Government policies have frequently compounded the environmental damage that farming can cause. In the rich countries, subsidies for growing crops and price supports for farm output drive up the price of land. The annual value of these subsidies is immense: about $250 billion, or more than all World Bank lending in the 1980s. To increase the output of crops per acre, a farmer's easiest option is to use more of the most readily available inputs: fertilisers and pesticides. Fertiliser use doubled in Denmark in the period 1960-1985 and increased in The Netherlands by 150 per cent. The quantity of pesticides applied has risen too: by 69 per cent in 1975-1984 in Denmark, for example, with a rise of 115 per cent in the frequency of application in the three years from 1981.
In the late 1980s and early 1990s some efforts were made to reduce farm subsidies. The most dramatic example was that of New Zealand, which scrapped most farm support in 1984. A study of the environmental effects, conducted in 1993, found that the end of fertiliser subsidies had been followed by a fall in fertiliser use (a fall compounded by the decline in world commodity prices, which cut farm incomes). The removal of subsidies also stopped land-clearing and over-stocking, which in the past had been the principal causes of erosion. Farms began to diversify. The one kind of subsidy whose removal appeared to have been bad for the environment was the subsidy to manage soil erosion.
Government policies have frequently compounded the environmental damage that farming can cause. In the rich countries, subsidies for growing crops and price supports for farm output drive up the price of land. The annual value of these subsidies is immense: about $250 billion, or more than all World Bank lending in the 1980s. To increase the output of crops per acre, a farmer's easiest option is to use more of the most readily available inputs: fertilisers and pesticides. Fertiliser use doubled in Denmark in the period 1960-1985 and increased in The Netherlands by 150 per cent. The quantity of pesticides applied has risen too: by 69 per cent in 1975-1984 in Denmark, for example, with a rise of 115 per cent in the frequency of application in the three years from 1981.
In the late 1980s and early 1990s some efforts were made to reduce farm subsidies. The most dramatic example was that of New Zealand, which scrapped most farm support in 1984. A study of the environmental effects, conducted in 1993, found that the end of fertiliser subsidies had been followed by a fall in fertiliser use (a fall compounded by the decline in world commodity prices, which cut farm incomes). The removal of subsidies also stopped land-clearing and over-stocking, which in the past had been the principal causes of erosion. Farms began to diversify. The one kind of subsidy whose removal appeared to have been bad for the environment was the subsidy to manage soil erosion.
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