The (In)Stability Of Integration In Agricultural Producer Groups In Poland And Possibilities For Its Mitigation: A Case Study Of The Pig Sector

Since the introduction of financial support under the Common Agricultural Policy in Poland, substantial funds have been allocated to subsidies for agricultural producer groups (APGs). The existing support system creates a considerable risk that many APGs will cease operations once the minimum operational period required to obtain funding has elapsed. Consequently, cooperation within producer groups may prove unstable, and participating farms may fail to realise the full benefits that could be achieved within a properly functioning group. This article formulates two principal research objectives. The first objective was to assess the survival of agricultural producer groups in Poland in relation to their type of activity and group size, based on the register of the Agency for Restructuring and Modernisation of Agriculture. To achieve this objective, Kaplan-Meier survival curves, the Mantel-Cox log-rank test, and the Cox regression model were employed. The second objective was to present the assumptions of an algorithm for settlements between finisher and piglet producers, designed as an example of a mechanism that may support stable cooperation among farmers engaged in pig production. The results indicate that the vast majority of APGs cease operations after 6-7 years, and only around 17% remain active ten years after establishment. Larger APGs, particularly those comprising more than 20 members, demonstrate higher survival rates. Among the main types of groups, those focused on poultry and cattle production exhibited particularly low survival rates. The proposed algorithm may strengthen cooperation among pig producers by significantly reducing income volatility.