The Inefficiencies of Regionalised Milk Quota Trade

Shrestha, Shailesh; Shalloo, L.; Wallace, Michael

doi:10.1111/j.1477-9552.2008.00187.x

Cited by 9 publications

(7 citation statements)

References 7 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…The specificity of these products -perishability, seasonal imbalances, and inelastic supply and demand for milk -cause market instability (Suzuki and Kaiser 2005). Inefficiencies related to the milk quota regionalism are discussed by Hennessy et al (2009).…”

mentioning

confidence: 99%

Agricultural trade in example of milk from perspective of multi-criteria analysis

Doubek

Svasta²,

Blažková³

2012

AGR ECON-CZECH

View full text Add to dashboard Cite

Tradit ional farming on agricultural land under the standard soil and natural-climatic conditions within the EU is based on the structure of the polygastric livestock (especially cattle), which ensures the complex carbon recycling and its return to arable soil. In the last 15 years, we have been witnessing to a sharp decline in the number of dairy cows in the Czech Republic. Th is fact has resulted in certain destabilising factors that have disrupted the stability of the biological system. Breeding dairy cows and its profi tability is a function of the conditions for the realisation of milk production. Th is paper examines these aspects within a complex of factors from the use of milk production to the structure of the decision making process and it classifi es and quantifi es the individual problems from the perspective of the multi-criteria analysis.Key words: role of milk in human nutrition, quality of milk production, producer's strategic decision making capacity, applied methods of multi-criteria analysis, quality of milk production, quantitative factor analysis

show abstract

mentioning

confidence: 99%

Agricultural trade in example of milk from perspective of multi-criteria analysis

Doubek

Svasta²,

Blažková³

2012

AGR ECON-CZECH

View full text Add to dashboard Cite

show abstract

“…2007; Hennessy et al . 2009). An optimizing linear programming farm-level model, referred to as ‘ScotFarm’, was developed for the present study.…”

Section: Methodsmentioning

confidence: 99%

Impacts of greening measures and flat rate regional payments of the Common Agricultural Policy on Scottish beef and sheep farms

et al. 2015

View full text Add to dashboard Cite

SUMMARYThe latest Common Agricultural Policy (CAP) reforms could bring substantial changes to Scottish farming communities. Two major components of this reform package, an introduction of environmental measures into the Pillar 1 payments and a move away from historical farm payments towards regionalized area payments, would have a significant effect on altering existing support structures for Scottish farmers, as it would for similar farm types elsewhere in Europe where historic payments are used. An optimizing farm-level model was developed to explore how Scottish beef and sheep farms might be affected by the greening and flat rate payments under the current CAP reforms. Nine different types of beef and sheep farms were identified and detailed biophysical and financial farm-level data for these farm types were used to parameterize the model. Results showed that the greening measures of the CAP did not have much impact on net margins of most of the beef and sheep farm businesses, except for ‘Beef Finisher’ farm types where the net margins decreased by 3%. However, all farm types were better off adopting the greening measures than not qualifying for the greening payments through non-compliance with the measures. The move to regionalized farm payments increased the negative financial impact of greening on most of the farms but it was still substantially lower than the financial sacrifice of not adopting greening measures. Results of maximizing farm net margin, under a hypothetical assumption of excluding farm payments, showed that in most of the mixed (sheep and cattle) and beef suckler cattle farms the optimum stock numbers predicted by the model were lower than actual figures on farm. When the regionalized support payments were allocated to each farm, the proportion of the mixed farms that would increase their stock numbers increased whereas this proportion decreased for beef suckler farms and no impact was predicted in sheep farms. Also under the regionalized support payments, improvements in profitability were found in mixed farms and sheep farms. Some of the specialized beef suckler farms also returned a profit when CAP support was added.

show abstract

“…This also allows analysis of the financial vulnerability and resilience of a farm. A number of studies examined vulnerability of agricultural farms under price changes and agricultural policy reforms (9, 19–21). They show that any adverse changes in market prices and support payments can significantly expose it to economic vulnerability.…”

Section: Introductionmentioning

confidence: 99%

Financial Vulnerability of Dairy Farms Challenged by Johne's Disease to Changes in Farm Payment Support

et al. 2018

Self Cite

View full text Add to dashboard Cite

Johne's disease is an endemic contagious bacterial infection of ruminants which is prevalent in the United Kingdom and elsewhere. It can lower financial returns on infected farms by reducing farm productivity through output losses and control expenditures. A farm-level analysis of the economics of the disease was conducted taking account of farm variability and different disease prevalence levels. The aim was to assess the financial impacts of a livestock disease on farms and determine their financial vulnerability if farm support payments were to be removed under future policy reforms. A farm-level optimization model, ScotFarm, was used on 50 Scottish dairy farms taken from the Farm Business Survey to determine the impacts of the disease. A counterfactual comparison of five alternative “disease” scenarios with a “no-disease” scenario was carried out to evaluate economic impact of the disease. The extent of a farm's reliance on direct support payments was considered to be an indicator of their financial vulnerability. Under this definition, farms were grouped into three financial vulnerability risk categories; “low risk,” “medium risk,” and “high risk” farms. Results show that farms are estimated to incur a loss of 32% on average of their net profit under a standard disease prevalence level. Farms in the “low risk” and “medium risk” categories were estimated to have a lower financial impact of the disease (22 and 28% reduction on farm net profit, respectively) which, along with their lower reliance on farm direct support payments, indicate they would be more resilient to the disease under future changes in farm payment support. On the contrary, farms in the “high risk” category were estimated to have a reduction of 50% on their farm net profit. A majority of these farms (61%) in the “high risk” category move from being profitable to loss making under the standard disease scenario when farm support payments are removed. Of these, 15% do so because of the impact of the disease. These farms will be more vulnerable if changes were to be made in farm support payments under future agricultural policy reforms.

show abstract

The Inefficiencies of Regionalised Milk Quota Trade

Cited by 9 publications

References 7 publications

Agricultural trade in example of milk from perspective of multi-criteria analysis

Agricultural trade in example of milk from perspective of multi-criteria analysis

Impacts of greening measures and flat rate regional payments of the Common Agricultural Policy on Scottish beef and sheep farms

Financial Vulnerability of Dairy Farms Challenged by Johne's Disease to Changes in Farm Payment Support

Contact Info

Product

Resources

About