FERTILISER COSTS UNDER CBAM: IMPACT ON THE COST STRUCTURE OF FAMILY FARMS IN LITHUANIA

Abstract

The CBAM on mineral fertilisers imported from third countries is putting financial pressure on Lithuanian family farms. This research aims to understand the principles of CBAM implementation and to determine how the CBAM on imported mineral fertilisers would change the cost structure of Lithuanian farms. The study employed analysis, systematization, and comparison, and utilized a logical-scenario-based simulation method for the empirical analysis of Lithuanian family farms. The results of the empirical research revealed that financial pressure varies depending on the size of Lithuanian family farms. The CBAM obligation resulted in the greatest increase in costs for family farms in classes 3–6 in 2026, with costs increasing by between 10.72% and 12.73%.