# CE2004078EN.01012201.xml

| 27.3.2004 | EN | Official Journal of the European Union | CE 78/122 |
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27.3.2004

EN

Official Journal of the European Union

CE 78/122

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(2004/C 78 E/0124)

WRITTEN QUESTION E-2535/03

by Ilda Figueiredo (GUE/NGL) to the Commission

(29 July 2003)

Subject:   Farm incomes in Portugal

Subject:

In the report on the state of Portuguese agriculture the Commission indicates that, according to the Eurostat economic accounts for agriculture, farm incomes rose by approximately 30 % between 1986 and 1995 and by 32 % between 1995 and 2002. However, these calculations do not say how the income growth was spread according to the scale (in economic and area terms) on which farmers operate or to the type of production.

Can the Commission answer the following:

| — | What was the trend in farm incomes (for Portugal and the EU) between 1986 and 2002 (as evidenced by annual figures), taking into account the economic scale of and the size of the land areas used by farmers, especially those with less than 5 hectares (and/or less than 4 ESU) or more than 50 hectares (and/or more than 100 ESU)? |
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What was the trend in farm incomes (for Portugal and the EU) between 1986 and 2002 (as evidenced by annual figures), taking into account the economic scale of and the size of the land areas used by farmers, especially those with less than 5 hectares (and/or less than 4 ESU) or more than 50 hectares (and/or more than 100 ESU)?

| — | What was the trend in farm incomes during the same period for farmers producing fruit and vegetables, wine, olive oil, arable crops, milk, and beef and veal? |
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What was the trend in farm incomes during the same period for farmers producing fruit and vegetables, wine, olive oil, arable crops, milk, and beef and veal?

Answer given by Mr Fischler on behalf of the Commission

(29 September 2003)

(29 September 2003)

The Commission's ‘Report on the situation in Portuguese agriculture’ (1) described the increase in farm incomes in Portugal on the basis of Eurostat economic accounts for agriculture. Unfortunately, this approach does not permit a breakdown of income in terms of size or type of holding.

1

However, though the income indicators are not strictly equivalent and are based on a different methodology, data from Directorate General (DG) Agriculture's Farm Accounts Data Network can be used to provide an indication in the trends in terms of size or type of holding in Portugal.

In the period 1993 to 2000, by this method, incomes expressed as Net Value Added per Annual Working Unit (NVA/AWU) are estimated to have increased more quickly for larger than for smaller holdings. Holdings greater than 100 Economic Size Units (ESU) increased by 7,3 % per year while incomes on holdings smaller than 4 ESU increased by 4,6 % per year. The incomes on intermediate sized holdings of 4 to 100 ESU grew by 5,2 % per year. It can be seen from the table below that incomes grew at a higher rate in Portugal than the Union's average.

In terms of type of holding, over the same period and by the same method, the annual rate of increase in incomes was positive for specialist horticulture, specialist vineyard, specialist fruit and citrus fruit and specialist dairying holdings, at between 3,4 and 5,0 % per year. Incomes for holding specialised in cattle-dairying (rearing and fattening combined) were estimated to be somewhat higher. Income growth was estimated to be negative on specialist arable holdings (- 2,1 % per year) and stable for specialist olive oil holdings (- 0,2 % per year).

The data can be found in the tables below:

| (Annual rate of increase 1993-2000 in %) |
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| NVA/AWU in real terms | < 4 ESU | 4-100 ESU | > 100 ESU | All farms |
| Portugal | 4,55 | 5,14 | 7,31 | 3,62 |
| EU-12 | 3,89 | -0,60 | -0,53 | 0,21 |

(Annual rate of increase 1993-2000 in %)

NVA/AWU in real terms

< 4 ESU

4-100 ESU

> 100 ESU

All farms

Portugal

4,55

5,14

7,31

3,62

EU-12

3,89

-0,60

-0,53

0,21

| (Annual rate of increase 1993-2000 in %) |
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| NVA/AWU in real terms | Specialist cereals, oilseeds and protein crops | Specialist horticulture | Specialist vineyards | Specialist fruit and citrus fruit | Specialist olives | Specialist dairying | Cattle-dairying,
  rearing and fattening combined |
| Portugal | -2,09 | 4,97 | 4,62 | 3,36 | -0,21 | 4,66 | 12,26 |

(Annual rate of increase 1993-2000 in %)

NVA/AWU in real terms

Specialist cereals, oilseeds and protein crops

Specialist horticulture

Specialist vineyards

Specialist fruit and citrus fruit

Specialist olives

Specialist dairying

Cattle-dairying,

rearing and fattening combined

Portugal

-2,09

4,97

4,62

3,36

-0,21

4,66

12,26

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(1)  COM(2003) 359 final.

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