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Analysis of organic farming’s economic viability at different subsidy levels
111-118Views:65Applying a data-collection-based economic model, I analyzed the economic viability of organic farming at different subsidy levels. The database is concentrated on the Hortobagy region. On the basis of data, I built an average sized and operated organic farm model with both arable land cultivation and animal keeping activities. The analysis of viability is based on gross profit calculation and compared with the criteria of the long-term economic viability, determined by the author. This study summarizes the most important results of the analysis.
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Tools of promoting „energy-crops”
47-52Views:64The utilisation of renewable energy sources have come to front with the decreasing fossil fuel stocks, the unsolved problems and fears of nuclear energy and so the cumulating energy dependence. In Hungary the potential of biomass is the largest in renewable energy sources.
During our examinations, we analysed the promotion of producing energy crops in Szabolcs-Szatmár-Bereg county. With the examination of the territories involved in energy crop subsidies it can be stated that the energy crop subsidy had its promoting role only on those areas where because of the bad soil conditions the energy crop producing is more profitable than other alternative (non energy) crops.
The expected growth rate of energy plantations will be low, according to the low rate of subsidy intensity (40-60%). The uncertainty of direct area payments decreases the calculability that cuts back the favour of investment in short rotation forestry planting. -
Valuation of the National Agricultural Environmental Management Project’s Extensive Grassland Farming Target Project in Two Counties
20-25Views:64The National Agricultural Environmental Management Project’s (NAEMP) extensive grassland farming project is aimed at extensive cultivation on of nearly 1.1 million hectares of grassland, and at improving the state of grasslands with nature- and environment protecting methods. By using the 2002 data (the NAEMP’s first year’s data), I came to the following conclusions: Within the Extensive grassland farming project, a state subsidy was applied for on 8.94% of Hungary’s total grasslands. In Szabolcs-Szatmár-Bereg and Hajdú-Bihar counties, applied for state subsidies covered 12% of the grassland of the counties.10.45% of the projects arrived from the county of Szabolcs-Szatmár-Bereg, and 28.56% from the county of Hajdú-Bihar. In Szabolcs-Szatmár-Bereg, the support was 37.7% of the total subsidy, while in Hajdú-Bihar, it was 37.1%, unlike nationwide, which was 30.1%.The intensity of the applications is respectively 1.7 and 2.5 times more than the National (1.24) value.
In my view, in some fields, which are not between nature protected areas you’d better consider permitting intensive cultivation, simultaneously with grazing, with the observation of nature- and environmental regulations. -
Investment funding programs on dairy farms in Hajdú-Bihar County
11-16Views:166The dairy farming sector needs constant modernization of its buildings, machines and technology in order to maintain its competitiveness and productivity. For the greater scale investments, these companies try to apply for state funds in addition to their own financial sources. Therefore, the investment support system plays a great role by improving the competitiveness and modernity of these farms. In the last 10 years, 7 funding programs were available for dairy farms. In this research, 25 dairy farms were interviewed in Hajdú-Bihar County. The examined farms cover more than 50% of the milk production in Hajdú-Bihar County. The survey questions focused on the investment funding program use of farms between 2007 and 2017 and renewable energy investments including all programs. The results show how many tenders were submitted, how many were successfully evaluated and completed. All farms had at least two successfully evaluated projects. A correlation was found between completed projects by farm size and completed projects. The connection of the modernity index of dairy farms and the completed projects was also shown.
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Energy use – in terms of efficiency
61-66Views:148In the recent decades it has become apparent that the human race can lead to a polluting and energy- wasting lifestyle and the depletion of natural resources and an ecological disaster as well.
Energy efficiency is the realization of the chance to see a wider use of renewable energy. Renewable energy sources can be found in large quantities in Europe. A proper exploitation of these would be important because of the "traditional" energy sources’s sate is very critical in many ways.
The utilization of renewable energy sources depends on many factors. The local natural conditions significantly determine each country's different renewable energy potentials. I find to be important the natural conditions, such as, solar radiation intensity , the number of sunny days per year, the wind conditions , the volume and their energy characteristics of the geothermal power resources , land features , soil and rock quality, the supply of fossil fuels or the nuclear possibilities of energy production. The economic environment is also a major influencing factor for the utilization of renewables. The conditions of price of fossil fuels (natural gas, oil and coal), the price of nuclear fuel production and other energy costs significantly influence the demand for renewables, as well as the level of subsidy and government tax policy. In addition, the international and national programs, objectives, strategies, subsidies and regulatory measures as well as technological factors can have a significant impact.
In my paper I point out the opportunities of renewable energy should be given to live. Nowadays the positive effects of their use is undisputed. In addition to the environmentally friendly produced energy, we should strive for energy conservation and energy efficiency as well. These expectations appear in practice, which can be directly perceived by citizens, in fact we should live accordingly. Furthermore, the environmentally relevant regulations of living conditions should appear as environmental demands.
