Agriculture and Food Sector in Finland 2016/17
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1 Agriculture and Food Sector in Finland 216/17 Jyrki Niemi and Minna Väre (eds.) Luke, Economics and Society Publication available at
2 Consumer expenditure on foodstuffs and beverages, million % change Total 23,334 23,298 Foodstuffs* 12,445 12,288-1 Non-alcoholic beverages* 1,292 1,288 Alcoholic beverages* 3,414 3,319-3 Catering services (eating out) 6,183 6,43 4 *Food consumed at home Source: Statistics Finland, National accounts 2
3 Share of foodstuffs and non-alcoholic beverages in consumer expenditure of households, % Lähde: Eurostat National accounts EU EU Belgium Denmark Estonia Finland France Germany Greece Italy Norway Portugal Sweden United Kingdom
4 Employed of agriculture and food industry (%) in different regions in 214 South Ostrobothnia Central Ostrobothnia Ostrobothnia Pohjois-Savo North-Karelia Etelä-Savo Kanta-Häme Satakunta North Ostrobothnia Varsinais-Suomi Åland South Karelia Päijät-Häme WHOLE COUNTRY Kymenlaakso Central Finland Kainuu Lapland Pirkanmaa Uusimaa Agriculture and hunting 1_12 Food industry etc. Source: Regional accounting, Statistics Finland 4
5 Employment effect of the use of intermediate products in Finnish agriculture by sectors in 214 Number of employed persons Trade in implements 2. Business and other services 3. Feed industry 4. Other manufacturing industry 5. Transport and storage 6. Building 7. Administration, education and health 8. Energy, water and waste management 9. Other primary production 1. Other
6 Consumer expenditure on foodstuffs and beverages in , % Fats and oils Other foodstuffs Fish and fish products Non-alcoholic beverages Sugar, jam and sweets Rasvat ja öljyt Muut elintarvikkeet Kala ja kalatuotteet Alkoholittomat juomat Sokerit, hillot, ja makeiset Leipä- ja viljatuotteet Bread and cereal products Milk, cheese and eggs Meat and meat products Fruits and vegetables Maito, juusto ja munat Liha ja lihatuotteet Hedelmät ja kasvikset Source: Tilastokeskus 6
7 Food prices (excluding VAT) in Finland and certain EU countries in Index 25= United Kingdom Finland Denmark Germany Sweden Euro area France Portugal Ireland
8 Markets shares of retail companies in Finland in 216 Other companies * Earlier Tradeka. ** From 26 M Group; in included in Other. *** estimate Source: AC Nielsen. 8
9 Personnel of Finnish food industry and real turnover per person Thousands EUR/person
10 Exports and imports of agricultural and food products (CN 1-24) in Million Imports Exports Source: Finnish Customs, ULJAS database 1
11 Trends in the world grain production, consumption and stocks in 27/8 216/17 Billion kg Production Stocks Consumption 27/8 29/1 211/12 213/14 215/16 Source: AMIS Statistics 11
12 World market price for maize, soy and wheat in USD/ 1. kg Soy Wheat Maize Source: USDA, CBOT, CBR 12
13 Export prices of butter and skimmed milk powder in USD/1. kg Butter Milk powder Source: Canadian Dairy Information Centre 13
14 World market price indices for beef, pigmeat and poultrymeat in Index (January 26=1) Beef Poultry meat Pigmeat Source: FAO 14
15 Producer prices of meat, eggs and milk in Finland in /1 kg /1 l Milk, incl.support Beef Pigmeat Milk, excl. support Eggs Poultry meat Source: Luke 15
16 Producer prices of horticultural products in Finland from 212 to 216 /kg 3,5 /kg 3 2,5 Tomato Carrot 2 1,5 1,5 Cucumber Cabbage Onion Source: Kasvistieto Ltd. 16
