ANALYSIS OF THE EFFECTS IN ITALY OF ALTERNATIVE HYPOTHESES OF REGIONALIZATION OF THE SINGLE PAYMENT SCHEME

The Fischler reform of the CAP deepened the decoupling process of agricultural support started with the 1992 reform, introducing the Single Payment Scheme (SPS). Two models could be used to apply the SPS: in the historic model payments are based on individual reference amounts; in the regional model payments are based on regional reference amounts. Italy chose to apply the historic model, thus “freezing” the distribution of support to farms at the historic reference level. The recent Proposal on the Health Check of the CAP envisaged Member States being allowed to adjust their model towards a flatter rate of the SPS from 2010, a move that could become compulsory for Member States after 2013. The paper analyses the effects at territorial and farm level of the application of a flat rate payment in Italy as a replacement for the current payment based on the historic farm reference. The analysis makes it possible to assess and quantify the redistribution effects of alternative hypotheses of “regionalization”, highlighting how these effects, at farm and territorial level, are heavily dependent on the land use on the basis of which support was calculated in the reference period, by the criterion utilized to define “region”, as well as the percentage of regionalization chosen. The originality and significance of the work lies in the fact that, to the best of our knowledge, no similar works at farm level are currently available for Italy. The aim of the territorial analysis is to identify the amount of resources to be redistributed across different areas of Italy according to the definition of “region” adopted (administrative Regions, territorial ”macro-regions”, Italy as a whole) and the percentage of regionalization adopted (10%, 50%, 100%). The farm analysis is based on the 2006 Italian sample of FADN (Farm Accountancy Data Network) that contains, roughly, 14,000 farms. For each hypothesis the analysis has considered: the distribution of farms by class of the difference between payments (historic and simulated), to highlight the redistribution of support to farms in the “region” considered; the percentage of farms that gain/lose in excess of a certain amount of support; finally, the redistribution effects are also evaluated in terms of crop land uses. The analysis highlights the fact that the larger the “region” the greater are the redistribution effects. Moreover, as expected, these redistribution effects are more pronounced the wider the diversification of crop land uses, and, therefore, the support received in the historic reference period.CAP, decoupling, FADN, regionalization, Single Payment Scheme, Agricultural and Food Policy, Q18,

The effects of decoupling on Italian COP sector: an ex-post evaluation

One of the main objectives of the 2003 CAP reform was that to enhance farm competitiveness and make farmers able to catch market signals and adjust their production level and specialization accordingly. The aim of the paper is to evaluate the effects of decoupling in Italy COP sector comparing the estimated results of some structural and economic indicators of a sample of farms before and after the 2003 reform using data from the Italian Institute of Statistics and of the Italian Farm Accountancy Data Network (FADN). The analysis shows an improvement of income in farms that kept COP production specialization through the years under study. At the same time, farms that opted for a different specialisation in the post reform period improved their economic performance. All this suggests that coupled support had become a constraint rather than an opportunity and that the 2003 reform, decoupling farm support from production, has contributed to a more efficient and market-oriented COP sector in Italy.CAP, decoupling, Italian FADN, COP sector, Agricultural and Food Policy, Q18,

ANALYSIS OF THE EFFECTS IN ITALY OF ALTERNATIVE HYPOTHESES OF REGIONALIZATION OF THE SINGLE PAYMENT SCHEME

The Fischler reform of the CAP deepened the decoupling process of agricultural support started with the 1992 reform, introducing the Single Payment Scheme (SPS). Two models could be used to apply the SPS: in the historic model payments are based on individual reference amounts; in the regional model payments are based on regional reference amounts. Italy chose to apply the historic model, thus “freezing” the distribution of support to farms at the historic reference level. The recent Proposal on the Health Check of the CAP envisaged Member States being allowed to adjust their model towards a flatter rate of the SPS from 2010, a move that could become compulsory for Member States after 2013. The paper analyses the effects at territorial and farm level of the application of a flat rate payment in Italy as a replacement for the current payment based on the historic farm reference. The analysis makes it possible to assess and quantify the redistribution effects of alternative hypotheses of “regionalization”, highlighting how these effects, at farm and territorial level, are heavily dependent on the land use on the basis of which support was calculated in the reference period, by the criterion utilized to define “region”, as well as the percentage of regionalization chosen. The originality and significance of the work lies in the fact that, to the best of our knowledge, no similar works at farm level are currently available for Italy. The aim of the territorial analysis is to identify the amount of resources to be redistributed across different areas of Italy according to the definition of “region” adopted (administrative Regions, territorial ”macro-regions”, Italy as a whole) and the percentage of regionalization adopted (10%, 50%, 100%). The farm analysis is based on the 2006 Italian sample of FADN (Farm Accountancy Data Network) that contains, roughly, 14,000 farms. For each hypothesis the analysis has considered: the distribution of farms by class of the difference between payments (historic and simulated), to highlight the redistribution of support to farms in the “region” considered; the percentage of farms that gain/lose in excess of a certain amount of support; finally, the redistribution effects are also evaluated in terms of crop land uses. The analysis highlights the fact that the larger the “region” the greater are the redistribution effects. Moreover, as expected, these redistribution effects are more pronounced the wider the diversification of crop land uses, and, therefore, the support received in the historic reference period

