A team of World Bank economists presents results of their investigation of
Estonia's agricultural sector in light of the country's efforts to accede t
o the European Union. The paper is based largely on field surveys and inter
views conducted in 1997, as well as unpublished local statistics extending
to 1998. The coverage encompasses agricultural policy, costs and prices, pr
oducer subsidies and price supports, consumer incomes, national budgets, fo
reign trade, and institutions promoting accession to the Union. Three alter
native policy scenarios involving Estonia's principal agricultural commodit
ies (milk, wheat, barley, beef, and pork) are modeled and analyzed to asses
s options for the country's integration with European regulations and legis
lation.