17 Production of beef, pigmeat, poultry meat and eggs in Finland from 1995 to 216 Million kg Beef Pigmeat Poultrymeat 5 Eggs Source: Luke 17
18 Production of milk in Finland from 1995 to 216 Million litres Milk production 23 Delivered to dairies Source: Luke 18
19 Harvested areas in Finland from 24 to ha Barley Silage Oats Wheat Dry Hay Oilseed crops Source: Luke, Statistical services 19
20 Structure of the Common Agricultural Policy (CAP) of the EU Common Agricultural Policy of the EU 1. Pilar (75% of the funding) Market support and direct payments Direct CAP support Decoupled direct payments and coupled payments Market organisations Intervention, storage and regulation of supply 2. Pilar (25%) Rural development payments Agri-environment support LFA Structural and investments aid Rural development and business projects Leader 2
21 EU budget for 216, billion International activity % Improving competitiveness % Regional policy % Administration % Sustainable growth and natural resources 39 % Other expenditure % Direct payments % Market interventions % Rural development % Other.8 1 % 21
22 Agricultural support in Finland in , million milj. Million euroa Kansallinen National support tuki Ympäristötuki Environmental support LFA-tuki support CAP-tuki support
23 Support areas in Finland 23
24 Number of farms receiving agricultural support in 1995 and 216 1, 8, 6, 4, 2, 95,562 Main regions of Uusimaa and Åland according to NUTS II have been included in Southern Finland. Source: Finnish Agency for Rural Affairs. 51,616 5, 4, 3, 2, 1, 5, 4, 3, 2, 1, 43,14 24,794 23,167 13,322 Central Finland Northern Finland Southern Finland Eastern Finland 5, 4, 3, 2, 1, 1, 2, 3, 4, 5, 9,141 24
25 Number of farms receiving agricultural support in Whole country 68,766 66,821 65,292 63,716 62,45 61,153 58,898 57,559 56,16 52,858 51,616 Southern Finland 1) 3,967 29,945 29,368 28,694 28,98 27,578 26,517 25,874 25,119 23,726 23,167 Eastern Finland 12,173 11,812 11,51 11,218 11,33 1,88 1,479 1,281 1,27 9,469 9,141 Central Finland 17,947 17,574 17,119 16,65 16,177 15,771 15,172 14,812 14,41 13,645 13,322 Northern Finland 7,679 7,49 7,34 7,154 7,142 6,996 6,73 6,592 6,46 6,18 5,986 1) Main regions of Uusimaa and Åland according to NUTS II have been included in Southern Finland. Source: Finnish Agency for Rural Affairs 25
26 Area of leased arable land (ha) in Finland from 26 to ha Source: Finnish Agency for Rural Affairs. 26
27 Number of farmers by age categories in Finland in Source: Luke, Statistical services 27 Natural Luonnonvarakeskus Resources Institute Finland
28 Distribution of farms receiving agricultural support in Finland according to production line in 216 Whole country Poultry production 1.1% Others 5.% Beef production 6.6% Pig husbandry 2.4% Dairy husbandry 15.1% Main regions of Uusimaa and Åland according to NUTS II have been included in Southern Finland. Source: Finnish Agency for Rural Affairs. 28 Poultry production 1% Beef production 7% Pig husbandry 3% Dairy husbandry16% Crop production 69.8% Others 4% Poultry production 1% Others 5% Beef production 4% Pig husbandry 3% Dairy husbandry 8% Crop production 79% Crop production 69% Central Finland Northern Finland Southern Finland Eastern Finland Poultry production % Beef production 8% Pig husbandry 1% Dairy husbandry 26% Dairy husbandry 25% Others 6% Crop production 59% Poultry production % Others 6% Beef production 1% Pig husbandry 1% Crop production 57%
