Impact of EU CAP on Agricultural Farms in Bulgaria

H. Bachev

Abstract: This paper presents the results of a survey with farm managers on impacts from implementation of EU CAP on agricultural farms of different juridical types (physical persons, cooperatives, sole traders, companies), sizes (small, middle size, large), specialization (field crops, vegetables, permanent crops, mix crop-livestock, mix crops, mix livestock, grazing livestock, pigs, poultry and rabbits), and geographical location (plan, mountainous, plan-mountainous, with natural handicaps in mountain areas, with natural handicaps other than mountain areas, protected zones and territories). First, an assessment is made on the overall impacts of different instruments of EU CAP (common markets, market intervention, new standards, direct payments, support through the measures of National Plan for Agrarian and Rural Development, export subsidies etc.) on economic results and income, production and governance efficiency, competitiveness, social, economic and environmental sustainability of farms. Next, assessment is made on specific impacts of individual instruments of CAP (such as area based direct payments and national top-ups, different measures of NPARD) on economic results and income, production and governance efficiency, competitiveness, and sustainability of farms. Thirds, factors for improvement of CAP impact on farms in the country are identified. Finally, overall conclusions and recommendations based on the experts and farms managers’ assessments are prepared concerning multiple impacts of CAP on farms of different type, dynamics of farms comparing to the pre-accession period, directions for improvement of public policies, and methods for evaluation of CAP impacts.

Keywords: agrarian policies; Bulgaria; CAP; competitiveness; economic results; efficiency; factors of CAP; income; sustainability of farms

Date published: 2018-03-30