French Farm Territorial Contracts: the economic efficiency questioned by the law

Abstract

The Farm Territorial Contracts (FTC) crystallise the new relationships between the State, the farmers and the citizens. By the creation of the FTC, the French agricultural act of 1999 aims at integrating the environmental, economic and social policy objectives concerning the farm sector. This integration has been explicitly designed to improve efficiency and equity in the implementation of these policies. The implied requirements of the act, refer to two levels. The upper level is the extent to which the objectives of the act will be fulfilled. The lower level regards the reciprocal obligations of the State and the farmers. The economic assessment of the FTC should not be restricted to the lower level but should also include the upper level of high interest for the citizens.