Reorientation of direct support to agriculture

La réorientation des soutiens directs à l’agriculture

Vincent Chatellier and Herve Guyomard ()
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Herve Guyomard: CODIR - Collège de Direction - INRA - Institut National de la Recherche Agronomique

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Abstract: In the framework of the discussions conducted on the future of the Common Agricultural Policy (CAP), the question of the allocation of direct payments to farms occupies an important place: member states must agree, in a delicate economic context, on the future EU budget (2014-2020) ; the increased volatility of agricultural products prices undermines the legitimacy of a support system based mainly on decoupled payments (thus independent of prices received by farmers); the Community authorities want to redirect, through new regulations (October 2011), a part of direct aids in the direction of better compensation of environmental functions of agriculture. In this context, this article discusses three points: the analysis of the redistributive effects of measures taken under the Health Check of the CAP (2008); the economic sensitivity of French farms to several hypotheses of direct aid redistribution; the strengths and limitations of decoupled payments.

Keywords: common agricultural policy; decoupling; farm; direct subsidies; income (search for similar items in EconPapers)
Date: 2012
Note: View the original document on HAL open archive server: https://hal.inrae.fr/hal-02642012v1
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Published in INRA sciences sociales, 2012, 4-5 / 2011, pp.1-3

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-02642012

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