MAPPING THE FURTHER DEVELOPMENTS OF INCOME SUPPORT POLICY IN THE EU

The aim of this paper is to develop the conceptual scenarios for farmers' income support policy further development designing the measures with less market distorting effects. The results of the CAP implementation and challenges faced by the European agriculture have raised a set of issues, questions and deficiencies of the current direct support scheme known already as a radical shift towards more market oriented one. Market and climate dynamics require more targeted income support policy efforts from the EU. The recent reform of the CAP seems to be intermediate stage in the process of the policy development. The two sets of scenarios, responding to these concerns, are identified: on the current legal acts and based on new conceptual principles (shifting from current legal acts). While the first set is accounting for two scenarios introducing national and European level of regionalization of decoupled payments, the second set of scenarios provide concepts of the policy scenarios based on environment costs, market risks and complex farm risks (market and weather risks). All these scenarios are compared and analyzed in terms of their broad response to the recent challenges faced by the European agriculture.