2023–2027 <scp>CAP</scp> First Pillar Reform and Livestock Sector: Production and Economic Impacts on Italian Specialized Dairy Cattle Farms

ABSTRACT The present study uses an agroeconomic supply model to assess the impacts of 2023–2027 CAP on Italian specialized dairy cattle farms. The model considers the voluntary choice of Eco‐Scheme 1, specifically addressed to livestock farms, through the implementation of binary variables. Results distinguish farms by classes of altimetry and herd dimension. The most relevant income reductions are borne by large farms and farms operating in plain areas, as income support shifts towards small farms and farms operating in mountain areas. Adhesion to Eco‐Scheme 1 occurs among farms that use fewer antimicrobials per livestock unit and have an adequate availability of pastures.