Behind every hectare of sustainable wheat lies a complex system of policies, strategies, and funding instruments that make change possible.
Within the new Common Agricultural Policy (CAP) 2023–2027, two acronyms are central to Italy’s ecological and technological transformation: PSN and PSRN.
They play different but complementary roles — the first plans, the second finances.
Together, they shape the future of Italian wheat production through innovation, environmental protection, and competitiveness.
PSN: The Strategic Compass of Italian Agriculture
The Piano Strategico Nazionale (PSN) — Italy’s National Strategic Plan — translates the CAP’s European goals into national action.
Approved in December 2022, it coordinates all agricultural policies through 2027, with a total budget of about €37 billion, including €20 billion in direct payments and €10 billion for rural development.
For the cereal sector, the PSN sets out three strategic priorities:
- Ecological transition and climate adaptation – promoting crop rotations, conservation agriculture, carbon farming, and efficient water management.
- Innovation and digitalization – supporting sensors, drones, management software, and smart machinery to reduce inputs and costs.
- Competitiveness and local value chains – strengthening Italian wheat through supply chain contracts, origin labeling, and sustainable production standards.
In short, the PSN acts as Italy’s strategic roadmap, defining how European funds should be used to make cereal systems more resilient, efficient, and green.
PSRN: The Toolbox for Territorial Action
Complementing the PSN, the Programma di Sviluppo Rurale Nazionale (PSRN) — National Rural Development Programme — is the operational instrument that funds the implementation of these strategies.
It works in synergy with regional PSR programs, channeling resources into concrete projects.
With a budget of about €2 billion, the PSRN focuses on three main areas:
- Innovation and applied research – supporting experimental projects, EIP-AGRI Operational Groups, and technology transfer to farms.
- Environment and climate – financing low-impact practices, soil protection, and reduced use of synthetic fertilizers.
- Risk management and agricultural insurance – helping farms cope with climate-related disasters, increasingly frequent in Mediterranean cereal systems.
For wheat, the PSRN provides the economic engine of sustainability — transforming strategic goals into funded, measurable actions on the ground.
Where the Funds Go
According to MASAF (2024) data, Italian cereal farms have already accessed over €450 million in measures related to innovation, sustainability, and risk management.
Key examples include:
- CREA – AGROSAT Project: satellite monitoring to optimize sowing and fertilization of durum wheat in southern Italy;
- INNOGRANO Network: a national operational group for breeding heat- and drought-tolerant wheat varieties;
- AGRITECH (PNRR): developing robotics and sensor technologies for precision cereal farming in central Italy.
The most active regions — Emilia-Romagna, Marche, Puglia, and Sicily — have integrated PSN and PSR funds with private investment, creating regional models of sustainable wheat production.
European Funds and Regenerative Agriculture
One of the key innovations of the PSN–PSRN 2023–2027 cycle is the integration between agricultural and environmental policies.
For the first time, subsidies are linked not only to cultivated surface but also to the ecological quality of farming practices.
Examples include:
- Three-year crop rotations with legumes qualifying for Eco-Scheme 4 payments;
- Cover crops and direct seeding co-financed under regional PSRs;
- Organic and low-impact fertilization plans rewarded under both CAP and PSRN schemes.
Public funding thus evolves from merely supporting income to investing in environmental regeneration.
Challenges and Opportunities
The main challenge remains administrative complexity.
Farmers frequently cite lengthy procedures, heavy documentation, and lack of clarity in eligibility criteria.
Moreover, fund absorption rates vary widely: by 2024, CAP utilization reached around 60% in northern regions but only 35% in parts of the South.
Despite these hurdles, progress is tangible.
According to the European Commission (2024), the new CAP cycle has already led to a 20% increase in land managed under sustainable practices compared to 2020.
The key challenge now is to translate financial flows into measurable results: fewer emissions, healthier soils, and more resilient wheat systems.
Toward a New Agricultural Model
PSN and PSRN are more than administrative tools — they form a bridge between policy and real agriculture.
Through these programs, Italian wheat can become a laboratory of sustainability, where digital innovation and ecological regeneration work hand in hand.
The ultimate goal is not just better farming, but public value creation — an agriculture that generates income, food, and ecosystem services for society.
In this vision, wheat — a symbol of Italy’s agricultural identity — once again becomes a symbol of balance between economy and nature.
Sources:
- MASAF – Italian Ministry of Agriculture, Food Sovereignty and Forests (2024). PSN and PSRN 2023–2027 Report.
- CREA – Policy and Bioeconomy (2024). PSN and PSR as Tools for the Green Transition of Italian Agriculture.
- European Commission (2024). CAP Implementation and Performance Report.
- Rete Rurale Nazionale (2024). Analysis of CAP Fund Utilization and Agricultural Innovation.
- JRC – Joint Research Centre (2024). Sustainability Monitoring in EU Agricultural Policies.