The milk market in the European Union (EU) is adjusting rapidly to the removal of dairy quotas. The most important changes include increased milk yield per cow, increased total milk production, decreased number of cows, and the decreased milk consumption. The main aim of the paper is to examine the milk production changes in the EU. We investigated the dynamics of changes in farm milk production during the period from 1998–2017 in the EU. Moreover, we investigated the impact of the removal of quotas on the production of milk on farms in the EU countries for the period from 2015–2017. Milk production in the EU increased from 151 million tons in 1998 to 165 million tons in 2017 (a 10% increase). A multi-variate regression model was to test which explanatory variables have an impact on milk production in the EU. The most important factors were a gross domestic product, final household consumption expenditure (current prices, million euro), and population (number).
The agrarian structure in Poland is dominated by small farms; the large share of these is a result of historical consequences. The economy has pushed small farms toward economic efficiency, which in farming often translates into increasing the scale of production. The primary objective of this research was to present the directions of the changes in the number of small farms in Central and Eastern Poland and to indicate the factors determining their functioning and development. The research was based on a random sample selection from rural municipalities, villages and small farms. The researchers collected 19 completed surveys from municipal agricultural officers, 75 surveys from village mayors and 116 surveys from small and active farms. The data from the farm surveys was analysed using k-mean cluster analyses and the Principal Component Analysis (PCA) to distinguish farms into homogenous groups. Three types of farms were identified: “hobby”, “two-occupation” and “professional” farms. The research shows that in the municipalities of Central and Eastern Poland, the number of landowners (over 1 ha of arable land) paying agricultural tax increased by 9% between 2005 and 2017. A significant gap was identified between the number of “official farmers” and “active” farmers. In the farm category surveyed, “active” farmers numbered only 33% of all farming entities. The surveys confirmed that the development of small farms is particularly influenced by external factors (EU funding; national benefits), rather than internal (entrepreneurial) factors. An in-depth survey of farmers, municipal agricultural officers and village mayors shows that “professional” farmers (Cluster 0) are expected to invest, develop and innovate. Farmers managing “hobby” and “two-occupation” farms have a reserved attitude towards investment and their objective is to maximise the benefits related to the arming status. In the authors’ opinions, “professional” farms have the highest probability of being economically viable, while others tend to focus on the provision of public goods related to financial support.
Organic milk production is an environmentally friendly production system based on local forage and a ban on using chemical fertilizers and certain other rules. Organic milk is considered to be healthier and is gaining attention worldwide. The market for organic products is increasing. The aim of the paper was to analyze changes in the development of organic dairy production in Poland in the context of the EU. We analyzed the changes on the European Union (EU) level and the Poland level. To analyze the changes in organic milk production on European Union level, we used the autoregressive integrated moving average model (ARIMA). Our results show that both organic milk production and the farm area used for organic production will increase. Moreover, we analyzed the organic dairy farms running rural accountancy within the Farm Accountancy Data Network (FADN) in Poland in the years 2007–2018. We used tabular and graphic methods to present the data. In the analysis the methods of correlation and regression were used. Germany, France, Austria, and Great Britain are the countries with the largest numbers of organic dairy cows. Our prognosis examined the development of organic milk production in the European Union (EU). The number of cows on dairy organic farms will increase in most countries in the EU. Then, we analyzed the impact of the chosen factors on three dependent variables: organic milk production, total production of organic dairy farms, and income from family farms. The most important independent variables were cow numbers, the value of fixed assets, the value of current assets, long-term debt, and short-term debt.
This article analyses the competitiveness of dairy farms in Poland in relation to selected EU countries. The competitive advantage of dairy farms was evaluated and compared based on remuneration for family labour. Two variants of the above indicator were calculated: (1) Remuneration for family labour (FL1) as the relationship between farm net income and the farmer’s unpaid labour input, and (2) Remuneration for family labour (FL2) as the relationship between farm net income minus the opportunity costs of own land and capital to the farmer’s unpaid labour input. The calculations were performed based on EU FADN (European Union Farm Accountancy Data Network) data for an average dairy farm in 2005, 2010 and 2016. The study revealed the highest average remuneration for family labour (FL1) in Irish and German dairy farms. The value of the second indicator (FL2) was also highest in Germany, followed by France. The analysis produced interesting results regarding dairy farms in Denmark and the Netherlands which were characterised by the highest scale of production in the evaluated period (high net value added), but very low farm incomes and remuneration for family labour. The study revealed that Polish dairy farms were characterised by average competitiveness relative.
This article presents changes in the prices of milk and other dairy products in the European Union (EU). First, the descriptive statistics of the prices of milk and dairy products are presented, and then correlation and regression analyses were conducted to measure the relationships between the prices. We used the augmented Dickey-Fuller (ADF) test and generalised autoregressive conditional heteroscedasticity (GARCH) model to measure the stationarity and changes in dairy product prices in the EU. At the EU level, we checked the changes in prices of butter, skim milk powder, whole milk powder, Cheddar, Edam, Gouda, Emmental and whey powder. Our analysis confirmed that the butter, skim milk powder, whole milk powder, Cheddar, Edam and Gouda processes depend on previous values. The biggest price changes were observed in whey powder (34.12%), butter (24.46%) and skim milk powder (21.78%).
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