Agricultural Holdings Recording Losses – Characteristics and Determinants

Aleksander Grzelak

Roczniki (Annals), 2022, vol. 2022, issue 4

Abstract: The aim of the article is to recognise the characteristics of farms with loss of agricultural income, as well as to determine factors shaping income in this type of units. In the article, unpublished individual data of farms continuously keeping agricultural accounts in the FADN system in the period 2004-2019 were used. It was found that the productivity of intermediate consumption has a significant influence on the formation of the income situation. In the group of larger loss-making farms, the impact of asset value was statistically insignificant. This means that it is relatively poorly managed. The same is true of debt, whose low efficiency of use translates into failed investments (or overinvestment). In the context of the conducted analyses it can be concluded that there is a group of farms which to some extent adapted to the existing support system, and the considerable assets, provide safety for their functioning also in the context of the possibility to obtain credits.

Keywords: Agribusiness; Agricultural Finance (search for similar items in EconPapers)
Date: 2022
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Persistent link: https://EconPapers.repec.org/RePEc:ags:paaero:330068

DOI: 10.22004/ag.econ.330068

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