IDEAS home Printed from https://ideas.repec.org/p/wpa/wuwpdc/0511006.html
   My bibliography  Save this paper

National Policies Related To Farming Structures And Sustainability In Bulgaria

Author

Listed:
  • Hrabrin Bachev

    (Institute of Agricultural Economics, Sofia, Bulgaria)

Abstract

This paper presents the dominating farming structure in Bulgaria on the eve of EU accession, and evaluates recent policies for farm and agricultural income support, and assesses likely consequences of CAP implementation on farming structures and sustainability. We demonstrate that a specific farming structure dominates in the country consisting of numerous subsistence and small farms; and few large farms, cooperatives, and agro-firms; and widely used informal, vertically integrated, and mix forms. Public support to farming has been in an increase in recent years but is still far bellow the European level. Besides, only a fraction of farms benefit from some form of public support most of them being large farms, cooperatives, and tobacco producers. Farming is still an important income source for a good part of population. However, there is a significant gap in the monetary income in the large and some smaller- scale (intensive) enterprises, and the great majority of farms. Besides, development programs contribute less to agrarian and rural sustainability, and to decreasing divergence between richer and poor regions of the country. Assessment of likely short-term impact of the CAP implementation in Bulgaria shows that it will increase sustainability of farms bringing net financial benefits, enhancing competitiveness, and improving environmental performance. However, the chief beneficiary from the direct payments and other support measures will be the biggest farms in the most developed regions of the country. CAP programs will also give new possibility for extending activities of existing forms and bring to a life new organizational arrangements. All that will create more employment and income opportunities, and revitalize agrarian and rural economy. On the other hand, some effective smaller-size and family structure and livestock farms will have no or limited access to EU funding. Consequently, income and performance gap between farms of different types, sub-sectors and regions will widened unless special supplementary measures (“coupled” with production and regions) are taken. Besides, CAP will likely support “ineffective” and non-market modes (such as part-time and subsistence farming, production cooperatives), and therefore raise their sustainability and delay further restructuring. Last but not least important, there will be significant difficulties for introducing CAP and EU standards which will require more costs than in other countries, and will be associated with some time lag until “full” implementation, and would not involve less commercialized and subsistent farming.

Suggested Citation

  • Hrabrin Bachev, 2005. "National Policies Related To Farming Structures And Sustainability In Bulgaria," Development and Comp Systems 0511006, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwpdc:0511006
    Note: Type of Document - pdf; pages: 17
    as

    Download full text from publisher

    File URL: https://econwpa.ub.uni-muenchen.de/econ-wp/dev/papers/0511/0511006.pdf
    Download Restriction: no

    Citations

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


    Cited by:

    1. Bachev, Hrabrin, 2008. "Integration of dairy farms in supply chain in bulgaria," MPRA Paper 7785, University Library of Munich, Germany.
    2. Bachev, Hrabrin, 2010. "Competitiveness of Bulgarian farms," MPRA Paper 25626, University Library of Munich, Germany.
    3. Bachev, Hrabrin, 2010. "Eco-governance in Bulgarian Agriculture," MPRA Paper 22958, University Library of Munich, Germany.
    4. Bachev, Hrabrin, 2010. "Study on Agrarian Contracts in Bulgaria," MPRA Paper 22946, University Library of Munich, Germany.
    5. Bachev, Hrabrin, 2012. "Competitiveness of Bulgarian Farms in Conditions of EU CAP Implementation," MPRA Paper 41657, University Library of Munich, Germany.

    More about this item

    Keywords

    farms structures; support to farms; impact on CAP implementation on farm sustainability;

    JEL classification:

    • O - Economic Development, Innovation, Technological Change, and Growth
    • P - Economic Systems

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:wpa:wuwpdc:0511006. 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: (EconWPA) or (Christopher F. Baum). General contact details of provider: https://econwpa.ub.uni-muenchen.de .

    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.

    We have no references for this item. You can help adding them by using 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.