ABSTRACT

Agriculture has long been at the heart of European Union policy. It holds a dominant position and one that is closely interlinked with spatial development and environmental concerns. Agriculture policy involves the largest number of Commission officials, the most extensive and complex collection of EU committees and advisory bodies, and the largest share of Community spending. Its benefits and impacts are a matter of constant debate, particularly the effects on consumer prices, the environment, the landscape and the social composition of rural areas. Change, rather than stability, has been the hallmark of EU agricultural and rural policy. Early approaches involving complex mechanisms to support the price of farm produce led to massive surpluses and other market distortions. Since the early 1990s, price support has slowly given way to policies that subsidise farm incomes directly, promote more environmentally friendly practices and support rural communities. There has also been increasing interest in the broader concept of rural development, which has made the link with territorial issues more explicit. This chapter summarises the historical development of the Common Agricultural Policy (CAP) with particular reference to its spatial impacts. It starts with an introduction to EU rural areas and their economies.