Potato starch quota fixed to Poland – a shadow on the success story of the Polish agriculture integration into the CAP regulations?

Jacek Chotkowski and Benon Gazinski

No 57996, 113th Seminar, September 3-6, 2009, Chania, Crete, Greece from European Association of Agricultural Economists

Abstract: Integration of Polish agriculture is recognized as a success. Nevertheless some remarkable difficulties have emerged. Some of them are related to low production quotas in dairy, sugar and starch sectors. Authors of this Poster argue that the level of starch quota inscribed for Poland is incompatible with the principle of fair competition on the inner EU market. The quota ceiling of mere 145 thousand tons is a heavy constraint to the processing plants – their total processing capacities are estimated for some 220-260 thousand tons. Therefore, they are utilized in c. 56- 66 %, leading to the increase of unit costs of starch production of about 9,2 % and decrease of the competitiveness. Another point is the ratio of the quota to the volume of harvests: 0,1121 for Denmark, 0,057 for Germany and (only) 0,0131 for Poland. Furthermore, the domestic consumption of starch products in Poland is two-fold bigger than the quota with resultant increase of importation. Paradoxically, such practices are pronounced in spite of unutilized natural resources of Polish agriculture – high proportion of light soils. The temporary solution is to increase the quota – the long-run one is to rethink the concept of quota system – under the new CAP reform.

Keywords: Agricultural; and; Food; Policy (search for similar items in EconPapers)
Pages: 6
Date: 2009
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Persistent link: https://EconPapers.repec.org/RePEc:ags:eaa113:57996

DOI: 10.22004/ag.econ.57996

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