Common Agricultural Policy 2014 to 2020
Consistent with proposals provided by the OECD, the practice of linking the Common Agricultural Policy with agricultural production was abandoned after the 2003 reform. Another substantial change was expected from the 2013 reform. In line with the OECD principle, the provision of public goods should be demand-driven. In spite of favourable market conditions the final agreement fell short of meeting expectations, including those that it might strengthen rural development, ensure more equal direct payments and reduce administrative burdens. Causes for such an outcome are likely to be reform path dependencies and a tendency towards greater flexibilities motivated by national and regional interests. Among the expected outcomes are the continuation of fiscal discipline, more market-friendly regulations of the common market order and new risk management instruments.