scholarly journals Assessing Impacts of CAP Subsidies on Financial Performance of Enterprises in Slovak Republic

2020 ◽  
Vol 12 (3) ◽  
pp. 948 ◽  
Author(s):  
Ivana Kravčáková Vozárová ◽  
Rastislav Kotulič ◽  
Roman Vavrek

Sustainability is a particularly crucial factor in policy formulation and analysis, including in the EU’s common agricultural policy. The common agricultural policy, through a subsidy policy, has caused a significant proportion of public funding to flow to agricultural subsidies, so it is appropriate to focus on the effect of these subsidies in the context of the sustainable development of EU agriculture. The impact of agricultural subsidies on business performance is of interest to policy makers. In agrarian practice, insufficient attention is paid to the legal form of agricultural performance, so our economic analysis focused on this area of research. The aim of the paper was to evaluate the effect of financial support in the form of subsidies resulting from the EU’s common agricultural policy and to verify its connection with the performance of agricultural enterprises in terms of the legal form in the context of sustainable development of the agricultural sector in Slovakia. No statistically significant linear correlation was found between farms’ performance results and the volume of subsidies per hectare of agricultural land for each legal form throughout the reporting period. In each analyzed year, business companies achieved a better overall assessment than agricultural cooperatives based on monitored parameters.

2011 ◽  
Vol 57 (No. 1) ◽  
pp. 27-34
Author(s):  
E. Uhrinčaťová

The contribution presents the modelling solution of the potential scenarios impact of the Common Agricultural Policy of the European Union after 2013 in the selected sectors of the Slovak Republic national economy. The solution is accomplished using the Computable General Equilibrium model with the emphasis on the productive and less favourable agricultural areas and the theoretical rents for agricultural land. If we take into consideration both pillars of the Common Agricultural Policy of the European Union, according to the modelling calculations in Slovak conditions the most favoured is the Conservative scenario, the Reference and the Flat Rate scenario are neutral and the least favourable is the Liberalisation scenario.


Author(s):  
Dariusz Żmija

The aim of the study was to identify and evaluate the changes in land resources of small farms in the Małopolskie Province in the years 2004-2015 which were a result of using of selected CAP instruments. In the light of the results of the research, it should be noted that the examined CAP instruments had a relatively small impact on the size of land area. Less than one fifth of the respondents made changes in the land resources. Considering only farms that have increased their area it can be stated that the area of agricultural land of these farms increased by 3.7%. This situation is not favorable, especially in the situation of large agrarian fragmentation of farms in Małopolskie Province.


2021 ◽  
Vol LXII (2) ◽  
pp. 32-45
Author(s):  
Bojura Fidanska ◽  
◽  
Nina Koteva ◽  

The study examines the role of small farms in the development of entrepreneurship and family business, which contribute to the sustainable development of rural areas in Bulgaria. The aim of the article is to outline the socio-economic importance of small farms on the sustainable development of rural areas, to reveal structural changes and to assess the impact of the implementation of the Common Agricultural Policy. The strengths of small farms for rural development and their needs are highlighted. The difficulties faced by producers in starting a family business are outlined. The results of the study clearly show that small farms are of great social, economic and environmental importance for rural areas. The lack of a definition of “family farm” in the national legislation hinders the process of integration of small farms in economic terms, which in turn affects the sustainability of rural areas. A preliminary assessment of the impact of the implementation of the Common Agricultural Policy on small farms has been made.


2020 ◽  
Vol 12 (8) ◽  
pp. 3222
Author(s):  
Kehinde Oluseyi Olagunju ◽  
Myles Patton ◽  
Siyi Feng

The production stimulating impact of agricultural subsidies has been a well-debated topic in agricultural policy analysis for some decades. In light of the EU reform of the Common Agricultural Policy (CAP) in year 2005 in which agricultural subsidies were decoupled from current production decisions and the modification to this payment in 2015, this study investigates the impact of decoupled payments under these two reforms on livestock production in Northern Ireland. The study uses a farm-level panel dataset covering 2008–2016 period and employs an instrumental variable fixed effect model to control for relevant sources of endogeneity bias. According to the empirical results, the production impacts of decoupled payments were positive and significant but with differential impacts across livestock production sectors, suggesting that decoupled payments still maintain a significant effect on agricultural production and provide an indication of the supply response to changes in decoupled payments.


2018 ◽  
Vol 7 (10) ◽  
pp. 405 ◽  
Author(s):  
Urška Kanjir ◽  
Nataša Đurić ◽  
Tatjana Veljanovski

The European Common Agricultural Policy (CAP) post-2020 timeframe reform will reshape the agriculture land use control procedures from a selected risk fields-based approach into an all-inclusive one. The reform fosters the use of Sentinel data with the objective of enabling greater transparency and comparability of CAP results in different Member States. In this paper, we investigate the analysis of a time series approach using Sentinel-2 images and the suitability of the BFAST (Breaks for Additive Season and Trend) Monitor method to detect changes that correspond to land use anomaly observations in the assessment of agricultural parcel management activities. We focus on identifying certain signs of ineligible (inconsistent) use in permanent meadows and crop fields in one growing season, and in particular those that can be associated with time-defined greenness (vegetation vigor). Depending on the requirements of the BFAST Monitor method and currently time-limited Sentinel-2 dataset for the reliable anomaly study, we introduce customized procedures to support and verify the BFAST Monitor anomaly detection results using the analysis of NDVI (Normalized Difference Vegetation Index) object-based temporal profiles and time-series standard deviation output, where geographical objects of interest are parcels of particular land use. The validation of land use candidate anomalies in view of land use ineligibilities was performed with the information on declared land annual use and field controls, as obtained in the framework of subsidy granting in Slovenia. The results confirm that the proposed combined approach proves efficient to deal with short time series and yields high accuracy rates in monitoring agricultural parcel greenness. As such it can already be introduced to help the process of agricultural land use control within certain CAP activities in the preparation and adaptation phase.


