THE IMPORTANCE OF SUBSIDIES FOR THE PRODUCTION OF GRAIN LEGUMES FOR RECONSTRUCTION OF THE DOMESTIC MARKET OF PROTEIN RAW MATERIALS OF VEGETABLE ORIGIN IN POLAND
Journal Title: Zagadnienia Ekonomiki Rolnej - Year 2017, Vol 351, Issue 2
Abstract
Total production of the native protein feed plant is 340 thousand tonnes. This represents a total of just 26% of the domestic demand. The resulting deficit of 960 thousand tonnes must be supplemented with imported soybean meal to be able to ensure feed security and safety for the population of pigs and poultry, whose Poland is Europe’s largest exporter. In the event of such a significant dependence on imports of raw material, an intervention was launched under which subsidies are granted to cultivation of legumes. The aim of the research presented in this paper was to evaluate the effects of the EU subsidies for the production of legumes executed by 2015 on the development of the seed market and commodity production of these plants in Poland. The research found that subsidies for the production of legumes become an active segment of the market of production and sale of seed of these plants, it also contributed to the gradual increase in the sown area of these plants in Poland and simultaneously ensured financial benefits for seed companies. It was also found that in 2015, despite the positive formation of agricultural income derived from the production of native legumes, in practice it did not incline agricultural producers to greater interest in this crop as a commodity production. It was noted, however, that this crop was widely used as a forecrop, improving soil structure and nitrogen concentration. It was considered that this was caused by the lack of domestic market of seeds of native protein plants capable to meet the demand of the feed industry. This in turn caused lack of interest of the industry in the raw material and marginalization of domestic sources of vegetable feed protein on the market.
Authors and Affiliations
Michał Jerzak, Wojciech Mikulski
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