Greek Agriculture within the Framework of the Common Agricultural Policy: Thirty Years After
Agriculture is a vital element not only in the rural economy but also in the wider national economy of Greece. Greece's agriculture occupies the first place in terms of its share in GDP, population and balance of trade among the old member states of the European Union (EU-15). Specifically, Greece's agriculture contributes in terms of GDP, the active population and its value exports 6,16 and 23 percent respectively against 2,4 and 8 percent at an average level in the EU. The accession of Greece into the European Community in 1981 resulted in the immediate implementation of the Common Agricultural Policy (CAP) and the gradual (within 5 years) removal of tariffs on the trade of agricultural products with other member countries. Consequently, the institutional framework within which Greek agriculture had developed in the post-war period changed radically and the regulating ability of the Greek state was significantly limited (Maraveyias, 1994). The question which we will try to answer in this paper is, to what degree the change in the institutional framework of the development of Greek agriculture, due to the implementation of the CAP1 and the freeing of trade in agricultural products within the Community, affected Greek agriculture. Specifically, after a short review of agricultural policy in Greece before accession and the changes made during the transition period, an attempt is made in this paper to assess quantitatively and qualitatively developments in key indicators of Greek agriculture. Moreover, the agricultural sector's prospects are examined after the 1992 CAP reform for important for our country products, the implementation of the Uruguay Agreement, the Berlin Agreement, enlargement of the EU, the Mid-Term CAP reform and the recent developments in the CAP and its prospects.