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Agriculture and the environment

Agriculture and the environment. Economics of Food Markets Lecture 19 Alan Matthews. Key issues. Identify the key linkages between agriculture and the environment Identify agri-environment indicators used in monitoring the environmental performance of agriculture

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Agriculture and the environment

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  1. Agriculture and the environment Economics of Food Markets Lecture 19 Alan Matthews

  2. Key issues • Identify the key linkages between agriculture and the environment • Identify agri-environment indicators used in monitoring the environmental performance of agriculture • Evolution of EU and Irish agri-environmental policies

  3. Reading • Good overviews in Latacz-Lohmann and Hodge, 2003, Commission 2005, IEEP 2002 • See Dwyer (2007) for review of performance • Series of edited volumes by Whitby (1996), Brouwer and van Berkum (1996), Brouwer and Lowe (2000), Brouwer and van Straaten (2002), Brouwer and Erwin (2002) • Web sites of DG Agri, European Environment Agency, European Environmental Bureau and Institute for European Environmental Policy

  4. Agriculture-environment linkages • Soil quality (sustainability concerns) • Water quality and quantity (pollution concerns) • Air quality (pollution concerns) • Biodiversity (conservation concerns) • Landscape (amenity concerns) • Food safety and animal welfare concerns

  5. Agri-environment indicators • Follow the OECD Drivers-State-Response (DSR) model • Drivers • Nutrient use, pesticide use, animal numbers • State indicators • Water quality, GHG emissions, species numbers • Response • Indicators of government expenditure or participation in agri-environment schemes

  6. Source: EEA Europe’s Environment: The Fourth Assessment SEE South East Europe EECCA East Europe and Central Asia

  7. Source: EEA Europe’s Environment: The Fourth Assessment SEE South East Europe EECCA East Europe and Central Asia

  8. Source: EEA Europe’s Environment: The Fourth Assessment SEE South East Europe EECCA East Europe and Central Asia

  9. Source: Birdlife International, New Challenges, New CAP 2007

  10. Breakdown of emissions by sector Source: Report of the Consultation Group on Greenhouse Gas Emissions Trading, 2000, Department of the Environment and Local Government

  11. Integrating environmental concerns into EU agricultural policy • Background is growing importance of sustainable growth culminating in the Göteborg Council commitment to SSD in 20010 • Traditional CAP policies exacerbated negative effects for the environment • Integration took three forms • Incorporating environmental considerations into the commodity market regimes (Pillar 1) • Specific agri-environment schemes (Pillar 2) • Compliance with general environmental regulations

  12. Environmental considerations in Pillar 1 • Setaside in the arable crops regime • Extensification and stocking density restrictions in the beef/veal regime • Cross-compliance • Decoupling of direct payments… • ..but rising food prices may again increase incentives for more intensive land use

  13. Agri-environment schemes in Pillar 2 • Less Favoured Areas directive introduced in 1975 to support farming in marginal areas • Agri environment payments first permitted as a voluntary measure for MS in the 1985 agric structures regulation • Introduced as an accompanying measure in the MacSharry CAP reform • A compulsory axis in the 2007-13 Rural Development Regulation

  14. EU environmental regulations • Biodiversity – Natura 2000, Birds Directive and Habitats Directive • Water pollution – Nitrates Directive • Water management – Water Framework Directive • Climate change – support for energy crops • Biotechnology – regulating GMOs

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