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The EU target for organic farming: Potential economic and environmental impacts of two alternative pathways

Dimitris Kremmydas, Caetano Luiz Beber, Edoardo Baldoni, Pavel Ciaian, Thomas Fellmann, Alexander Gocht, Jordan Hristov, Davide Pignotti, Dolores Rey, Davit Stepanyan, Pascal Tillie

2024Applied Economic Perspectives and Policy15 citationsDOIOpen Access PDF

Abstract

Abstract The EU aims to reach 25% of the total agricultural area under organic farming by 2030. Interlinking a farm‐level and agro‐economic market model, we assess impacts of achieving the target either at Member State or aggregated EU level. Results show that flexible budget allocation across Member States would be more cost‐efficient and less detrimental to EU production. Conversely, targeting at Member State level proves more effective in generating greater aggregated and more evenly distributed environmental benefits across EU regions. The results indicate the importance of leveraging tailored approaches to optimize organic farming outcomes across the EU.

Topics & Concepts

AgricultureMember statesMember stateOrganic farmingProduction (economics)European unionCommon Agricultural PolicyBusinessNatural resource economicsEconomic impact analysisEnvironmental economicsEconomicsInternational tradeGeographyMicroeconomicsArchaeologyOrganic Food and AgricultureAgriculture Sustainability and Environmental ImpactAgricultural Economics and Policy
The EU target for organic farming: Potential economic and environmental impacts of two alternative pathways | Litcius