The Common Agricultural Policy (CAP) is regularly being reformed and work is already underway for the next program period starting in 2028.

A large part of agricultural support consists of direct support, coupled income support, natural constraints payments and payments to seminatural grassland. In this project, we investigate the effects on production, prices and the environment of changing the level of and the distribution between these instruments.

Two agricultural simulation models, CAPRI and AgriPoliS, are used in the analysis. In AgriPoliS, Swedish agriculture in two different regions are modelled: an intensive cropping region (southern Götaland’s plains) and marginal region (a mixed-forestry area in southern Sweden, Jönköping County). CAPRI covers all European agriculture and the analysis includes the price impact on the internal market.

The project will be finished in the end of 2024.