2.5% increase in factor incomes in the agricultural sector in 2014
In 2014, factor incomes in the agricultural sector increased by 2.5%.
Factor incomes at current market prices, which result from the evolution of agricultural production, subsidies and intermediate consumption, increased by 2.5% compared to 2013, to 74.7 million euros. This resulted in an 8.9 percent increase in subsidies not directly linked to production and a 6.8 percent decline in intermediate consumption.
In 2014, business income, which registered an increase of 2.8%, absorbed 92.8% of total factor income. Dependence on subsidies increased by 1.2 percentage points, from 26.6% in 2013 to 27.8% in 2014. The total subsidies absorbed by the industry in 2014 stood at 20 , 8 million euros, up 6.9%.
Subsidies directly related to production decreased by 15.5 percent, mainly due to lower amounts received for plant products. In contrast, an increase of 8.9 percent or 1.6 million euros was recorded in subsidies not directly linked to production.
A decline of 3.1% was recorded in the market value of gross agricultural production in 2014. This result was characterized by declines of 5.5, 2.8 and 2.2% in the market value of animal products. , crops and livestock respectively. This is mainly due to lower producer prices for milk, potatoes and broilers.
Intermediate consumption, which measures expenditure in the production process, fell 6.8% to 64.4 million euros. This decrease is mainly explained by lower expenditure on animal feed, veterinary services and building maintenance of 10.1, 9.0 and 7.3 percent respectively.