Subsistence farming, incomes, and agricultural livelihoods in the new member states of the European Union

Drawing on primary survey data and the literature on sustainable livelihoods, we analyse agricultural households in five new member states of the EU which possess a large subsistence and semisubsistence farming sector. The study indicates that the contribution of subsistence farming to household incomes is significant. The profiling of agricultural households, using cluster analysis, reveals four main types which differ significantly in terms of engagement in nonmarketed production. The poorest households form the largest cluster. They possess low natural, physical, and social capital, operating small-scale and undercapitalised farms with little nonagricultural income. The main EU Common Agricultural Policy instruments are not well suited to respond to the specific needs of these poor subsistence farmers.