Structural Reform and the Future of West German Agriculture

A thorough reform of the West German agrarian structure is vital for the future prosperity of German farming. If agriculture is to remain competitive with foreign producers, an increase in farm size, land consolidation, and more effective investment in farm buildings and machinery are essential. State aid ought to be concentrated on structural reform and must not be used to support efficient and inefficient alike through income subsidies. There is little time available to reorganize German agriculture before increased competition begins to bankrupt the farmers. The greatest danger is that in trying to make reforms acceptable, the agricultural authorities will not undertake sufficiently radical changes; half measures could be as bad as no change.