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Feeding questions of organic lamb fattening
155-160Views:88Organic farming has done in line with conventional farming in the Karcag Research Institute of DU CASE since 2001. Our organic farming activities were enhanced with sheep farming and
grassland management in 2005. We started our study of technology development of organic lamb fattening and the treatment of its economic effect this year. Our goal was to develop
the elements of the technology to reach a more efficient organic lamb fattening. We also studied what economic advantages the organic sheep farming could realize in the present economic environment. Our studies were carried out between 2005 and 2007. We established that the excellent ewe feeding (good quality of fodder and silage) can decrease the lamb feeding cost between the 2nd and 8th weeks of the lambs’ life. We established that the
yield of convention lambs are significantly higher than the yield of organic lambs. The cost of organic lamb fodder is significantly lower than the cost a convention lamb fodder, but the profit was higher in the case of convention lamb fattening. The organic lamb fattening technology (without extra price) is not competitive to the conventional lamb fattening technology. We think that the profitability of organic lamb fattening is significantly less than of the convention one. The organic lamb price should be 20-30% higher than the other price to be competitive. Unfortunatly there is only a little demand for organic lamb and there is no difference between the prices of organic and convention lambs, so organic sheep farmers have worse economic circumstances than conventional sheep farmers. -
Presentation of sales price reserves for live lamb
37-45Views:82Although sheep breeding in Hungary is grounded in strong traditions, its activities only comprise 1% of the total production value generated from agriculture, and 2% of that for animal-based products. The most significant portion of incomes earned in the Hungarian sheep sector has, for years now, stemmed from the sale of live animals. The sector is decidedly export-oriented, as the domestic demand for its main product, i.e. lamb meat, and is minimal, equaling some 20-30dkg per person per year. Part of the sold animals is sold to market as dairy sheep, while the greater
part is sold in the category of lamb carcasses. For this reason, the average weight of slaughter sheep has lied between 19-22 kg for years now. The target markets for live lamb sales are predominately Italy and Greece. In Greece, movement on this market has shown an upward tendency in recent years; noteworthy are also sales to Austria, Holland, Bosnia-Herzegovina and Poland. In 2003, we exported sheep meat in the form of carcasses to Italy, as well as to Germany, and of these exports, 94% went to Italy, while the remaining 6% went to Germany.
Among sheep products, only the trade balance for live animal sales is positive. But even for such producers, only those who are specialized in intensive breeding and those sheep farms “targeting” meat production can obtain earnings. Specialized literature on the sector argues that the quality of Hungarian lamb has diminished dramatically and is beginning to lose its market position. If Hungarian lamb does not meet market expectations, then it will only be bought from producers at lower prices.
My research focuses on those factors which influence price. I separately discuss the question of quality, as one of the most important decisive factors on price. Within this discussion, I describe the market expectations which actually have an effect on the acceptance of live animals for sale on commission. In practice, after the problems of quality, the next most important question is that of when sale is made. In the course of my research, I studied the development of averages for sales on commission of live lambs using statistical methods. The most important problem of this sector is the hierarchical system used in sales: this is the topic hich neither the producer, nor the buyer, wish to discuss, not even with each other. On the basis of the information at my disposal, I outlined the levels of traders and individual levels used to arrive at commission prices. Finally, I examined the components of the production value of live lamb sales. The results I obtained quantified the key role of the prices and the yield, as well as the factors influencing income. -
Special Investment Support Under the Agricultural Reorganisation Programme 1995-2000
64-73Views:67Since the political changes in Hungary, agricultural businesses have worked in a declining economic environment and hectic market situation, with a widening price gap between agricultural and industrial products and low profitability. A declining export comes then by no surprise. The sector has not been able to even benefit from export opportunities provided in the European Agreement. The area least benefiting from quotas is animal products (beef, mutton, lamb, slaughtered chicken, cheese, egg). The ministry of agriculture was lagging behind in responding to these problems, and it was as late as in 1995 when it launched a reorganisation programme for export stocks fund build-up (5).
The author has conducted empirical studies on agricultural enterprises in Csongrád county to see what results the special investment support delivered under the reorganisation programme produced. The fundamental aim of the reorganisation programme for export stocks fund build-up was to boost exportable Hungarian animal product stocks in a bid for businesses to better benefit from the preferential quotas set by the European Agreement. The author examined how the special investment support scheme succeeded in its aims, whether livestock grew considerably in its wake, whether farmers were able to attain exportable quality and what development funds enterprises were able to raise. -
How can we determine the expected prices for lambs? – Analysis of the Hungarian and Italian lamb prices
59-67Views:65The Hungarian sheep sector has become a one-market sector, almost the whole amount of slaughter lamb went to Italy, which increased its defenselessness. In addition to the sole Italian market showing a permanent demand for Hungarian lambs, it would worth to exploit possibilities in other European markets considering the seasonal differences in Italian prices. Such markets can be the Spanish and Greek for ”light” and the French, German and English markets for ”heavy” lambs. Both the Italian and Hungarian prices have three major periods: Easter, Ferragusto and Christmas. Due to the changes in the prices, the producers often suffer great losses, therefore, the temporal adaptation of production, market research, technological and development activities need to be improved. It is important that the living of Hungarian sheep breeders should not be dependent solely upon the Italian market, distribution of products should be ensured in other markets too, so that the safety of sales be increased and higher prices and higher income could be achieved. The European lamb prices are characterized by large seasonal fluctuation and the degree and timing of changes are different in the different countries. Study of the literature and the results obtained in my study on lamb sales called for an analysis and study of the possibilities of price forecasting. In my study, I performed a forecasting of lamb prices in Hungary and Italy for the period between 1996 and 2006 based on the data of the European Committee. Among the forecasting methods, seasonal decomposition and SARIMA models are the most precise, producers can achieve a better market position by using these in the practice.