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EU27 Real Agricultural Income per Worker Down by 3.5%
added: 2009-04-02

EU27 real agricultural income per worker fell by 3.5% in 2008, after increasing by 9.3% in 2007. This decrease was the result of a fall in real agricultural income (-5.7%) and a reduction in agricultural labour input (-2.3%).

This decrease in EU27 real agricultural income in 2008 was itself the result of:

- an increase in the value of agricultural output at basic prices in real terms (+3.9%);
- a steep rise in input costs in real terms (+10.3%);
- unchanged subsidies net of taxes in real terms (0.0%);
- an increase in depreciation in real terms (+2.5%).

These estimates for the EU27 published by Eurostat, the Statistical Office of the European Communities, are based on data supplied by the national authorities in the Member States.

In 2008, real agricultural income per worker rose in eight Member States and fell in nineteen. The largest increases were observed in Bulgaria (+28.9%), Romania (+28.4%), Hungary (+18.6%) and the United Kingdom (+16.5%), and the largest decreases in Denmark (-24.7%), Estonia (-23.0%), Belgium (-22.6%), Latvia (-19.4%) and Poland (-17.7%).

In the EU27, the value of agricultural output in basic prices in 2008 grew by 3.9%, mainly due to an increase in the value of both crop production (+2.9%) and animal production (+5.5%) in real terms.

The rise in the value of crop production in 2008 was due to a growth in output volume (+6.9%), which was only partly offset by a fall in producer prices (-3.6%). Output volumes of the three largest crop products rose: cereals (+22.3%), fruits (+2.5%) and fresh vegetables (+1.8%). The sharpest increase in crop prices was recorded for oil seeds (+11.9%). On the other hand, prices for cereals (-12.0%) and potatoes (-9.3%) fell significantly.

The increase in the value of animal output in 2008 was mostly due to a rise in producer prices (+5.6%), while output volume (+0.1%) remained nearly stable. The growth in the real value of milk production was driven by a rise in prices (+6.5%), while volume grew only slightly (+0.7%). The increase in the price of pigs (+9.1%) was only partly offset by a fall in volume (-1.6%). In the case of cattle, producer prices (+4.0%) rose, while production volume (+0.2%) was almost stable.

EU27 agricultural input costs (intermediate consumption) grew by 10.3%, mainly owing to sharp increases in prices for fertilizers (+42.8%), energy (12.2%) and feeding stuff (+9.7%).

Between 2000 and 2008, EU27 real income per worker is estimated to have increased by 15.2%. In the 12 new Member States the rise was 74.7%, while in the EU15 real income per worker remained virtually unchanged (-0.2%). On average, agricultural labour input in the EU27 has fallen by 23.2% since 2000, and by 29.7% in the new Member States.


Source: Eurostat

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