THE BUSINESS RETURN EVOLUTION OF BIG FARMS IN SOUTHERN ROMANIA

Toma Adrian Dinu1, Elena Stoian1, Daniela Cretu1, Marcela Stefan2

1University Of Agricultural Sciences and Veterinary Medicine Of Bucharest, Bucharest, Romania

2University of Economic Studies, Bucharest, Bucharest, Romania

 

ABSTRACT

The purpose of the paper is to identify trends in the profitability and the impact of subsidies upon a group of large farms. The paper analyses the main financial results of 32 big farms covering 83,300 ha located on the most fertile farmland in southern Romania. Each indicator is tracked from 2010 till 2017 and then summed up to the level of the 32 farms; the analysis is made on the aggregated level. Thus, we analyze assets, capital, debts, income, turnover, expenses, net profit, subsidies, number of employees and we computed profitability and productivity. During the eight years under review, farms are capitalizing, investing in assets, they are growing and diversifying, reducing their need for loans and their indebtedness ratio. The need for capital increases, while the assignability and attractiveness fall. The number of employees increases and their productivity drops. Subsidies go up and even profit margins are small, profitability and productivity rise and thus, farms efficiency are growing.


BIOGRAPHY

Professor Toma Adrian Dinu graduated at the University of Agricultural Sciences and Veterinary Medicine – UASVM Bucharest in 1987, with the qualification of Agronomic engineer. He obtained his diploma of Advanced Studies in 1995 at Ecole Nationale Superieure Agronomique de Rennes, France, with the specialisation: Economic Policies of Agriculture and Space. He got his doctor’s degree at the University of Agricultural Sciences and Veterinary Medicine Bucharest, in 1998. He becamed Full Professor in Farm Management at the USAMV Bucharest in 2008, from November 1990 being permanently employed at the Faculty of Management, Economic Engineering in Agriculture and Rural Development, UASVM Bucharest, where he is currently at the position of Dean of the Faculty of Management. With over 30 years of experience, his working experince does not include only the fields of Education and Reserch. Between 2005 and 2007 he worked as a General Director of t for Agricultural Policies in the Ministry of Agriculture and Rural Development. One of the main activities of the Directorate of Research and Quality, compound of the General Directorate, was starting the “Plan Sectorial” in agricultural research; According to this Plan there were distributed by competition to the contractors research institutes many projects (61 from 80) considered important for Romanian agriculture. This activity in the Central administration sector and the one in management and agricultural research were conducted at the same time as the main activity in Education.He is an proficient user of French language and advanced user of English language.

A PRODUCE PRICE ANALYSIS OF REGIONAL OHIO VALLEY PRODUCE AUCTIONS

Brad Bergefurd1, Tim Woods2, Alex Butler2

1The Ohio State University, Piketon, Ohio, United States

2The University of Kentucky, Lexington, Kentucky, United States

 

ABSTRACT

Produce auctions in the Ohio River Valley play an important role in the marketing of produce in the region.  While smaller than urban-based terminal markets, these agriculture commodity aggregation points serve both local and regional buyers, providing access to wholesale markets otherwise too distant for smaller scale farmers in the area. Similar auctions have continued to start or expand throughout the Mid-South. The prices, quality, and quantity of the products distributed through these auctions vary throughout the marketing season and, subsequently, different kinds of buyers are attracted to bid. This study examines the evidence for structural market differences between early season, when prices are systematically higher, and peak season that can arise from different buyer needs relating to volume and distribution in local versus more regional outlets. Price and quantity records from two of the larger Kentucky auctions, the Fairview and Lincoln County Produce Auction are analyzed for seven different produce commodities during early and peak season. Four years of data are evaluated using structural difference regression equations to test for early versus peak temporal differences as well as specific auction effects. This information can assist produce auctions to establish market coordination with season extension and variously scaled market buyers.