2020 ◽  
Vol 29 (2) ◽  
pp. 37
Author(s):  
Beata Jeżyńska

<p>The need to keep the expected level of production in agriculture generates a serious burden on the environment. The most important environmental factors exposed to the impact of agriculture include biodiversity and water, air, and soil quality. Assessments of all these environmental aspects related to agricultural production are negative. The condition of the agricultural environment has been subject to rapid deterioration. In such a situation, environmental instruments have drawn particular attention from the European legislature when developing new guidelines of the Common Agricultural Policy to be applicable after 2020.</p>


Rural History ◽  
1990 ◽  
Vol 1 (2) ◽  
pp. 265-280 ◽  
Author(s):  
Brian Burkitt ◽  
Mark Baimbridge

United Kingdom (UK) accession into the European Economic Community (EEC), which became a political likelihood in 1970 and an actuality in 1973, led to a major change in agricultural policy away from a deficiency payments system supporting farmers' incomes towards the Common Agricultural Policy (CAP) method of assistance through farm prices above the market level. Such a basic alteration in government activity not only imposed well-known and thoroughly researched costs on the British economy in the form of higher food prices and an additional burden of protection, it also undermined dominant post-1945 historical trends.Firstly, it reversed a thirty year old process towards greater British self-sufficiency Between 1938 and 1946 UK agricultural production rose in value from 42% to 52% of the country's food imports, while under the deficiency payments scheme, permanently established in peacetime by the 1947 Agriculture Act, the proportion of UK food consumption supplied by domestic producers grew steadily until it reached a level of just under 72% in 1972. EEC membership, involving compulsory adoption of the CAP, initially reversed this movement; British agricultural self-sufficiency fell to 66% in 1977, the year when the Common External Tariff (CET) was first applied in full. The higher import bill that inevitably resulted imposed a severe strain on the UK balance of payments, estimated by the pro-market. Heath government in 1970 at a net annual deterioration in the range of 18% to 26%.


Ekonomika APK ◽  
2021 ◽  
Vol 320 (6) ◽  
pp. 89-100
Author(s):  
Ihor Sabii

The purpose of the article is to assess the impact of existing legislative initiatives in the field of agricultural land turnover on the possibility of achieving the Sustainable Development Goals in Ukraine and the implementation of land management based on an inclusive model of sustainable rural development. Research methods. The following methods were used: dialectical methods of cognition of processes and phenomena; empirical method (based on a comprehensive assessment of the current state of regulation of land relations in agriculture); comparative analysis method; abstract-logical (theoretical generalizations and formulation of conclusions). Research results. Established in the process of analysis of laws and bills on land reform and regulation of market circulation of agricultural land, adopted and registered in the Verkhovna Rada of Ukraine during 2020 - the first half of 2021, their impact on the level of viability and competitiveness of individuals, farmers, family farms, small and medium-sized agricultural enterprises in the new legal and economic conditions. Scientific novelty. The influence of individual legislative initiatives in the field of agricultural land turnover on the possibility of achieving the Sustainable Development Goals in Ukraine and the introduction of land management based on an inclusive model of sustainable rural development has been determined. Practical significance. The calculation of the amount of the minimum tax liability (MTL) for each region of Ukraine, taking into account the normative monetary value of the arable land, was carried out and its impact on the economic situation of small and medium-sized agricultural producers was assessed. Figs.: 6. Refs.: 38.


Agriculture ◽  
2019 ◽  
Vol 9 (12) ◽  
pp. 264 ◽  
Author(s):  
Wojciech Sroka ◽  
Michał Dudek ◽  
Tomasz Wojewodzic ◽  
Karol Król

The increasing importance of large cities (metropolises) poses a range of challenges to the socio-economic functions of the rural and agricultural areas around them. One such challenge is pressure exerted on family-run farms to abandon agricultural activity and on people engaged in such activity to shift to other sectors. This may be a hindrance to successful succession on family farms. The aim of this paper is to present spatial variation in generational changes in farms located around large cities (metropolises) in Poland and to assess the factors affecting the scale of such changes. Special attention was paid to the importance of the location of farms relative to large cities. One innovative feature of the approach presented was to conduct an analysis of generational changes in the agricultural sector at the supra-local level along with an attempt to quantify the impact of large urban centers on that process. The empirical material based on which the conclusions were formulated included official statistics data and information made available by an institution engaged in the implementation of agricultural policy programs financed from European Union (EU) funds, i.e., young farmer payments (Common Agricultural Policy (CAP) pillar I) and measures “Setting up of young farmers” and “Early retirement” (CAP Pillar II). In the executed study, methods of descriptive and multivariate statistics, including regression trees, were used. It was found that socio-economic (exogenous) factors had a significant statistical impact on generational changes in farms. In areas with an attractive labor market and a high level of urbanization, a successful generational shift in farms occurred less often. Nonetheless, generational changes in the agriculture of the analyzed areas were relatively most strongly determined by endogenous factors linked with the economic potential of the farm. Farm characteristics (area of agricultural land and economic size) and the characteristics of managers, including in particular their education, were found to be more important than exogenous factors. In areas where large and economically strong farms dominated and the level of education among farmers was relatively high, generational changes were faster compared to other areas.


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