Resilient farming: semi-subistence in Romania
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Transcript of Resilient farming: semi-subistence in Romania
Resilience 2014 – 4 and 5th May – Montpellier, France
Resilient farming: semi-subistence in Romania
Marie-Luce Ghib, Rural’est – Dijon and co, France – [email protected]
Daniela Giurca, – The Foundation for an Open Society Bucharest, Romania
Lucian Luca, IEA –Bucharest, Romania
Monica Tudor, IEA – Bucharest, Romania
Resilience 2014 – 4 and 5th May – Montpellier, France
Questions?
1. Resilience : What Romanian farming can show us? -> small farm and self-subsistenceand their place in global economy
2. From Pouliquen first analysis in 2001:
>> Does semi-subsistance farming block the development of global farming in Romania? And on global economy? (importance of self subsistance, evolution in food consumption and food market...)
3. Self susbsitence and policies: social or agricultural one?
Resilience 2014 – 4 and 5th May – Montpellier, France
1 . Semi-subsistence farming an adaptation to overpass the
transition in Romania
> Economic difficulties since 1990
> Restitution and redistribution of land: creation of a social buffer through self consumption/semi-subsistance farming
> Evolution of farm structure, more over since UE adhesion
Resilience 2014 – 4 and 5th May – Montpellier, France
Romanian agriculture and rural area at a glance
post-communist post-communist socio-economic environmentsocio-economic environment
- reconstitution of the private ownership on the agricultural land
- the restructuring of the other sectors of national economy
- lack of non-agricultural occupational opportunities in the rural area
effectseffects
- rural area and agriculture became the main absorber of the shocks generated by the
restructuring of overall economy (Urban→Rural migration)
- private land ownership being one of the main means to meet the subsistence needs
of the rural household members
The Romanian rural area and the The Romanian rural area and the land ownership become aland ownership become a
“ “social buffer” for more than 40% social buffer” for more than 40% of the population of the population
holdings under 5 ha holdings under 5 ha
93% of the total number of holdings 93% of the total number of holdings
Resilience 2014 – 4 and 5th May – Montpellier, France
Population in Romania in total and by area, 1960-2010 (in million and percentage)
Resilience 2014 – 4 and 5th May – Montpellier, France
Importance of agriculture in the Romanian economy, as compared to EU-28 and some EU countries'
Resilience 2014 – 4 and 5th May – Montpellier, France
Farm population (upper panel) and farm land (lower panel): distribution by agricultural size (%, 2010) [figures in square brackets indicate average agricultural farm size)
0%10%20%30%40%50%60%70%80%90%
100%
Slovenia Croatia Romania Lithuania Latvia Poland Hungary Estonia Slovakia Bulgaria Czech R.
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
[6.5 ha] [5.6 ha] [3.4 ha] [13.7 ha] [22 ha] [10 ha] [8.1 ha] [48 ha] [77 ha] [12 ha] [152 ha]
0-10 ha 10-50 ha 50-100 ha >100 ha
Source: Eurostat, Agricultural Census 2010
Resilience 2014 – 4 and 5th May – Montpellier, France
Structure roMain characteristics of Romanian farms according
to their economic dimension (2010)
Standard output group
% in total no.
of holdings
% in total UAA
SO/holding
SO/AWU
UAA/holding
AWU/holding
UAA/AWU
LSU/UAA
< 2 000 € 72.98 21.5 666 2772 0.9 0.2 3.8 0.4
2000 - 3999 € 15.61 10.6 2845 4469 2.3 0.6 3.7 0.8
4000 - 7999 € 8.11 9.7 5387 5532 4.1 1.0 4.2 0.9
8000 -14999 € 2.03 5.2 10426 7532 8.8 1.4 6.4 0.9
15000- 24999 € 0.58 3.8 18960 10916 22.9 1.7 13.2 0.6
25000- 49999 € 0.35 6.4 34359 16192 63.3 2.1 29.8 0.3
50000- 99999 € 0.17 8.3 69429 24012 171.8 2.9 59.4 0.1
100000- 249999 € 0.11 13.1 153885 30988 423.6 5.0 85.3 0.1
250000- 499999 € 0.04 9.3 345317 32920 855.1 10.5 81.5 0.1
500000 € or over 0.03 12.1 1909287 58613 1588.4 32.6 48.8 0.5 Source: EUROSTAT database
The distribution of farm sizes in Romania (2005, 2007 and 2010)
Resilience 2014 – 4 and 5th May – Montpellier, France
Source: Eurostat (2013). * ESO refers to European Standard Output, which measures a holding's monetary output by multiplying its production of each output (crop, livestock) by a corresponding regional average value at farm-gate prices based on five-year centred moving averages.
