The latest report on the farming economy (years 2014 and 2015), published on Friday 19 October by the European Commission, shows that farm incomes in the EU agricultural sector increased after the decline seen in 2013.
Particularly strong growth was seen in the horticultural and wine sectors and for permanent crops (mainly fruit and berry trees, bushes, vines and olive trees). However, the report confirms that incomes declined in 2014 and 2015 in the milk and dairy product sector due to “over-production leading to lower prices”.
Farm land. The report highlights the wide variety of farm structures and systems within the EU and the considerable differences between sectors and member states. While farms in Denmark and the Netherlands are valued particularly highly, with an average of over €2.4 million, Bulgarian and Romanian farms are valued at an average of below €100,000. This is due to a combination of the value of agricultural land in the different countries and the more capital-intensive nature of some member states’ farming sectors. Despite this, there were some positive developments for Bulgarian farmers, for example, whose asset values doubled between 2007 and 2015, the Commission explains.
The average number of workers employed per farm also varied widely, ranging from the equivalent of 12.4 full-time employees in Slovakia to just 1.1 in Greece. The Commission notes, however, that 77% of all farm labour is carried out by members of the family. This “general trend of family-based labour on farms is only broken by Slovakia, the Czech Republic, Hungary, Estonia and Denmark”, the report states.
Direct payments still represent a significant support to European farmers. In 2015, they accounted on average for 30% of the farm value in the 28 EU countries. Differences continue to remain between sectors. Grazing livestock, mixed crops and field crops received considerably higher levels of direct payments than, for example, the wine or horticultural sector. (Original version in French by Lionel Changeur)