Un'analisi dell'evoluzione e degli effetti delle politiche comunitarie nel settore dei grassi vegetali

Dottorato di ricerca in politica agraria. 9. cicloConsiglio Nazionale delle Ricerche - Biblioteca Centrale - P.le Aldo Moro, 7, Rome; Biblioteca Nazionale Centrale - P.za Cavalleggeri, 1, Florence / CNR - Consiglio Nazionale delle RichercheSIGLEITItal

The Global Market for Olive Oil: Actors, Trends, Policies, Prospects and Research Needs.

Olive oil is possibly the single globally consumed and traded product most closely linked to the Mediterranean; non-Mediterranean countries account for less than 2.5 per cent of world production. The paper addresses recent trends in the olive oil world market and the current structure of trade. With respect to existing analyses, its value added is in the level of detail at which the analysis of current trade is conducted, in particular by considering bilateral olive oil trade flows disaggregated with respect to its quality. The main conclusion reached is that the key factors for the future of the market are developments in demands and in the imperfectly competitive structure of the industry, while supply factors and expected changes in trade policies, although relevant, are likely to play a less important role

The Global Market for Olive Oil: Actors, Trends, Prospects and Research Needs

Olive oil is possibly the single globally consumed and traded product most closely linked to the Mediterranean; non-Mediterranean countries account for less than 2.5 per cent of world production. The paper addresses recent trends in the olive oil world market and the current structure of trade. With respect to existing analyses, its value added is in the level of detail at which the analysis of current trade is conducted, in particular by considering bilateral olive oil trade flows disaggregated with respect to its quality. The main conclusion reached is that the key factors for the future of the market are developments in demands and in the imperfectly competitive structure of the industry, while supply factors and expected changes in trade policies, although relevant, are likely to play a less important role

The Global Market for Olive Oil: Actors, Trends, Policies, Prospects and Research Needs.

Olive oil is possibly the single globally consumed and traded product most closely linked to the Mediterranean; non-Mediterranean countries account for less than 2.5 per cent of world production. The paper addresses recent trends in the olive oil world market and the current structure of trade. With respect to existing analyses, its value added is in the level of detail at which the analysis of current trade is conducted, in particular by considering bilateral olive oil trade flows disaggregated with respect to its quality. The main conclusion reached is that the key factors for the future of the market are developments in demands and in the imperfectly competitive structure of the industry, while supply factors and expected changes in trade policies, although relevant, are likely to play a less important role.Crop Production/Industries, International Relations/Trade,

Is the one of the “active farmer” a false problem?

The “active farmer” issue has gained attention in the last CAP reforms with the increasing attention to the decoupling of the support. The 2014-2020 CAP reform has ignited the debate among stakeholders on “who” is actually entitled to receive direct payments. The analysis carried out highlights the heterogeneity in the national implementation of the rules on “active farmer” and the importance of the national legislation of some Member States in limiting the access to direct payments, regardless of EU rules. The article points out how the complexity of the rules on “active farmer” arises from the unresolved question on the nature of direct payments. The new rules do not satisfy neither who wants to grant direct payments only to “genuine” farmers nor who wants to grant support to those who, in the spirit of the new approach of direct payments, manages the agricultural land, regardless of the main activity carried out

Is the one of the “active farmer” a false problem?

The “active farmer” issue has gained attention in the last CAP reforms with the increasing attention to the decoupling of the support. The 2014-2020 CAP reform has ignited the debate among stakeholders on “who” is actually entitled to receive direct payments. The analysis carried out highlights the heterogeneity in the national implementation of the rules on “active farmer” and the importance of the national legislation of some Member States in limiting the access to direct payments, regardless of EU rules. The article points out how the complexity of the rules on “active farmer” arises from the unresolved question on the nature of direct payments. The new rules do not satisfy neither who wants to grant direct payments only to “genuine” farmers nor who wants to grant support to those who, in the spirit of the new approach of direct payments, manages the agricultural land, regardless of the main activity carried out

Emerging specific issues in mutual recognition of trade standards

International audienc