IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i23p13090-d688414.html
   My bibliography  Save this article

Direct Payments and Sustainable Agricultural Development—The Example of Poland

Author

Listed:
  • Adrian Sadłowski

    (Department of Economics, Institute of Economics and Finance, Faculty of Social and Economic Sciences, Cardinal Stefan Wyszyński University in Warsaw, 01938 Warsaw, Poland)

  • Wioletta Wrzaszcz

    (Department of Agricultural Economy, Agricultural Policy and Rural Development, Institute of Agricultural and Food Economics—National Research Institute, 00002 Warsaw, Poland)

  • Katarzyna Smędzik-Ambroży

    (Department of Macroeconomics and Agricultural Economics, Institute of Economics, Poznań University of Economics and Business, 61875 Poznań, Poland)

  • Anna Matras-Bolibok

    (Department of Microeconomics and Applied Economics, Institute of Economics and Finance, Faculty of Economics, Maria Curie-Sklodowska University, 20031 Lublin, Poland)

  • Anna Budzyńska

    (Department of Microeconomics and Applied Economics, Institute of Economics and Finance, Faculty of Economics, Maria Curie-Sklodowska University, 20031 Lublin, Poland)

  • Marek Angowski

    (Department of Microeconomics and Applied Economics, Institute of Economics and Finance, Faculty of Economics, Maria Curie-Sklodowska University, 20031 Lublin, Poland)

  • Stefan Mann

    (Department Socioeconomics at the Research Station Agroscope, Federal Office of Economics, 8356 Ettenhausen, Switzerland)

Abstract

This paper aims to explore the importance of the direct-payments scheme as a tool for supporting the sustainable development of agriculture in Poland, and to assess the effects of the 2015 Common Agricultural Policy reform in this context. In particular, the study attempts to investigate the impact of different fund-allocation criteria on the regional distribution of direct payments. The research employs a simulation method in the form of variant analysis (the “what if” model)—a mathematical method with elements of statistical description, based on the complete dataset. For the purposes of one of the variants, a multi-criteria composite indicator was constructed, including stimulants and destimulants of the level of environmental sustainability of agricultural plant production. The analysis was conducted at the NUTS 2 level (voivodeships). The timeframe of the study covered the period 2010–2019. The data published by Statistics Poland and the Agency for the Restructuring and Modernisation of Agriculture were used as the source material. The analysis indicated that the 2015 Common Agricultural Policy reform redistributed public funds away from sustainable agricultural management principles. Applying some basic sustainability criteria in order to internalise environmental externalities would lead to a radical redistribution of first-pillar Common Agricultural Policy payments. The paper concludes that a real greening of the European Union’s agricultural policy is a task still to be accomplished.

