Agrarian nature management: income and subsidies
The income from agrarian nature management makes only a marginal contribution to family income.
| Family income and subsidy for agrarian nature management in farms1) applying these methods | ||||
| Farm type | Family income per farm | Subsidy for agrarian nature management | ||
| 1989/1999 | 1999/2000 | 1998/1999 | 1999/2000 | |
| x EUR 1000 | ||||
| Dairy cattle | 40 | 39 | 2.5 | 3.2 |
| Arable | 75 | 48 | 2.1 | 2.7 |
| Other | 31 | 46 | 3.2 | 3.0 |
| Source: LEI-Informatienet. | LEI/NC/oct02 | |||
| 1) Farms of 16-800 nge. | ||||
Trends
The average subsidy for agrarian nature management in 1999/2000 was approximately EUR 3100 for each farm. This represents 6 to 8% of a family income of EUR 39 000 (dairy farming) or EUR 48 000 (arable). Costs must also be deducted. Subsidies for agrarian nature management therefore make only a marginal contribution to the family income of farms, whether they are engaged in dairy, arable or other types of farming.
The subsidy provided for agrarian nature management is often based on the loss of income incurred and, to a small extent, on the extra work involved. Given that management does not usually involve much extra work and receiving a subsidy for loss of income does not represent any extra income, only a small part of the subsidy remains as extra income.
Technical note
The table compares the subsidy for agrarian nature management (before deduction of costs) with family income. The family income is the remuneration the family receives for its work, management and capital in the farm and for the entrepreneurial risk, and includes income earned outside the farm.
Agrarian nature management is taken to be all types of nature and landscape management for which farmers receive a financial subsidy from the state, province, municipality, water board etc.
The data are from the agriculture and horticulture section of the LEI information network (LEI-Informationnet); they are from a random sample of the larger agricultural and horticultural enterprises in the Netherlands, varying in size from 16 nge to 800 nge (Netherlands unit of measurement, a measure of economic size for farms). The data supplied by the farms are for each financial year, running from May to April (inclusive). The financial year from May 1999 to April 2000 is shown in the figure as "1999/00".
References
- Reference Silvis, H.J. en C. van Bruchem (red.) (2002). Landbouw-Economisch Bericht 2002. Periodiek rapport 02.03 Landbouw Economisch Instituut. Den Haag.
Relevant sections and indicators in the Environmental Data Compendium
- Agrarische natuurverenigingen (E2.12 t/m E2.16)
- More information about the LEI can be found at: www.lei.wageningen-ur.nl/lei_engels
