IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v17y2025i18p8202-d1747475.html

Differences in Outcomes of the “Modernisation of Agricultural Holdings” Measure Across Polish Regions

Author

Listed:
  • Patrycja Hanna Beba

    (Department of Economics and Economic Policy in Agribusiness, Faculty of Economics, Poznan University of Life Sciences, 60-637 Poznan, Poland)

  • Ewa Kiryluk-Dryjska

    (Department of Economics and Economic Policy in Agribusiness, Faculty of Economics, Poznan University of Life Sciences, 60-637 Poznan, Poland)

Abstract

Since the Polish accession to the EU, a substantial amount of financial support has been allocated to the agricultural sector, thereby underscoring the necessity for a comprehensive evaluation of the efficacy and ramifications of the implemented agricultural policy. One such instrument was the “Modernisation of agricultural holdings” which was implemented under the 2007–2013 Rural Development Program (RDP) and continued, in a slightly modified form, in subsequent programs. The primary objective of this paper was to assess whether the implementation of the “Modernisation of agricultural holdings” has contributed to the improvement of agricultural development indicators in areas with a high number of modernization projects implemented, compared to areas with similar farming conditions but with low interest among farmers in this measure. Additionally, the analysis sought to determine whether the initial level of agricultural development was a determining factor in any observed differences in the improvement of these indicators. We compared the indicators of agricultural development calculated over two periods: 2010 and 2020 in Polish regions with similar farming conditions and similar characteristics (climatic conditions, farm size, crop structure, production direction, etc.), but different in their activity in applying for investment funds from the Modernization measure. The results demonstrate that in regions where agricultural conditions are more favorable, agricultural potential is higher, and agricultural structures are more developed, the impact of Modernization funds is negligible. Farms invariably evolve in a similar manner, irrespective of whether they have sought external support. The role of support for investment financing is significantly more pronounced in areas characterized by substantial agricultural fragmentation and predominance of small farms. In the regions of Poland where agricultural output was below the national average, the disparities in agricultural development between municipalities that received substantial Modernization funds and those that received less support were more highlighted. Thus, our findings reveal that to encourage investment in agricultural holdings, the funds should be allocated to regions with lower production potential and more fragmented agriculture, where the impact of the support is more evident.

Suggested Citation

  • Patrycja Hanna Beba & Ewa Kiryluk-Dryjska, 2025. "Differences in Outcomes of the “Modernisation of Agricultural Holdings” Measure Across Polish Regions," Sustainability, MDPI, vol. 17(18), pages 1-20, September.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:18:p:8202-:d:1747475
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/17/18/8202/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/17/18/8202/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Krzysztof Piotr Pawłowski & Wawrzyniec Czubak & Jagoda Zmyślona & Arkadiusz Sadowski, 2021. "Overinvestment in selected Central and Eastern European countries: Production and economic effects," PLOS ONE, Public Library of Science, vol. 16(5), pages 1-23, May.
    2. Jerzy Michalek & Pavel Ciaian & D'Artis Kancs, 2016. "Investment Crowding Out: Firm-Level Evidence from Northern Germany," Regional Studies, Taylor & Francis Journals, vol. 50(9), pages 1579-1594, September.
    3. Paolo Sckokai & Daniele Moro, 2009. "Modelling the impact of the CAP Single Farm Payment on farm investment and output," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 36(3), pages 395-423, September.
    4. Christina Moulogianni & Thomas Bournaris, 2021. "Assessing the Impacts of Rural Development Plan Measures on the Sustainability of Agricultural Holdings Using a PMP Model," Land, MDPI, vol. 10(5), pages 1-13, April.
    5. Ewa Kiryluk-Dryjska & Paulina Wawrzynowicz, 2024. "Local Development and LEADER Funding in Poland: Insights from the Wielkopolska Region," Agriculture, MDPI, vol. 14(10), pages 1-20, October.
    6. Dmytro Serebrennikov & Fiona Thorne & Zein Kallas & Sinéad N. McCarthy, 2020. "Factors Influencing Adoption of Sustainable Farming Practices in Europe: A Systemic Review of Empirical Literature," Sustainability, MDPI, vol. 12(22), pages 1-23, November.
    7. Czubak, Wawrzyniec & Pawłowski, Krzysztof Piotr & Sadowski, Arkadiusz, 2021. "Outcomes of farm investment in Central and Eastern Europe: The role of financial public support and investment scale," Land Use Policy, Elsevier, vol. 108(C).
    Full references (including those not matched with items on IDEAS)