29 Result and profitability development of agriculture and horticulture in Finland Entrepreneurial profit 1, /enterprise Gross return Costs Entrepreneurial income Wage claim 5-5 Net result Interest claim on equity Entrepreneurial profit / loss
30 Result and profitability development of agriculture and horticulture in Finland Profitability 1,4 1,3 1,2 1,1 1,,9,8,7,6,5,4,3,2,1, -,1 -, Dairy farms Other cattle husbandry All farms Goat and sheep farms Pig farms Poultry 3
31 Result and profitability development of agriculture and horticulture in Finland Profitability ratio 1,4 1,3 1,2 1,1 1,,9,8,7,6,5,4,3,2,1, -,1 -, Glasshouse production Production in the open All farms Cereal farms Other crop production 31
32 Result and profitability development of agriculture and horticulture in Finland Return on total assets 8, 6, 4, 2,, -2, -4, -6, -8, -1, -12, -14, -16, Glasshouse production Pig farms Production in the open Dairy farms All farms Cereal farms 32
33 Result and profitability development of agriculture and horticulture Sales proceeds of total return 1% 9% 8% 7% 6% 5% 4% 3% 2% 1% % Glasshouse production Pig farms Production in the open Dairy farms All farms Cereal farms 33
34 Specification of return and costs of acriculture and horticulture 216 Source: Luke 34
35 Balance sheet of agriculture and horticulture 216 Million Oma Equity pääoma Vieras Debtspääoma Aineettomat Intangible commodities hyödykkeet Maa-alueet Land Rakennukset Buildings Koneet Machinery ja kalusto and equipment Source: Luke Salaojitukset Subsurface ja draina kasvustot plant Kotieläimet Livestock Tarvikkeet Supplies, ja stocks tuotteet Rahat Cash ja and saamiset receivables 35
36 Market markings and our American cousin Marget margins 1/21 9/216 Market margin, hog ( /hog) Market margin, sow ( /sow/farrowing) Jan-1 Jun-1 Nov-1 Apr-11 Sep-11 Feb-12 Jul-12 Dec-12 May-13 Oct-13 Mar-14 Aug-14 Jan-15 Jun-15 Nov-15 Apr-16 Sep-16 Jan-1 Jun-1 Nov-1 Apr-11 Sep-11 Feb-12 Jul-12 Dec-12 May-13 Oct-13 Mar-14 Aug-14 Jan-15 Jun-15 Nov-15 Apr-16 Sep-16 36
37 Market markings and our American cousin Marget margins 1/21 9/216 Market margin, hog ( /1 hog) Market margin, hen ( /1 hen/ year) Jan-1 Jun-1 Nov-1 Apr-11 Sep-11 Feb-12 Jul-12 Dec-12 May-13 Oct-13 Mar-14 Aug-14 Jan-15 Jun-15 Nov-15 Apr-16 Sep-16 Jan-1 Jun-1 Nov-1 Apr-11 Sep-11 Feb-12 Jul-12 Dec-12 May-13 Oct-13 Mar-14 Aug-14 Jan-15 Jun-15 Nov-15 Apr-16 Sep-16 37
38 Quantities of land improvement lime used (kg/ha) in Lime Source: Evira 38
39 Use of pesticides (active substance g/ha) in Active substance g/ha Herbicides Fungicides Growth regulators Insecticides Source: Luke 39
40 Surpluses of nutrient balances (kg/ha) in Nitrogen balance Phosphorus balance Source: Luke 4
41 Uses of fertilisers (kg/ha) in Nitrogen Potassium Phosphorus Source: Luke 41
42 Area (1 ha) under organic production in Organic production and area under transition Source: Luke 42
43 Consumers interested in animal welfare Citizens willingness to pay extra for produts that take animal welfare into consideration in Finland Finland Not ready to pay more Ready to pay up to 5% more Sweden EU average Share (%) of respondents Ready to pay up 6% to 1% more Ready to pay up 11% to 2% more Ready to pay more than 2% more Depends on the price of the product Don t know 43
44 44 Teppo Tutkija
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