Annals of the Polish Association of Agricultural and Agribusiness Economists (Aug 2022)
MAJOR RELATIONS IN THE EXPENDITURE OF POLAND’S AGRICULTURAL BUDGETS IN 2015-2022. COMPARATIVE STUDY
Abstract
In the article was analyzed the structure and dynamics of budget expenditure on agriculture in Poland in 2015-2022. It was the basis for considering the relationship between agricultural budget expenditure and the dynamics of GDP and the dynamics of the state budget. The source of empirical materials was the data of the Ministry of Agriculture and Rural Development. Both nominal and CPI-adjusted values were analyzed. It has been shown that in 2015-2022, the real decline in the level of expenditure in the total agricultural budget, i.e. including national and EU funds, continued to decline. There was also a decline in the relation of the agricultural budget to GDP. The share of agricultural expenditures in the state budget expenditures also gradually decreased, which proves the diminishing importance of agriculture in the hierarchy of state budget expenditures in the long run. These negative trends for agriculture slowed down somewhat in 2020-2022, and especially in 2022. The increase in spending on agriculture in these years was mainly dictated by the need to support this sector and protect agricultural producers from the negative effects of climate disasters, infectious diseases and rising inflation. As a result, the structure of budgetary expenditure on agriculture has also changed, with expenditure related to the stabilization of agricultural markets, farmers’ incomes and risk reduction in agriculture gaining importance.
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