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CABI Book Chapter

Central and Eastern European agriculture in an expanding European Union.

Book cover for Central and Eastern European agriculture in an expanding European Union.

Description

This book reports on results achieved in a research project that dealt with agriculture and the food industry in Central and Eastern European Countries (CEEC). It examines the current economic conditions and the changes that are taking place and yet must occur, in the process of preparing for accession to the European Union. The project was structured in six tasks, ranging from methods to analyse ...

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Chapter 4 (Page no: 89)

Transfers and distortions along CEEC food supply chains.

An overview is presented of the nature of transfers along, and levels of distortion within, five key agrofood chains in the following 6 Central and Eastern European Countries: Bulgaria, Czech Republic, Hungary, Poland, Romania and Slovenia. Four key issues are discussed: whether it is possible to compare margins and transfers along agrofood supply chains at an international level; the problems that emerge in making cross national perspectives; who the main beneficiaries are of transfers along supply chains and how this varies between countries; the size and cause of these distortions; and what methods may be employed to understand and evaluate the causes of these distortions. The approach adopted is applied to five supply chains: grain/flour; bread; pork; beef; chicken and milk and is based on calculating producer subsidy equivalents for each stage of the agrofood chain (farm level, first stage processors, second stage processors, retailers and final consumers). It is concluded that for the period 1994-96, farmers in Bulgaria and the Czech Republic were taxed while in Romania and Slovenia farmers were effectively protected. In Bulgaria and the Czech Republic the main beneficiaries have been processors and retailers, rather than final consumers. In Poland and Hungary, the positive support for some products at the farm level were offset by effective taxation on others. In Romania, state control of processing industries and margin controls meant that processors absorbed the losses in the chain. In Slovenia, the main losers have been final consumers who have had to pay prices substantially above the world market equivalent. In Hungary and Poland, consumers have also had to pay substantially above the world market, but this arose from transfers to processors and large retail margins, rather than support to farmers.

Other chapters from this book

Chapter: 1 (Page no: 1) Transformation of CEEC agriculture and integration with the EU: progress and issues. Author(s): Davidova, S. Buckwell, A.
Chapter: 2 (Page no: 29) Development of a policy information system for agricultural sectors in transition countries. Author(s): Henrichsmeyer, W. Köckler, J. Möllmann, T. Quiring, A.
Chapter: 3 (Page no: 61) Total productivity of emergent farm structures in Central and Eastern Europe. Author(s): Hughes, G.
Chapter: 5 (Page no: 113) Effects of CEEC-EU accession on agricultural markets in the CEEC and on government expenditure. Author(s): Münch, W.
Chapter: 6 (Page no: 133) Macroeconomic implications of EU accession. Author(s): Banse, M.
Chapter: 7 (Page no: 157) European integration and the political economy of Central and Eastern European agricultural price and trade policy. Author(s): Hartell, J. Swinnen, J. F. M.
Chapter: 8 (Page no: 185) Conclusions and implications for food and agricultural policy in the process of accession to the EU. Author(s): Tangermann, S. Swinnen, J. F. M.

Chapter details

  • Author Affiliation
  • Department of Agricultural Economics and Food Marketing, University of Newcastle upon Tyne, Newcastle upon Tyne, UK.
  • Year of Publication
  • 2000
  • ISBN
  • 9780851994253
  • Record Number
  • 20001808117