Evaluation of Agricultural Policy Reforms in the European Union

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This report provides an overview of the main characteristics and structure of the current Common Agricultural Policy (CAP) and its developments in the last 25 years in a changing environment within and outside the EU.

Drawing on material presented at the OECD Workshop on the Disaggregated Impacts of CAP Reform, held on 10-11 March 2010, and model-based scenarios, it analyses the impacts of policy changes on production, trade, land use, farm structure, the environment and some aspects of rural development, using changes in the level and composition of OECD indicators of support, notably the Producer Support Estimate (PSE).

This report further suggests improvements in the market orientation, competitiveness and risk management at all levels of the food chain, and pleads for clarifying the link between policy measures and objectives through better targeting, and strengthening evidence on which to base policies.

English Also available in: French


This study seeks to analyse and evaluate successive reforms of the Common Agricultural Policy (CAP). Chapter 1 presents the scope of policies covered by the study. Chapter 2 gives an overview of the agricultural situation in the European Union. Chapter 3 describes the main characteristics of the CAP in 2010 and illustrates how OECD indicators of support to agricultural producers can be used to monitor policy developments over the last 25 years. Chapter 4 analyses the impact of agricultural policy reforms on the economic and environmental performance of agriculture. Chapter 5 draws conclusions concerning the reforms using the principles and operational characteristics established by OECD Ministers for the evaluation of agricultural reform efforts across OECD countries. It makes some recommendations concerning the continuing search for policy measures that are effective and minimally distorting, while also contributing to the achievement of the objectives set for the sector.

English Also available in: French

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