BOURGIN-BAREL Jonathan
European Institution
The CAP (Common Agricultural Policy) was created in 1957 with the treaty of Rome. It was an excellent idea to modernize the farming. We can see an augmentation about the productivity. But since several years, the CAP was criticizing on its price and on its distribution. That’s why we can ask if the CAP is very effective? So, in a first part we’ll see the advantages of the CAP and in a second part, we will analyze all the fault.
I/ The CAP’s advantage.
If we speak about the CAP, we are obliged to present a short historic. It was created in 1957 by the treaty of Rome and it came into force in 1962, its goal was to intervene on the price about the agricultural market and they tax the importation to incite people to buy the European product. Since 1970, the government was subsidized the exportations.
To resume, as far as 1992, the CAP served in a first time to guarantee the price; thus, more the farmer have a big production he received more assistance about the CAP. And in the second time, the rest of the budget was to pay the subvention for the exportation.
In 1992, the CAP was stopped to guarantee the price to the farmer and they decided to develop the rural economy in 1995.
In 2002 the CAP limited the subventions despite 10 new country which enter on the EU, so as far as 2013 the subventions are going to reduce.
In 2003-2004, the CAP cut the distribution of the subventions according to the food security and the environmental protection.
In 2009, the government adopted the “examination of the CAP” which its goal is to decrease the fallow and to increase the milk quota.
The principal’s objectives of the CAP are: * To increase productivity, by promoting technical progress and ensuring the optimum use of the factors of production, in particular labor. * To ensure a fair standard of living for the agricultural Community. * To stabilize markets. * To secure availability of supplies. * To provide