The Evaluation of Efficiency of Polish Agriculture

Abstract

The objective of the paper was to recognize the effi ciency of Polish agriculture. We have studied data from Main Statistical Offi ce (MSO) and compared the effi ciency in the years 2000-2010. The data proved that the effi ciency of Polish agriculture improved in the analyzed period. To measure the impact of macroeconomic variables we introduced these into the regression model. The macroeconomic factors included: X 1 (nominal prices of land), X 2 (land prices expressed in dt), X 3 (infl ation), X 4 (investment in agriculture and hunting), X 5 (balance of trade) and X 6 (GDP). We wanted to recognize the impact of macroeconomic factors on: Y 1 (gross output), Y 2 (intermediate consumption), Y 3 (gross value added). Multiple regression was used to measure the impact of macroeconomic factors on global production of agriculture. The strongest impact on gross value added had: X 4 (investment in agriculture and horticulture) and X 4 (trade balance). Poland is a member of European Union and the Common Agricultural Policy has improved the situation in agriculture. There are about 2 100 000 farms in Poland but only 300 000-400 000 are producing for the market. Other farms have social functions and are place for work for rural inhabitants.

Factors Shaping Agri-food Product Trade in Poland

“…The variable, X 1 (infl ation), had a negative impact on total trade balance, but X 2 (investment in agriculture) had a positive impact on total trade balance. That is why we can conclude that the integration with the European Union improved the stabilization of Polish agriculture products because it helped to sell products abroad to the Common Market (Bórawski et al, 2015).…”

“…Farms and agricultural businesses must make investments to improve competitiveness. This provides access to direct subsidies and the RDP 2007-2013 (Bórawski et al, 2015).…”