Advanced Search
MyIDEAS: Login to save this paper or follow this series

The Economic Impact of allowing Partial Decoupling under the 2003 Common Agricultural Policy reforms on Scottish agriculture

Contents:

Author Info

  • Renwick, Alan W.
  • Jansson, Torbjorn
  • Thomson, Steven
  • Revoredo-Giha, Cesar
  • Barnes, Andrew P.

Abstract

The agreement to decouple EU direct farm payments from production and introduce the Single Payment Scheme (SPS) was formally made by the Council of Agricultural Ministers in June 2003. Due to concerns raised, the SPS provided Member States the scope to retain some coupled support and this option was taken up by some Member States but not others. Within the UK, Scotland was the only country to take advantage of Article 69 and pay a coupled payment for beef calves (under the Scottish Beef Calf Scheme). This paper, through using conceptual and empirical analyses, assesses whether and to what extent partial decoupling affected the single market and the effect that it had on the EU, member states and Scotland. The results of a modelling exercise (using the CAPRI model) highlight that production in coupled countries is higher than would be the case if they had decoupled, and this has subsequent impacts on other EU Member States through price and trade effects. This is particularly the case in the beef sector. Scottish producers would have been an estimated £31.6m pounds better off if all EU countries had fully decoupled under the reforms. This highlights that Scottish Agriculture was disadvantaged by the decision made in 2003 to allow partial coupling of payments. In addition, even though it would have led to the removal of the Scottish Beef Calf Scheme, beef producers would have been better off if full decoupling had been implemented and Article 69 measures not allowed.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://purl.umn.edu/131461
Download Restriction: no

Bibliographic Info

Paper provided by Scottish Agricultural College, Land Economy Research Group in its series Working Papers with number 131461.

as in new window
Length:
Date of creation: 2011
Date of revision:
Handle: RePEc:ags:saclwp:131461

Contact details of provider:
Postal: King's Buildings, West Mains Road, Edinburgh EH9 3JG
Web page: http://www.sac.ac.uk/research/lee/
More information through EDIRC

Related research

Keywords: Agricultural and Food Policy; Land Economics/Use;

Other versions of this item:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Paolo Sckokai & Daniele Moro, 2006. "Modeling the Reforms of the Common Agricultural Policy for Arable Crops under Uncertainty," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(1), pages 43-56.
  2. Barry K. Goodwin & Ashok K. Mishra, 2005. "Another Look at Decoupling: Additional Evidence on the Production Effects of Direct Payments," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(5), pages 1200-1210.
  3. Barry K. Goodwin & Ashok K. Mishra, 2006. "Are “Decoupled” Farm Program Payments Really Decoupled? An Empirical Evaluation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(1), pages 73-89.
  4. Bhaskar, Arathi & Beghin, John C., 2009. "How Coupled Are Decoupled Farm Payments? A Review of the Evidence," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 34(1), April.
  5. Serra, Teresa & Zilberman, David & Goodwin, Barry K. & Featherstone, Allen M., 2005. "Decoupling farm policies: how does this affect production?," 2005 Annual meeting, July 24-27, Providence, RI 19194, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  6. Halmai, Peter & Elekes, Andrea & Velikovszky, Laszlo, 2006. "How Decoupled Is the European Union's Single Farm Payment?," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25339, International Association of Agricultural Economists.
  7. Thia Hennessy & Fiona Thorne, 2005. "How Decoupled Are Decoupled Payments? The Evidence from Ireland," Working Papers 0501, Rural Economy and Development Programme,Teagasc.
  8. Renwick, Alan W. & Revoredo-Giha, Cesar, 2008. "Measuring Cross-Subsidisation Of The Single Payment Scheme In England," 109th Seminar, November 20-21, 2008, Viterbo, Italy 44783, European Association of Agricultural Economists.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:ags:saclwp:131461. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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