Common agricultural policy and sustainable management of areas with natural handicaps. The Veneto Region case study
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Common agricultural policy and sustainable management of areas with natural handicaps. The Veneto Region case study Maria Bruna Zolin1 · Andrea Pastore1 · Martina Mazzarolo1 Received: 19 October 2018 / Accepted: 24 November 2019 © Springer Nature B.V. 2019
Abstract Using a case study based in Veneto Region (Italy), the paper assesses whether the common agricultural policy influences the gross sellable product per hectare of utilised agricultural area, as a proxy of land productivity, and whether this effect changes according to different geographical areas (mountain, hill or plain). The regression analysis shows that the gross sellable product per hectare of utilised agricultural area is negatively correlated with the location of the farm in the mountains, confirming the existence of a gap between mountain and plain farms. The sellable product per hectare of utilised agricultural area is, moreover, positively influenced by the financial support of the first pillar for all farm locations with the exception of hill areas. The European payments of the second pillar, on the other hand, are positively correlated only with the gross sellable product per hectare of utilised agricultural area of hill farms. This trend, far from promoting a balanced and sustainable territorial development, is fuelling a dual agriculture with abandonment of agricultural land, together with environmental degradation and loss of biodiversity in areas with natural handicaps. The Farm Accountancy Data Network of 2015 is the source of microdata. Keywords Public policies · Environmental impact · Regional sustainability · Implementation of public policies
1 Introduction Since 2000, two pillars have characterised the common agricultural policy (CAP). The first pillar (price and market policy) is devoted to supporting farmers’ incomes and is focused on environmental sustainability, protection and health and animal welfare. It is oriented
* Maria Bruna Zolin [email protected] Andrea Pastore [email protected] Martina Mazzarolo [email protected] 1
Department of Economics, Ca’ Foscari University Venice, S. Giobbe, 873, 30121 Venice, Italy
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towards achieving food security and safety by providing market measures to balance the impact of external factors (such as bad weather conditions or high price volatility) on vulnerable agricultural markets. The second pillar (rural development policy) meets the specific needs of rural development in each of the EU member states. The Treaty of Rome (European Economic Community 1957), which provided the objectives to be achieved by the CAP over time (and which have never been modified), at first did not take into account territorial, environmental and socio-economic disparities as its goal. It stated that (paragraph 2 of Article 38), “In working out the common agricultural policy and the special methods for its application, account shall be taken of: (a) the particular nature of agricultural activity, which results from the social structure of agriculture and
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