Eco-schemes are a new voluntary component of the EU's Common Agricultural Policy (CAP) for 2023–2027, designed to support environmentally beneficial farming practices. Among them, the carbon farming (CF) package stands out for its simplicity, making it potentially applicable to small-scale farms in non-EU countries. This study employs a hybrid choice model to examine the preferences of Serbian cereal farmers for a hypothetical agri-environmental policy contract inspired by the CAP eco-scheme framework. The primary aim was to identify which policy attributes are most valued and to assess how self-interested environmental awareness influences farmers' evaluations. Findings reveal a general reluctance toward most proposed agri-environmental practices, with the notable exception of standard crop rotation. Farmers responded positively to subsidy payments and administrative support, while longer contract durations were viewed unfavourably. Interestingly, a higher level of self-interested environmental awareness correlated with increased scepticism toward CF practices and a stronger demand for public support. This suggests that, among the smallholders studied, environmental egoism may not serve as an effective motivator for adopting CF measures. The results underscore the need for tailored policy designs that balance simplicity, support mechanisms, and farmers' socio-economic realities to foster sustainable agricultural transitions.
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Kryszak et al. (2026) studied this question.
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