FACTORS INFLUENCING THE DURABILITY OF OPERATIONS FINANCED UNDER THE CAP IN THE OPINION OF AGRICULTURAL ADVISORS

Abstract

The durability of operations is an important category from the point of view of public policies, including the Common Agricultural policy (CAP). The main objective of the article is to identify and assess factors affecting the durability of CAP financial operations on the example of measure 4.1. “Modernization of farms” based on the opinions of experts – advisors of agricultural advisory centers (ODR). We used primary data from expert surveys amongst agricultural counsellors: CAWI technique was employed. Diversification of production at farm-level, employment outside the farm and running non-agricultural activities should be assessed as key internal factors having a beneficial impact on the durability of the investment. The significant internal factors that were considered to have a strongly unfavorable impact on the durability of investments projects are those related to the insufficient level of capital and land held. Specialization in milk production, then pig production had a beneficial effect on durability of operations. Strengthening the quality of human capital in rural areas, including farm management should be recommended. This includes strengthening their flexibility and resilience, for example through diversification.