    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. Wawrzyniec Czubak & Krzysztof Piotr Pawłowski, 2024. "The Impact of Agricultural Investments on the Economic Efficiency of Production Factors: An Empirical Study of the Wielkopolska Voivodeship," Agriculture, MDPI, vol. 14(12), pages 1-16, December.
    2. Pavel Ciaian & Edoardo Baldoni & d'Artis Kancs & Dušan Drabik, 2021. "The Capitalization of Agricultural Subsidies into Land Prices," Annual Review of Resource Economics, Annual Reviews, vol. 13(1), pages 17-38, October.
    3. Aneta Bełdycka-Bórawska & Piotr Bórawski & Lisa Holden & Tomasz Rokicki & Bogdan Klepacki, 2022. "Factors Shaping Performance of Polish Biodiesel Producers Participating in the Farm Accountancy Data Network in the Context of the Common Agricultural Policy of the European Union," Energies, MDPI, vol. 15(19), pages 1-25, October.
    4. Stjepan Srhoj & Vanja Vitezić & Janette Walde, 2022. "Do small public grants boost tourism firms’ performance?," Tourism Economics, , vol. 28(6), pages 1435-1452, September.
    5. Jerzy Michalek & Pavel Ciaian & Federica Di Marcantonio, 2020. "Regional impacts of the EU Rural Development Programme: Poland’s food processing sector," Regional Studies, Taylor & Francis Journals, vol. 54(10), pages 1389-1401, October.
    6. Mittenzwei, Klaus & Britz, Wolfgang & Wieck, Christine, 2012. "Studying the effects of domestic support provisions on global agricultural trade: WTO and OECD policy indicators in the CAPRI model," Conference papers 332212, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Michalek Jerzy & Ciaian Pavel, 2025. "EU rural development support and young farmers’ economic performance: A comparative study of Poland and Germany," JRC Research Reports JRC143803, Joint Research Centre.
    8. Whelan, Adele & McGuinness, Seamus & Barrett, Alan, 2021. "Review of International Approaches to Evaluating Rural and Community Development Investment and Supports," Research Series, Economic and Social Research Institute (ESRI), number RS124.
    9. Mohamed Ghali & Maha Ben Jaballah & Nejla Ben Arfa & Annie Sigwalt, 2022. "Analysis of factors that influence adoption of agroecological practices in viticulture," Review of Agricultural, Food and Environmental Studies, Springer, vol. 103(3), pages 179-209, September.
    10. Luca Di Corato & Dimitrios Zormpas, 2026. "Investing in farming under uncertainty and redistributive support," Discussion Paper Series 2026_06, Department of Economics, University of Macedonia, revised Jun 2026.
    11. Syed Shurid Khan & Shawn Arita & Richard Howitt & PingSun Leung, 2022. "Evaluating change in property tax regime on noncommercial food production using a modified positive mathematical programming model," SN Business & Economics, Springer, vol. 2(9), pages 1-20, September.
    12. Liu, Xuan & Duan, Jun & van Kooten, G. Cornelis, 2015. "An Evaluation of the Effects of Changes in the AgriStability Program on Producers’ Crop Activities: A Farm Modeling Approach," Working Papers 201654, University of Victoria, Resource Economics and Policy.
    13. Urban, Kirsten & Jensen, Hans G. & Brockmeier, Martina, 2016. "How decoupled is the Single Farm Payment and does it matter for international trade?," Food Policy, Elsevier, vol. 59(C), pages 126-138.
    14. Olga Ivanova & d'Artis Kancs & Dirk Stelder, 2009. "Modelling Inter-Regional Trade Flows: Data and Methodological Issues in Rhomolo," EERI Research Paper Series EERI RP 2009/31, Economics and Econometrics Research Institute (EERI), Brussels.
    15. Moro, D. & Guastella, G. & Sckokai, P. & Veneziani, M., 2013. "The Capitalization of Area Payment into Land Rental Prices: Micro-evidence from Italy," 2013 Second Congress, June 6-7, 2013, Parma, Italy 149746, Italian Association of Agricultural and Applied Economics (AIEAA).
    16. Jagoda Zmyślona & Arkadiusz Sadowski & Natalia Genstwa, 2023. "Plant Protection and Fertilizer Use Efficiency in Farms in a Context of Overinvestment: A Case Study from Poland," Agriculture, MDPI, vol. 13(8), pages 1-16, August.
    17. Fabienne Femenia & Alain Carpentier & Obafemi Philippe Koutchade, 2018. "Dealing with corner solutions in multi-crop micro-econometric models: an endogenous regime approach with regime fixed costs," Post-Print hal-01879042, HAL.
    18. O’Toole, Conor & Hennessy, Thia, 2015. "Do decoupled payments affect investment financing constraints? Evidence from Irish agriculture," Food Policy, Elsevier, vol. 56(C), pages 67-75.
    19. Ratinger, T. & Medonos, Tomas & Hruška, M., . "An Assessment of the Differentiated Effects of the Investment Support to Agricultural Modernisation: the Case of the Czech Republic," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 5(4), pages 1-12.
    20. Feil, Jan-Henning & Mußhoff, Oliver & Roeren-Wiemers, Tobias, 2013. "Einzelbetriebliche Auswirkungen politischer Strukturreformen in der Landwirtschaft: Erste empirische Erkenntnisse," Structural Change in Agriculture/Strukturwandel im Agrarsektor (SiAg) Working Papers 158268, Humboldt University Berlin, Department of Agricultural Economics.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    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:17:y:2025:i:18:p:8202-:d:1747475. 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.