Agricultural eco-efficiency vs. efficiency in the EU-27: Dynamics and pathways towards sustainable agriculture
Agricultural eco-efficiency vs. efficiency in the EU-27: Dynamics and pathways towards sustainable agriculture

Summary/Abstract: Research background: The agricultural sector plays a crucial role in ensuring food security and increasing economic growth. Due to natural resource constraints, agricultural policies need to focus on improving efficiency. However, agriculture contributes significantly to environmental degradation, making sustainable practices that balance efficiency and eco-efficiency essential, but challenging for policymakers, scientists, and farmers. Purpose of the article: The main objective of this paper is to evaluate agricultural efficiency and eco-efficiency and their trends between 2015 and 2022 in the EU-27 member states. Part of the main objective is to verify the research hypothesis that "All agriculturally eco-efficient countries are not necessarily agriculturally efficient". Methods: The agricultural efficiency and eco-efficiency are calculated using an input-oriented Data envelopment analysis (DEA) model, assuming constant returns to scale (CRS). The assessment of eco-efficiency also considers undesirable output. Findings & value added: An assessment of agricultural efficiency and eco-efficiency in EU Member States for 2015 and 2022 reveals significant trends and differences between countries. In 2015, 13 EU countries were agriculturally efficient, increasing to 16 by 2022. In terms of agricultural eco-efficiency, 19 countries were eco-efficient in 2015, rising to 21 by 2022. The study confirms that eco-efficiency in the agricultural sector does not necessarily guarantee agricultural efficiency. The article introduces a universally applicable framework to distinguish agricultural efficiency from agricultural eco-efficiency, enabling international comparisons and supporting research on sustainable agriculture. The findings offer an empirical basis for Member States to prioritize CAP objectives for 2023-2027, particularly in terms of enhancing competitiveness and environmental sustainability. The results highlight the need for integrated policy approaches, as eco-efficiency can coexist with high productivity, but targeted interventions are required to simultaneously achieve economic and environmental objectives. These insights are valuable for countries seeking to improve food security, economic performance, and environmental sustainability within evolving agricultural policy frameworks.

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