouraging environmentally friendly practices. It is necessary to adapt the CAP support policy to achieve more efficient use of resources, increase labour productivity per person employed and per hectare of arable land and foster sustainable agriculture in the EU Member States, thereby achieving a balance between agricultural efficiency, productivity and environmental sustainability.
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References9
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