Resilience 2014 – 4 and 5th May – Montpellier, France
non connu
[1-2[
[5-10[
[20-50[
[100-500[
>=1000
0% 20% 40% 60% 80% 100%
Repartition of the destination of production of corn by size of farm (ha) - (Ghib, 2013)
Resilience 2014 – 4 and 5th May – Montpellier, France
Structure of average monthly money income by income category and area in Romania in 2012
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Urban Rural Total
Other income
Income fromremittances
Income fromagriculture
Income fromindependent non-agricultural activities
Gross salaries andother salary rights
Source: NIS
Resilience 2014 – 4 and 5th May – Montpellier, France
2. A social buffer against development?
> Pouliquen, 2001 – Neo-peasant blocked a global reflation ? (land market, consumption…)
> Then Pouliquen, 2011 change his mind : acceptation that duality cannot be avoid – not a rapid disparition of semi-subistence farm as employment is not firstly solved in the other sector/ migration
> Ambilavence of the semi-subistence farm (Luca, )
Resilience 2014 – 4 and 5th May – Montpellier, France
2007 2008 2009 2010 2011
Rural households
Average monthly income (euro/pers./month)
139.55 157.63 150.36 151.15 167.34
Equivalent value of consumption from own resources
(euro/pers./month)45.11 44.93 42.20 44.04 55.87
% of self-consumption in monthly income 32.32 28.50 28.07 29.14 33.39
Farmer households
Average monthly income (euro/pers./month)
114.57 128.83 123.55 116.11 142.46
Equivalent value of consumption from own resources
(euro/pers./month)
53.77 57.32 52.14 49.40 71.22
% of self-consumption in monthly income
46.93 44.49 42.20 42.54 50.00
Source: NIS, TEMPO On-line data base / Monica Tudor
Total average monthly income per person
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The contribution of self-consumption to the welfare of rural households in RomaniaSource : our calculations after NIS data, TEMPO On-line data base,
www.insse.ro
Rural households
87.6
88.4 93.9
102.
6
105.
2
0
20
40
60
80
100
120
140
160
180
2007 2008 2009 2010 2011
euro
/per
s./m
onth
equivalent value ofconsumption of agriculturalproducts from own resources
soc ial transfers
disposable income (beforesoc ial transfers)
risk-of-poverty threshold (60%of median equivalised incomeafter soc ial trans fers)
Resilience 2014 – 4 and 5th May – Montpellier, France
The contribution of self-consumption to the welfare of agricultural households in Romania
Source : our calculations after NIS data, TEMPO On-line data base, www.insse.ro
Agricultural households
87
.6
88
.4
93
.9
10
2.6
10
5.2
0
20
40
60
80
100
120
140
2007 2008 2009 2010 2011
euro
/per
s./m
on
th
equivalent value ofconsumption of agriculturalproducts from own resources
soc ial trans fers
disposable income (beforesoc ial trans fers)
risk-of-poverty threshold(60% of median equivalisedincome after soc ial transfers)
Resilience 2014 – 4 and 5th May – Montpellier, France
3. Self consumption and policies: social or agricultural?
Ghib, 2013
> question of a social of economical role? Evolution of CAP and lack in the ESF
Resilience 2014 – 4 and 5th May – Montpellier, France
What Romania intends to take from the new Common Agricultural Policy
menu
• Maintain SAPS (base payments+greening) until 2020 (advantage for vegetal sector and disadvantage for livestock sector (National Transitory Payments from state budget for vegetal and livestock sector)
•Payments for young farmers under 40 years old (25% from base payments /5 years / 60 ha limit) + measures from PNDR (50 000 euro for installing in a farm between 12 000 – 50 000 euro SO and 15 000 euro for developing small farms between 8000 – 12 000 euro SO)
•Redistributive payments for farms between 5-30 ha – (unfair transfer from very small farms and medium farms with NO previsible effects on consolidation)
Level and structure of subsidies Pillar 1 (EURO) for Romanian farms in the period 2015-2020 – MADR
estimations
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2015 2016 2017 2018 2019 / 2020
1-5 ha 173130
80 – SAPS 187 145
89 188 147
90 188149
92 190152
93
50 - Greening 56 57 58 59
0 – Redistributive payments
0 0 0 0
23 – Young farmers.
23 23 23 23
20 – TNA veg. 19 18 16 15
5-30 ha 220 157
80 – SAPS 240 198
89 242 201
90 244203
92 245207
93
50 - Greening 56 57 58 59
47 – Redistributive paymens
53 54 55 55
23 – Young farmer.
23 23 23 23
20 – TNA veg. 19 18 18 15
30-60 ha 173 130
80 – SAPS 187 145
89 188 147
90 188 150
92 190152
93
50 - Greening 56 57 58 59
0 – Redistributive payment
0 0 0 0
23 – Young farmer 23 23 23 23
20 – TNA veg. 19 18 16 15
> 60 ha 150130
80 – SAPS 164 145
89 165147
90 165147
92 167152
93
50 - Greening 56 57 58 59
0 – Redistributive payment
0 0 0 0
0 – Young farmer 0 0 0 0
20 – TNA veg. 19 18 16 15
Still not decided !
• Applying small farm scheme
• An exit scheme from PNDR
Resilience 2014 – 4 and 5th May – Montpellier, France
Resilience 2014 – 4 and 5th May – Montpellier, France
Thank you!