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Analysis of Economic Efficiency of Energy Wood Plantations
53-60Views:76After the EU-accession we should have a definite idea about what kind of production structure and land use should Hungary obtain to meet the conditions undertaken in the different governmental decisions. In the course of Hungarian land use, significant changes have taken place in the last eighty years. Further changes are influenced by the fact that according to various decisions, legislative provisions and ideas in a short time the energy orchards’ domiciliation could start in large. For this, financial support can be required from EU-sources. As for the woody energy plants, subsidies can be required for the domiciliation and as for herbaceous plants grants can be required for growing. As far as the latter is concerned, the subsidy will be around 26-27 thousand Ft/hectares according to the plans. However, the cultivation method does not have to be changed to
switch from plow-land to energy plants. The question is if the produced commodity will be received by power plants and if it ensures appropriate income for the farmer. In my research I wanted to find from the given woody energy plants which are those that are the most profitable. -
The Natural, Social and Economic Conditions and Opportunities for Development of Balmazujvaros, Especially in the Case of the Co-operative Kvaliko
77-85Views:76Balmazujvaros as a settlement near Hortobagy has to cope with both advantages and disadvantages. Its natural and social conditions are mainly given, the agricultural characteristic is dominant, and the number of the employed is the highest in the agricultural firms and processing industry. Developing the third sector, including hosting, tourism, eco-tourism, thermal-tourism, may be an opportunity for the city. The subsidy for rural development relating to the SAPARD-programme may contribute to this, as the city is the member of the Association of Hajdu Towns.
The agriculture plays an important part in Balmazujvaros in which production and marketing of vegetables and fruits excel. Several farmers realised this opportunity and founded the Marketing Co-operative of Vegetable Producers in Eastern Hungary, that is the Kvaliko. This PO works in a Corporation form and is constantly developing, spreading and expanding its choice making use of the local natural, social and economic conditions and applications for realising its investments. This PO may set an example for the other entrepreneurs and farmers of Balmazujvaros to co-operate and it may be considered as an already realised opportunity. -
Possible explanations for the transformation of the Northern Great Plain Region's labour market
69-78Views:68As a result of the processes of hungarian economy and society the increase in territorial differences is noticeable in the last few days. The changes in society's status, the rate of increase and the level of development can be tracked for example in the diverse variation of labour market. In my study I would like to demonstrate the typical processes of labour market based on the time scale between 2000-2007, and I also want to reveal the root causes of the change in unemployment rate. The source of data is a regular, representative labour-survey by the Hungarian Central
Statistical Office based on interviewing people, as well as registration on place-hunters by the Employment and Social Office together with the summary of governmental subsidy. I targeted the age-groups between 15-74 years in my analysis, but the results are not modified by the over 65 years old population because of their small economical importance. I define the status of labour market by markers among others like economical activity, employment rate, unemployment rate, and I also consider the change in the amount of registered place-hunters in the period examined. My aim is to determine the responsible coefficients of the change in unemployment rate. -
Financial interrelationships of public warehousing
80-89Views:78In my paper I examined the institutional and market connections warehouses use emphasising the role of financial institutions. I stressed that for the proper functioning of a warehouse the mutual trust of the economic participants is required. This presupposes a tight relationship between warehouses and banks, as banks have to accept warehouse warrants in such a manner that the credit suppliant can more readily access current assets credit.
Today, we can say that the moneylender bank is strongly confident about deals involving warehouse credit. The amount of goods stored in warehouses is increasing. Warehouse deals offer better conditions to depositors, which can be explained by the fact that the creditor does not examine the management and credit standing of the depositor. Most important for them is that the goods provide enough collateral to ensure marketability, and that the warehouse storage conditions are proper. On the other hand, with the support of an interest subsidy system credit is obtainable at very auspicious conditions. To top it all off, and this is the most important aspect participants can receive access to funds unavailable to them in any other case. -
Post-control of agricultural subsidies provided by EU
31-35Views:85The greatest part of the incomes (nearly fifty percent) of the European Union is spend on the agriculture and the agricultural policy is the most complex field among the common policies. In Hungary the payments from Guarantee Section of EAGGF are carried out by one Paying Agency (Agricultural and Rural Development Agency), the post audit of payments are carried out by Investigation Network of Hungarian Customs and Finance Guard on the base of Council Regulation No. 4045/89. A full co-operation of the business operators is expected during the audit, which means the presentation of the complete accounting file related to subsidies. To avoid declarations on irregularities during the audit and the following order on repayment of the subsidy, all requirements of gaining subsidies have to be kept. The state authorities, in present case the customs authority should pay special attention to the risk analysis activity, and its harmonising with the proposals and guidelines of the Commission. Getting acquainted and using in practice the actual requirements and proposals of the Commission’s guidelines is expected at all levels of the control service of the HCFG, but primarily the Special Service has to continue its present practice in this field. The measures mentioned above, respectively the effective period taken under analysis teens from the date of accession until June 2005.
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Prospects of tobacco sector due to changing of union subsidy system
45-51Views:81Some 80% of the revenues from tobacco production originate from subsidies, therefore the existence of the tobacco industry basically depends on the system of subsidies. According to the current position, in the transitional period of introduction of the CAP reform (from 2006 to 2009) at least 40% of tobacco premiums shall be decoupled from the production, while the tobacco producing member states may decide to continue to pay the remaining 60% (or a less rate, depending on the rate of decoupling) in a coupled form. Tobacco premiums shall be fully decoupled as from the 2010 crop, however farmers will be eligible only for 50% of the subsidies, and the rest 50% shall be used for subsidising rural developments in tobacco producing regions (Radóczné, 2007).
This change affects the section very seriously. In EU-15 member states this system was introduced in 2006, which resulted in giving up tobacco growing by high percentage of the farmers (70-80% reduction of tobacco production in Greece and Belgium, and 45% reduction in Portugal). In Hungary – due to the small scale of the tobacco section – this rate reduction in production would jeopardise the existence of the section, therefore we are interested in maintaining the existing system of coupled subsidies to as a large extent and for as long time as possible.
This study shows the possibility of tobacco sector before and after introducing the changes in the system of subsidies, and formulates the most serious problems and roles of the sector.