Suggested Citation

  • Adrian Sadłowski & Wioletta Wrzaszcz & Katarzyna Smędzik-Ambroży & Anna Matras-Bolibok & Anna Budzyńska & Marek Angowski & Stefan Mann, 2021. "Direct Payments and Sustainable Agricultural Development—The Example of Poland," Sustainability, MDPI, vol. 13(23), pages 1-20, November.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:23:p:13090-:d:688414
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/23/13090/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/13/23/13090/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Carmelo Díaz-Poblete & María Carmen García-Cortijo & Juan Sebastián Castillo-Valero, 2021. "Is the Greening Instrument a Valid Precedent for the New Green Architecture of the CAP? The Case of Spain," Sustainability, MDPI, vol. 13(10), pages 1-11, May.
    2. Tiago Teixeira da Silva Siqueira & Danielle Galliano & Geneviève Nguyen & Ferenc Istvan Bánkuti, 2021. "Organizational Forms and Agri-Environmental Practices: The Case of Brazilian Dairy Farms," Sustainability, MDPI, vol. 13(7), pages 1-19, March.
    3. Felix Schläpfer, 2020. "External Costs of Agriculture Derived from Payments for Agri-Environment Measures: Framework and Application to Switzerland," Sustainability, MDPI, vol. 12(15), pages 1-19, July.
    4. Konrad Prandecki & Wioletta Wrzaszcz & Marek Zieliński, 2021. "Environmental and Climate Challenges to Agriculture in Poland in the Context of Objectives Adopted in the European Green Deal Strategy," Sustainability, MDPI, vol. 13(18), pages 1-25, September.
    5. Michał Dudek & Wioletta Wrzaszcz, 2020. "On the Way to Eco-Innovations in Agriculture: Concepts, Implementation and Effects at National and Local Level. The Case of Poland," Sustainability, MDPI, vol. 12(12), pages 1-22, June.
    6. Knapik, Wioletta, 2014. "Wybrane Aspekty Rozwoju Polskich Obszarów Wiejskich na tle Koncepcji Zrównoważonego Rozwoju Oraz Zakorzenionych Rynków," Roczniki (Annals), Polish Association of Agricultural Economists and Agribusiness - Stowarzyszenie Ekonomistow Rolnictwa e Agrobiznesu (SERiA), vol. 2014(5).
    7. Roel Jongeneel & Nico Polman & G. Cornelis van Kooten, 2016. "How Important are Agricultural Externalities? A Framework for Analysis and Application to Dutch Agriculture," Working Papers 2016-04, University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group.
    8. Peter Nedergaard, 2006. "Market Failures and Government Failures: A Theoretical Model of the Common Agricultural Policy," Public Choice, Springer, vol. 127(3), pages 385-405, June.
    9. R. H. Coase, 2013. "The Problem of Social Cost," Journal of Law and Economics, University of Chicago Press, vol. 56(4), pages 837-877.
    10. Jinping Lin & Jun Lei & Zhen Yang & Jiangang Li, 2019. "Differentiation of Rural Development Driven by Natural Environment and Urbanization: A Case Study of Kashgar Region, Northwest China," Sustainability, MDPI, vol. 11(23), pages 1-21, December.
    11. Tegtmeier, Erin M & Duffy, Michael, 2004. "External Costs of Agricultural Production in the United States," Staff General Research Papers Archive 12659, Iowa State University, Department of Economics.
    12. Wąs, Adam & Malak-Rawlikowska, Agata & Zavalloni, Matteo & Viaggi, Davide & Kobus, Paweł & Sulewski, Piotr, 2021. "In search of factors determining the participation of farmers in agri-environmental schemes – Does only money matter in Poland?," Land Use Policy, Elsevier, vol. 101(C).
    13. Pretty, J. N. & Brett, C. & Gee, D. & Hine, R. E. & Mason, C. F. & Morison, J. I. L. & Raven, H. & Rayment, M. D. & van der Bijl, G., 2000. "An assessment of the total external costs of UK agriculture," Agricultural Systems, Elsevier, vol. 65(2), pages 113-136, August.
    14. Kamel Louhichi & Pavel Ciaian & Maria Espinosa & Angel Perni & Sergio Gomez y Paloma, 2018. "Economic impacts of CAP greening: application of an EU-wide individual farm model for CAP analysis (IFM-CAP)," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 45(2), pages 205-238.
    15. Pirard, Romain & Lapeyre, Renaud, 2014. "Classifying market-based instruments for ecosystem services: A guide to the literature jungle," Ecosystem Services, Elsevier, vol. 9(C), pages 106-114.
    16. Artiom Volkov & Tomas Balezentis & Mangirdas Morkunas & Dalia Streimikiene, 2019. "Who Benefits from CAP? The Way the Direct Payments System Impacts Socioeconomic Sustainability of Small Farms," Sustainability, MDPI, vol. 11(7), pages 1-17, April.
    17. Judith Janker & Stefan Mann & Stephan Rist, 2018. "What is Sustainable Agriculture? Critical Analysis of the International Political Discourse," Sustainability, MDPI, vol. 10(12), pages 1-19, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Aneta Zakrzewska & Anna Nowak, 2022. "Diversification of Agricultural Output Intensity across the European Union in Light of the Assumptions of Sustainable Development," Agriculture, MDPI, vol. 12(9), pages 1-17, September.
    2. Beata Kalinowska & Piotr Bórawski & Aneta Bełdycka-Bórawska & Bogdan Klepacki & Aleksandra Perkowska & Tomasz Rokicki, 2022. "Sustainable Development of Agriculture in Member States of the European Union," Sustainability, MDPI, vol. 14(7), pages 1-21, March.
    3. Ramona Pîrvu & Laurențiu Dragomir & Bogdan Budică & Răducu-Ștefan Bratu & Sorin Dinulescu & Lili Țenea, 2022. "The Impact of RDP Measures on the Rural Development: The Case of Romania," Sustainability, MDPI, vol. 14(8), pages 1-27, April.
