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Changing framework

Changes in technology, globalisation and market integration affect the growth potential of the non-farming part of the rural economy. Increasing worldwide competition limits income opportunities from agricultural production. This leads to modernisation processes, which requires access to capital and skilled management and to concentration of landholdings. The consequent loss of employment opportunities for the rural population will increase migration to urban areas, where the lack of education and skills of this migrant population limits their job opportunities. Thus their chances to gain a decent life are not good, which leads to more social unrest and pressure on the environment. Migration may also increase the urban bias in political decisions, thus reinforcing the vicious circle of underdevelopment in rural areas.