The purpose of this study is to analyze the direction of long and mid-term policies in agricultural investment. It is necessary to set up a policy direction for preparing the future where all circumstances are rapidly changing especially in agriculture and for helping change the agricultural structure. In this study, we reviewed the agricultural budget in Japan, U.S., EU and France.
In the case of Japan, a reform on agricultural policies is required due to the reduction of food supply, the population aging in rural area, and the decrease of cropland. The budget for the agriculture department decreases from 3,423 billion yens in 1995 to 2,271 billion yens in 2011. A direct payment to farm household parts 40.4% of total agricultural budget. They regard food security as very important with supporting the household income compensation program.
The US government has changed agricultural polices focusing on environment protection, nutrition, and wage workers in rural area. In the past, they regulated mainly on helping markets function completively, retailing producing goods, banking for farms and other financial behaviors. Recently, the agriculture budget reflects their policy direction and US economy such that the budget for food stamp increases to 112 billion dollars because more people are eligible. In addition, the budget for environment protection is expanded considering climate change and resources as significant issues.
EU also has experienced common problems in agriculture as the number of farm household decreases and the agricultural sector becomes bipolarized. Through renovations, EU emphasized ending the government’s procurement and long-term quota, reducing the support for price and export, and transforming to production cost related direct payment, etc. In a big frame, CAP moves from price support to rural development.
Traditionally France has focused on the development, research and education in agriculture. The government extends their role to improve food safety, environment, regional development, and animal welfare. The agricultural budget has changed a lot in 1992 and 2000 through EU’s common renovation in agriculture. The budget for adjusting market has shrink substantially while the budget for income assistance has expanded.

Researchers: Joon-kee Park, Tae-gon Kim, Mee-bok Kim
Research period: 2010. 12. - 2011. 6.
E-mail address: jkpark@krei.re.kr