RESEARCH PAPER
PROBLEMS WITH OBJECTIFICATION OF CRITERIA OF DIRECT PAYMENTS DISTRIBUTION IN THE EU
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Instytut Ekonomiki Rolnictwa i Gospodarki Żywnościowej – PIB Warszawa
Acceptance date: 2013-06-18
Publication date: 2013-06-18
Zagadnienia Ekonomiki Rolnej / Problems of Agricultural Economics 2013;335(2):3-21
ABSTRACT
On the basis of the existing knowledge and statistics from Eurostat and FADN the article confirms the thesis that the diversity of farming conditions in the EU is an objective fact, and thus unequal rates of direct payments are the consequence thereof. This allows to consider such a system as a fair one, which does not undermine equal competition in the Community’s agriculture. Moreover, the paper presents different proposals of awarding direct payments based on objective criteria stressing, at the same time, that it is a very difficult task since at some point the criteria have to be weighted considering social and political terms. It was also considered to determine the rates of direct payments per a person fully employed in agriculture instead of per 1 ha. However, such a change would not improve the income situation of countries, where employment in agriculture is high in absolute and relative terms. This group includes e.g. Poland.