Direct payments

Farmers receive direct payments from the EU that are not related to their current production. (Photo: Lis Lak Risager)

Instead of price support for agricultural products, agricultural reform in the EU has shifted towards direct payments to farmers. These payments are according to the size of farm or levels of previous production, without relation to current production.

The separation of farmer subsidies and income from the volume of farm output is also referred to as the “de-coupling” of income from production.

During their first year of EU membership, farmers in the 10 new EU member states received 25% of what farmers in the currrent member states received. The amount has gradually risen to 100% by 2013.




See also the common agricultural policy.