Annals of the Polish Association of Agricultural and Agribusiness Economists (May 2024)
CHANGES IN THE MACROENVIRONMENT AND NEW THREATS TO FARMS
Abstract
In the context of agriculture, numerous significant long-term trends are emerging. Some of these pose threats to farm operations. They can be categorized as threats related to pressure to achieve climate and environmental targets under emission reduction, animal welfare and biodiversity policy, climate changes, structural changes in the farm environment, increasing technological pressure, changes in consumption patterns and unequal conditions of competition in international markets. This study aimed to identify phenomena perceived as threats to agricultural activities and the general mechanisms of their impact on agricultural farms. It is prepared based on a literature review. It was found that the effect of some threats can be mitigated through proper farming practices and increasing production scale. Other threats, including those arising from enforced climate and agricultural policies, have consequences that necessitate economic support for farms or compensation for losses, for example, through subsidies. Insurance may be useful only for protection against well-known threats of measurable risk. One can state that currently published research results still insufficiently recognize how emerging threats alter the outcomes of agricultural farms, what strategies farmers adopt, and which of these are effective for particular production types and given production scales.
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