Understanding structural adjustment in Spanish arable crop farms: policies, technology and multifunctionality

Abstract

The objective of this paper is to analyse the process of adjustment for arable crop farms on the inland plains of Spain from the early 1990s, as well as the implications of this adjustment in terms of multifunctionality. This paper first aims, through farm-level analysis, to break down the process of adjustment by isolating the main stylised facts. The second aim of this paper is to re-construct the process around three elements: policies, technology and its relationships with the surrounding rural setting. Results from the research show that the impact of policies stems not only from the level of support, but also from the specific tools through which this support operates and their effects over land tenancy regimes. Technological change has played a key role during the process, since the search for economies of scale is one of the driving forces for farmers who are expanding in an effort to overcome the price/cost squeeze. In addition, structural adjustment has had implications on the "territorial integration" of this agriculture, as well as on its environmental effects.