The concentration of Polish agriculture is too slow
Agriculture in Poland is characterized by significant fragmentation of farms, with small farms from one hectare to five dominating. However, there has been an upward trend among large-scale farms from 20 hectares or more in recent years. The country's area is mostly lowland, with most soils having medium to low agricultural suitability. Agricultural land occupies 59.8 percent of the country's area, with more than 73 percent of the soils under sowing. This share has gradually declined over the past decade, which is one of agriculture's many challenges. Other key challenges include labor outflow, innovation, competitiveness, and environmental protection.Poland is among the top grain producers in the EU
Poland's agriculture saw a sharp increase in production value and agri-food product exports. Gross output amounted to over 134.8 billion zloty in 2021, 60 percent higher than in 2010. The war in Ukraine dominated the year 2022. A sharp increase in input prices, a ban on agricultural products, and food imports to Russia harmed farming. Despite this, Poland recorded a positive trade balance, where exports of agri-food products amounted to nearly 48 billion euros. Domestic entrepreneurs sold agri-food products primarily to the EU market, where tobacco exports accounted for 24 percent of EU trade. Poland is among the leading grain producers in the EU, with harvests far exceeding domestic consumption. Meat and fish products were most often exported to non-EU countries.Grain crisis a bone of contention in Polish-Ukrainian relation
Ukrainian grain began flowing to Poland after the signing of the Istanbul agreement in July 2022. The main aim was to prevent famine. Poland was to help Ukraine export goods, mainly grain, to developing countries. The EU abolished most tariffs on trade with Ukraine. As a result, much of the Ukrainian grain that went to Poland stayed there, causing huge price drops in local markets, which directly hit Polish farmers. Protests and pressure from Poland and other countries in the region led the European Commission (EC) to ban imports of wheat, corn, rapeseed, and sunflowers to neighboring countries. Nearly three-quarters of Poles supported this decision. Nevertheless, the EC plans to lift the ban in the third quarter of 2023.In 2022, Poland was the largest importer of grain products from Ukraine.
