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The concept of public intervention in agriculture can be understood very broadly, as any act or omission of the operation of public state institutions. The article discusses the economic reasons for the public intervention, then presents the types and effects of intervention implemented by the CAP as well as the impact of intervention policy on economic decisions of agricultural producers. In the further part of the article, based on the statistic data from 2004-2016, were presented the changes in agriculture sector. A characteristic feature of this process is the deagrarisation the national economy and the development of rural areas. Throughout this process, it is extremely important for the ongoing structural changes to result in the improvement of the competitive position of farms and longterm and sustainable rural development. Poland’s accession to the EU has generated new economic and organisational conditions to support structural changes in the broadly defined food economy and rural areas. Policy instruments implemented within the CAP create chances for the stabilisation of structural policy conditions over the period of several production cycles, thus stimulating the desired changes in the area structure of farms, the improvements in the competitiveness of production, environmental protection and multi-functional development of rural areas. Thus they are a fundamental instrument supporting the process of modernisation of Polish rural areas and agriculture. The article conclusions refer to structural changes and to competitiveness of agri-food sector.

MECHANISMS AND ECONOMIC CONSEQUENCES OF PUBLIC INTERVENTION IN AGRICULTURAL HOLDINGS IN POLAND DURING THE PERIOD OF EU MEMBERSHIP