- The most problematic area
- The annual cost of CAP is 40 percent of EU budget
- EU = largest importer, 2nd largest exporter of food stuffs
- Intervention price – lower than target price
- Target price – always higher than intervention
- Threshold price – deducting from the target price cos of transporting wheat from Rotterdam to Duisburg
1992 – Mac. Sharry reform – decoupling – modification of CAP, severing the link between output and payments
- Calculation of payments is based on :
Obsah:
A. Common agricultural policy
B. Regional/Cohesion Policy
C. Competition Policy(CP)
D. Common Commercial Policy – Trade Policy