The State of the Bulgarian Agricultural Sector in the First Period (2007-2013) of the EU Membership
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Abstract
With Bulgaria joining the European Union in 2007, the Common Agricultural Policy (CAP) has become a decisive factor for the Bulgarian agriculture. The introduction and implementation of the CAP is far from optimal; positive and negative effects are both present. The performance of the agricultural sector in Bulgaria is not living up to its potential. Despite the subsidies received by the sector (more than 4 billion BGN), and the increasing national contributions between 2007 and 2013, its efficiency and profitability indicators have declined, and it remained at a low level of competitiveness. The processes of land concentration have accelerated. The SAPS subsidies are disproportionate and they prevent the shift to market orientation. The SAPS system caused
structural disharmony in the sector; the production of cereals and oilseeds has become predominant to livestock and fruit, and vegetable production. These problems can hardly be solved by the new CAP.