Evaluation of selected agricultural policy measures in the crop production sector. | Evaluation de differentes mesures de politiques agricoles dans le secteur de la production vegetale

The aim of the present study was to evaluate selected agricultural policy measures for market support in the crop production sectors. Three aspects of the individual measures were focused on: Firstly, we discussed the effectiveness of the measures, looking at the extent to which they achieved the legally defined agricultural policy goals. Secondly, we examined the efficiency of the measures. Several aspects were of prime importance here _ both the interdependencies between the competitiveness of the industries against an international yard-stick on the one hand and the national measures on the other, as well as the impacts on the market orientation of agricultural production. Thirdly, and lastly, the study focused on identifying alternatives. Particularly if the efficiency of the measures is in conclusion judged to be poor, the question should be answered as to what modifications of agricultural policy would improve this efficiency. The measures evaluated in the arable farming sectors are of course highly diverse. They are based on different tools at different levels in the product lines. For the Sugar sector, different scenarios were calculated with the aid of the SILAS-dyn sector model. Additionally, specific key figures of the sugar factory were evaluated. SILAS-dyn was also used in the Potatoes and Oilseed products. In the main, however, we made use of welfare theory considerations and calculations which were supported by the collection of sector-specific data and talks with sector representatives. For the Renewable Raw Materials sector, both existing support measures as well as potential policy assistance measures were compared and assessed in welfare theory terms. In addition, a full-cost calculation was performed for six arable crops. The liberalisation measures in the market support sector proposed within the framework of the AP 2011 can for the most part be amply justified in welfare theory terms. This applies, for example, to the abolition of the direct payments for cultivation of renewable raw materials. In Switzerland, the cultivation of plants for use in the non-food sector, which benefit from the contribution, is only of small importance. The processing contribution for oilseed crops must also be rated as inefficient, because of the allocation bias it creates. The same holds true for potatoes. The contribution creates an incentive for disproportionate production of low-grade qualities. In the Sugar sector, the promotional tools available have led to uneconomic processing structures. The Swiss sugar market is currently faced with numerous challenges. Reform of the EU sugar market also affects Switzerland. Model calculations with Swiss agriculture’s sectoral, dynamic calculation model (SILAS-dyn) show that sugar beet cultivation will remain competitive with the proposed contributions (per hectare subsidy fr. 600._/ha, partial compensation fr. 1300._/ha), and adequate supplies of the crop will be guaranteed to sugar factories. The full-cost calculations performed for six arable crops point towards a less favour able cost structure than in Germany. These results need to be analysed in greater detail.