Evaluating Public Policy Support for Agricultural Cooperatives

Creation of a sustainable agricultural sector involves boosting the cooperation activities as these contribute to the societal and economic development of the farms, farmers and rural societies. This paper contributes to the literature on the analysis of the drivers and obstacles of cooperation development in agriculture. The case of Lithuania is considered as the cooperation activities are lagging behind the European Union (EU) practice here. Specifically, analysis of the public support measures and the expert survey are carried out to analyse the effectiveness of the public policy measures as represented in the relevant legal acts. The experts involve policy makers, farmers' organisations and academia, which are the major stakeholder groups in Lithuania. The results indicate the effectiveness of the measures linked to capacity building (in the sense of human capital) requires improvement, whereas those related to financial support and promotion of the farmers' organisations are much better perceived. Thus, public support measures are available to promote cooperation in agriculture, yet the legal system of Lithuania still requires improvement in accommodating effective agricultural cooperatives.