    4. Yannis E. Doukas & Luca Salvati & Ioannis Vardopoulos, 2023. "Unraveling the European Agricultural Policy Sustainable Development Trajectory," Land, MDPI, vol. 12(9), pages 1-24, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. David Blandford, 2010. "Presidential Address: The Visible or Invisible Hand? The Balance Between Markets and Regulation in Agricultural Policy," Journal of Agricultural Economics, Wiley Blackwell, vol. 61(3), pages 459-479, September.
    2. Lukas Folkens & Volker Wiedemer & Petra Schneider, 2020. "Monetary Valuation and Internalization of Externalities in German Agriculture Using the Example of Nitrate Pollution: A Case-Study," Sustainability, MDPI, vol. 12(16), pages 1-19, August.
    3. Felix Schläpfer, 2020. "External Costs of Agriculture Derived from Payments for Agri-Environment Measures: Framework and Application to Switzerland," Sustainability, MDPI, vol. 12(15), pages 1-19, July.
    4. Hausknost, Daniel & Grima, Nelson & Singh, Simron Jit, 2017. "The political dimensions of Payments for Ecosystem Services (PES): Cascade or stairway?," Ecological Economics, Elsevier, vol. 131(C), pages 109-118.
    5. Jongeneel, Roel & Polman, Nico & van der Ham, Corinda, 2014. "Costs and benefits associated with the externalities generated by Dutch agriculture," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182705, European Association of Agricultural Economists.
    6. Thomas Vendryes, 2014. "Peasants Against Private Property Rights: A Review Of The Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 28(5), pages 971-995, December.
    7. Tait, Peter R. & Cullen, Ross, 2006. "Some External Costs of Dairy Farming in Canterbury," 2006 Conference (50th), February 8-10, 2006, Sydney, Australia 109595, Australian Agricultural and Resource Economics Society.
    8. Matthias Schlipf & Bastian Striegl & Tobias Gaugler, 2024. "Climate true‐cost analysis of industrial goods and its regulatory implications on value chains and global competition," Journal of Industrial Ecology, Yale University, vol. 28(3), pages 589-602, June.
    9. Leah Grout & Simon Hales & Nigel French & Michael G. Baker, 2018. "A Review of Methods for Assessing the Environmental Health Impacts of an Agricultural System," IJERPH, MDPI, vol. 15(7), pages 1-27, June.
    10. Noble, Andrew D. & Bossio, Deborah A. & Pretty, J. & Penning de Vries, F., 2008. "Bright spots: pathways to ensuring food security and environmental integrity," Book Chapters,, International Water Management Institute.
    11. Van Passel, Steven & Nevens, Frank & Mathijs, Erik & Van Huylenbroeck, Guido, 2007. "Measuring farm sustainability and explaining differences in sustainable efficiency," Ecological Economics, Elsevier, vol. 62(1), pages 149-161, April.
    12. Paolo Cupo & Rinalda Alberta Di Cerbo, 2016. "The determinants of ranking in sustainable efficiency of Italian farms," RIVISTA DI STUDI SULLA SOSTENIBILITA', FrancoAngeli Editore, vol. 2016(2), pages 141-159.
    13. Rains, G.C. & Olson, D.M. & Lewis, W.J., 2011. "Redirecting technology to support sustainable farm management practices," Agricultural Systems, Elsevier, vol. 104(4), pages 365-370, April.
    14. Baba, S.H. & Wani, S.A., 2018. "Ecosystem Management Approach for Agricultural Growth in Mountains: Farmers Perception of Ecosystem Services and Dis-Services in Kashmir-India," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277556, International Association of Agricultural Economists.
    15. Daniel Gaitán-Cremaschi & Frits K. Van Evert & Don M. Jansen & Miranda P. M. Meuwissen & Alfons G. J. M. Oude Lansink, 2018. "Assessing the Sustainability Performance of Coffee Farms in Vietnam: A Social Profit Inefficiency Approach," Sustainability, MDPI, vol. 10(11), pages 1-23, November.
    16. Elena Tamburini & Paola Pedrini & Maria Gabriella Marchetti & Elisa Anna Fano & Giuseppe Castaldelli, 2015. "Life Cycle Based Evaluation of Environmental and Economic Impacts of Agricultural Productions in the Mediterranean Area," Sustainability, MDPI, vol. 7(3), pages 1-21, March.
    17. Chechelski, Piotr & Grochowska, Renata & Łopaciuk, Wiesław & Ślązak, Emil & Wasilewski, Adam & Wigier, Marek, 2012. "Development est public policy support in the food economy – the example of Poland," Multiannual Program Reports 164845, Institute of Agricultural and Food Economics - National Research Institute (IAFE-NRI).
    18. Frame, Bob & Cavanagh, Jo, 2009. "Experiences of sustainability assessment: An awkward adolescence," Accounting forum, Elsevier, vol. 33(3), pages 195-208.
    19. Patrizia Schwegler, 2015. "Economic valuation of environmental costs of soil erosion and the loss of biodiversity and ecosystem services caused by food wastage," Journal of Socio-Economics in Agriculture (Until 2015: Yearbook of Socioeconomics in Agriculture), Swiss Society for Agricultural Economics and Rural Sociology, vol. 8(2).
    20. Patrick Bigger, 2018. "Hybridity, possibility: Degrees of marketization in tradeable permit systems," Environment and Planning A, , vol. 50(3), pages 512-530, May.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:23:p:13090-:d:688414. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.