Subject and purpose of work: The objectives of the elaboration are the following: 1) to analyze the regional changes (at the level of poviats) in the number of farms involved in milk production over the period 2002-2010; 2) to present the main factors affecting the ongoing changes in Polish farms oriented at milk production; 3) to determine the impact of the measure 121. “Modernization of agricultural holdings” under the RDP 2007-2013 and the applied system of direct subsidies for the development of farms oriented at milk production. Materials and methods: The work has been prepared on the basis of the analysis and synthesis of the source literature, statistical data collected and the author’s own reflections. Results: In Poland, in the years 2002-2010 there was a distinct regional differentiation in the pace of the ongoing changes in the dairy sector. The regions, where we observe the development of milk production, include almost the entire Podlaskie Province, the northern part of the Mazowieckie Province and the south-eastern part of the Warmińsko-Mazurskie Province. Conclusions: Within the RDP 2007-2013, significant funds were allocated to support the modernization of agricultural farms. Mainly under the measure 121 “Modernization of agricultural holdings” the investments were carried out in relation to the purchase of mobile equipment, they represented 89% of all investments. This was partly due to the actual demand and administrative procedures that stimulated these types of investments.