The role of state aid for the food industry – Based on the example of dairies in Poland

Years	Aid recipient	Frequency of aid	Value of aid (EUR in thousand)
Years	Aid recipient	Frequency of aid	Sum	Average	Median	Min	Max	Vs (%)
2015	Coop	120	276.65	2.31	0.94	0.15	16.15	181.24
2015	Other	70	200.26	2.86	1.73	0.27	7.46	82.76
2016	Coop	125	295.73	2.37	0.90	0.11	15.87	171.58
2016	Other	71	190.48	2.68	1.40	0.38	7.98	88.09
2017	Coop	174	813.52	4.68	1.32	0.10	411.28	665.05
2017	Other	84	405.62	4.83	1.36	0.11	220.61	492.26
2018	Coop	209	773.22	3.70	1.12	0.10	189.76	370.88
2018	Other	100	7,338.52	73.39	1.33	0.10	2,378.16	473.85
2019	Coop	202	748.54	3.71	1.27	0.06	153.85	319.24
2019	Other	100	7,248.78	72.49	1.92	0.26	1,854.87	377.22
2020	Coop	285	12,422.96	43.59	1.72	0.03	2,259.25	320.24
2020	Other	671	15,632.22	23.30	1.12	0.08	6,044.90	1,046.05
2021	Coop	178	14,094.30	79.18	1.67	0.23	7,541.11	801.51
2021	Other	115	18,186.07	158.14	1.71	0.20	7,257.29	493.82

1 Vs: coefficient of variation

Source: own work based on https://sudop.uokik.gov.pl.

Table 2.

Level of aid granted to micro, small, medium-sized and large milk processors under the aid measures implemented in Poland

Years	Aid recipient	Number of entities					Frequency of aid				Value of aid (EUR in thousand)
Years	Aid recipient	Total	Micro	Small	Medium	Large	Micro	Small	Medium	Large	Micro	Small	Medium	Large
2015	Coop	11	1	2	8	0	1	24	95	0	0.32	5.10	271.23	0
2015	Other	7	0	3	4	0	0	24	46	0	0	31.74	168.52	0
2016	Coop	14	0	3	10	1	0	28	96	1	0	6.65	273.21	15.87
2016	Other	7	1	2	4	0	4	14	53	0	1.53	24.02	164.92	0.00
2017	Coop	20	0	4	13	3	0	42	117	15	0	18.48	323.96	471.09
2017	Other	11	2	3	5	1	13	12	58	1	4.63	236.29	160.20	4.50
2018	Coop	20	1	4	12	3	1	47	147	14	25.78	23.28	677.28	46.88
2018	Other	16	4	5	5	2	23	22	51	4	108.71	397.48	812.46	6,019.88
2019	Coop	23	2	6	12	3	8	47	135	12	1.10	34.93	411.93	300.59
2019	Other	20	3	4	6	7	8	29	53	10	7.24	463.16	948.06	5,830.31
2020	Coop	53	5	20	23	5	25	97	142	21	173.49	498.71	7,699.31	4,051.45
2020	Other	203	151	37	10	5	455	147	63	6	1,868.79	4,273.69	2,913.44	6,576.30
2021	Coop	21	0	4	10	7	0	42	100	36	0.00	42.17	296.36	13,755.78
2021	Other	26	7	8	7	4	9	39	55	12	467.75	88.44	4,981.30	12,648.58

1 Source: own work based on https://sudop.uokik.gov.pl.

Structure of beneficiaries in function of the size of the entity (left) and structure of the value of aid received by them (right).
*Source:* own work based on https://sudop.uokik.gov.pl.

Value of aid granted in 2015–2021 to entities of different size scales.
*Source*: own work based on https://sudop.uokik.gov.pl.

Table 3.

Aid granted to milk processors by type of aid measure in 2015–2021

Purpose of aid	Aid recipient	Frequency of aid	Number of entities	Value of aid (EUR in million)	Share in value (%)
For the disabled	Coop	1,145	120	2.60	8.83
For the disabled	Other	556	62	1.24	2.53
Employment of prisoners	Coop	38	18	0.41	1.39
Employment of prisoners	Other	14	9	0.10	0.20
Energy	Coop	8	6	2.08	7.08
Energy	Other	9	9	3.88	7.89
Research and development projects	Coop	5	3	14.30	48.61
Research and development projects	Other	17	10	23.15	47.05
Regional investment	Coop	3	3	0.39	1.33
Regional investment	Other	17	16	11.35	23.07
Crisis aid	Coop	93	50	9.64	32.75
Crisis aid	Other	597	233	9.42	19.15
For participation in fairs	Coop	1	1	0.01	0.02
For participation in fairs	Other	1	1	0.05	0.11

1 Source: own work based on https://sudop.uokik.gov.pl.

Value of aid granted in 2015–2021 to entities for different purposes.
*Source*: own work based on https://sudop.uokik.gov.pl.

