What will be the budgetary cost for reaching Green Deal´s organic target? A farm level approach
Under the Green Deal, the European Commission (EC) has set a target of 25% of the EU's agricultural land to be cultivated organically. The literature indicates that this target is challenging to reach in the current budgetary framework. We use the IFM-CAP model and a utility-based framework to estimate the required monetary incentive for a farm to convert into organic. Then we use simulations to estimate the budgetary cost to reach the organic target in the EU level. Our results show that in order to reach the 25% organic target, a budget increase is required. This increase requires budgetary transfers from other CAP interventions, and thus more research is required on the cost effectiveness of the organic target regarding the environmental benefits in relation to other interventions.
KREMMYDAS Dimitrios;
CIAIAN Pavel;
BALDONI Edoardo;
TILLIE Pascal;
DIAKOULAKIS Georgios;
KAMPAS Athanasios;
2023-11-12
European Commission
JRC135783
Additional supporting files
| File name | Description | File type | |
|---|
