This thesis offers a qualitative analysis on the impact of EU’s Common Agricultural Policies (CAP) on EU’s international trade agreements, while focusing on the analysis and evaluation of CAP reforms. It also documents the characteristics of four ...
This thesis offers a qualitative analysis on the impact of EU’s Common Agricultural Policies (CAP) on EU’s international trade agreements, while focusing on the analysis and evaluation of CAP reforms. It also documents the characteristics of four EU FTAs: EU-Mexico, EU-South Africa, EU-Chile, and EU-Korea. CAP reforms have influenced EU’s behavior towards these FTAs, as the EU tends to protect its most sensitive sectors by exclusion from FTAs. While the EU has aimed to make its farmers more competitive over the years, a continuous trend of increasing financial aid has taken place. This has disguised the competitiveness of the European agricultural market and, thus, augmenting the liberalization of FTAs. Moreover, the underlying objectives of CAP reforms are ambiguous as they do not directly relieve the agricultural market from EU’s tight grip. The continuous intervention from the CAP resulted in the European agricultural market from becoming liberalized. Therefore, it will be challenging for the EU to continue similar concessions during future FTA negotiations. In addition, external pressure from the WTO and future FTA partners will require the EU to increase the competitiveness of its agricultural sector in order to compete in the international market. It will be a challenging task to reform the CAP radically because its system has been rooted too deep inside the agricultural sector and will lead to devastating effects for the European agricultural sector.