Table 4.

Degree of concentration of the value of aid to milk processors in the years 2015–2021

Value of aid for one entity (EUR)	Number of entities	Frequency of aid	Value of aid (EUR in million)	Share in value (%)
(0–1,000)	22	56	0.01	0.01
<1,000–2,000)	66	130	0.08	0.11
<2,000–5,000)	37	140	0.11	0.14
<5,000–10,000)	22	108	0.17	0.21
<10,000–20,000)	19	131	0.29	0.37
<20,000–50,000)	22	321	0.66	0.84
<50,000–100,000)	20	369	1.48	1.88
<100,000–150,000)	12	403	1.46	1.85
<150,000–200,000)	4	93	0.66	0.84
<200,000–300,000)	9	203	2.27	2.88
<300,000–500,000)	15	152	5.64	7.18
<500,000–1,000,000)	14	236	10.21	12.99
<1,000,000–2,000,000>^*	8	134	11.88	15.10
<2,700,000–3,100,000>^*	2	8	5.74	7.30
<11,800,000–14,100,000>^*	3	18	37.96	48.28

1 * In the ranges, the upper and lower limits do not coincide because some aid values did not occur.

Source: own work based on https://sudop.uokik.gov.pl.

Table 5.

Aid granted to milk processors by region in 2015–2021

Voivodeship	Number of entities	Frequency of aid	Value of aid (EUR in million)	Average aid for the entity (EUR in thousand)
Dolnośląskie	9	118	0.16	18.17
Kujawsko-pomorskie	19	153	17.28	909.33
Lubelskie	13	137	3.98	306.25
Lubuskie	3	8	0.06	20.27
Łódzkie	14	86	3.14	224.16
Małopolskie	50	313	1.48	29.69
Mazowieckie	42	209	21.71	516.94
Opolskie	8	20	0.52	65.39
Podkarpackie	12	189	0.78	64.63
Podlaskie	18	225	14.40	799.92
Pomorskie	7	19	0.03	4.25
Śląskie	18	267	3.19	176.96
Świętokrzyskie	11	321	2.24	203.75
Warmińsko-mazurskie	10	35	1.21	120.89
Wielkopolskie	32	384	8.38	261.87
Zachodniopomorskie	9	18	0.07	7.31

1 Source: own work based on https://sudop.uokik.gov.pl.

Table 6.

The level of correlation between the level of state aid received and the form of the dairy, its size, and geographical location

Variables	Dairy form	Size of dairy	Geographical location of dairy^*
Value of state aid	0.006	0.492^**	0.082^**

1 * Assigned dairies to distinguished groups of provinces according to their location (dairies located in a region of low, medium, or high milk production capacity) based on Ziętek-Kwaśniewska, K., Zuba-Ciszewska, M., Nucinska, J. (2022), Technical efficiency of cooperative and non-cooperative dairies in Poland: toward the first link of the supply chain, Agriculture, Vol. 12, No. 1.

1 ** Correlation is significant at the 0.01 level (2-tailed).

Source: own work based on https://sudop.uokik.gov.pl.

References

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Articles in this issue

DOI: https://doi.org/10.2478/ijme-2023-0037 | Journal eISSN: 2543-5361 (formerly 2299-9701) | Journal ISSN: 2299-9701

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Language: English

Page range: 101 - 116

Submitted on: Sep 20, 2022

Accepted on: Feb 28, 2023

Published on: Jun 30, 2023

Published by: SGH Warsaw School of Economics

In partnership with: Paradigm Publishing Services

Publication frequency: 4 issues per year

Keywords:

dairy,

food industry,

EU competition policy,

state aid,

Poland

JEL:

H89,

L66,

O25

Related subjects:

Business and economics,

Business management,

Management accounting, financial controlling, cost calculation, investment

© 2023 Maria Zuba-Ciszewska, published by SGH Warsaw School of Economics
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Volume 59 (2023): Issue 2 (June 2023)

The role of state aid for the food industry – Based on the example of dairies in Poland

Figures & Tables

Table 1.

Table 2.

Figure 1.

Figure 2.

Table 3.

Figure 3.

Table 4.

Table 5.

Table 6.

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