Economic and Environmental Sustainability Trade-Off Analysis in Sheep Farming Using the Farm Accountancy Data Network Database

Paola Sau, Brunella Arru (), Federica Cisilino, Roberto Furesi, Pietro Pulina and Fabio A. Madau
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Paola Sau: Department of Agriculture, University of Sassari, 07100 Sassari, Italy
Brunella Arru: Department of Agriculture, University of Sassari, 07100 Sassari, Italy
Federica Cisilino: CREA—Council for Agricultural Research and Economics, Research Centre for Agricultural Policies and Bio-Economy c/o University of Udine, Via delle Scienze 206, 33100 Udine, Italy
Roberto Furesi: Department of Agriculture, University of Sassari, 07100 Sassari, Italy
Pietro Pulina: Department of Agriculture, University of Sassari, 07100 Sassari, Italy
Fabio A. Madau: Department of Agriculture, University of Sassari, 07100 Sassari, Italy

Sustainability, 2023, vol. 15, issue 24, 1-24

Abstract: Agriculture and livestock farming significantly contribute to the success of all United Nations Sustainable Development Goals of Agenda 2030 and are pivotal in the sustainability transition of the European agri-food sector. However, those sectors have been criticized for generating negative environmental externalities. In this context, adopting indicators able to evaluate agriculture and sheep farming sustainability is essential for fostering sustainable development in the primary sector and defining appropriate policies to support it. Such indicators are crucial for understanding if European Union policies striving to realize win–win opportunities based on synergy between farms’ environmental and economic dimensions are realistic. This paper focuses on this wave of interest and has two aims. First, it intends to investigate the existence of synergies or trade-offs between those dimensions using a trade-off analysis. To this end, a significant set of economic and environmental farm indicators was selected, and two composite indicators were created. Second, it aims to investigate the relationship between those two indicators and some pivotal structural and socio-demographic variables. This study was carried out on 219 Sardinian sheep farms included in the Italian Farm Accountancy Data Network. The findings showed a low synergy between the economic and environmental spheres, a relationship between economic indicators and farmers’ ages and organic production variables, and no relationships between the environmental dimension and the analyzed variables.

Keywords: livestock; synergies; Sardinia; sustainability indicators; European policy; dairy farming (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2023
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