BIOGRAPHY

Mr. Bergefurd is the Co-Coordinator of the 25 member multidisciplinary Ohio State University Specialty Crops Team that partners with the $180 million dollar fruit and vegetable industry in Ohio; is past Director of the Great Lakes Vegetable Working Group a 70 member multidisciplinary Team of commercial Vegetable researchers and educators and is Co-Coordinator of the Ohio Apprenticeship council approved Ohio Specialty Crops Growers Apprenticeship Program that trains new specialty crop students and growers. His teaching and field research centers on crop diagnostics and management, season extension techniques (high tunnel, plasticulture, row covers), integrated pest management (IPM), micro-irrigation management and direct marketing and his applied research focuses on plasticulture production, hops production and marketing, strawberry season extension, tomato micro-fertigation and physiological disorders of tomato at Piketon and on-farm research plots around Ohio and in West Africa. Bergefurd lectures throughout the country and internationally on integrated pest management, plasticulture technologies, hops production, strawberry crop management, crop fertility, direct marketing and wholesale produce auction management . He is a member of the American Society for Horticultural Science and the Food Distribution Research Society and serves as an Educational Advisor for the Ohio Produce Growers and Marketers Association, the Ohio Department of Agriculture OHIO PROUD program, Ohio Produce Growers and Marketers Educational Adviser; Ohio Hops Guild Academia Director and NC SARE Research & Education Technical Committee member. Bergefurd holds degrees in Horticulture Science and Agricultural & Extension Education from the Ohio State University.

KITCHEN TABLE, PILLOW AND PADDOCK

Mike Stephens

Director Meridian Agriculture

mstephens@meridian-ag.com.au

 

ABSTRACT

In Australia there are 52,140 broadacre (sheep, beef cattle and crop) farms. Few of these farms have been retained in the ownership of the same family for three or more generations.  The majority are small and only thirty percent or 15,000 have any real chance of succession from a financial perspective.

Following a literature review it became apparent that whilst there have been many studies on succession and farm business management, few if any, had compared the competencies, attributes, attitudes, skill of the owners of the businesses which have remained in the same family with those which have not

The aim of the study was to contrast farm businesses which are continuing to and beyond the third generation with farm businesses which have not been retained by the family or have been retained but are no longer viable.The case study method was chosen to conduct the research because it offered the opportunity to contrast and compare businesses of a similar size operation in a similar climatic and the same economic environment.

The key attributes and actions of the people in the continuing businesses include;  planning  for succession long before they developed a succession plan,  team work, a shared belief that the dual aims of succession and the satisfaction of self-interest of non-farming family members is possible and agreement on the end game.

THREE TO FIVE YEARS ON – THE FARM BUSINESS RESILENCE CASE STUDY OF STRATEGIC PLANNING TO ADDRESS WICKED PROBLEMS IN FARM MANAGEMENT.

Noonan, John D 1,2

1Agribusiness Management, Curtin University, Australia, j.noonan@curtin.edu.au

2Ticketyboo Management, jn@aftc.org.au

 

ABSTRACT

The Farm Business Resilience Program’s delivery of the Farm Planning training program in Western Australia has improved short to medium term physical, financial, social and environmental outcomes for farm businesses. The delivery of an experiential “learning journey”, using multidisciplinary facilitation teams to build ‘business owned’ strategic management plans led to improved strategic decision-making and business performance. Reported here is a range of  indicators, which were unavailable at IFMA 21 – where attitude changes and plans to adapt and or transform farming practices were reported. Subsequent analysis indicates improved economic performance  and improved ‘resilience’. The shift in performance is in areas potentially most affected by climate change – the low and medium rainfall areas of Western Australia. Compared to other modes of farm management training, our approach using a facilitated learning journey better enabled farm businesses to build capacity and be more innovative beyond the short term. Answers to why the program succeeded where others have not may lie in new understandings from positive psychology and neurobiology.  There are clear implications for Government policy.

BIOGRAPHY

John Noonan is experienced in teaching agriculture, agribusiness, farm management and science at the primary, secondary and tertiary levels and has consulted, taught and led training across a number of disciplines in Asia, Australasia, the Middle East and North America. John is a grandaunt in Agricultural Science majoring in Agricultural Economics, he also has post graduate qualifications in Education, Agricultural Extension and Natural Resource Management. Currently, in addition to teaching undergraduate agribusiness, delivering industry short courses and leading agricultural extension and outreach programs, he is preparing a PhD dissertation by supplication on the nexus between ‘wicked problems’, strategic management and planning and the adoption of innovations by farmers’.

MODELS OF SERVICE DELIVERY FOR CASI IN THE EGP: OPPORTUNITIES AND CHALLENGES

R Murray-Prior1,2, MF Rola-Rubzen2, KK Das3, R Kumar4, MM Anwar5, Md M Rashid6, B Sapkota7, G Mishra8

1AgribizRD&E Services, Yungaburra, Qld

2University of Western Australia, Perth, WA

3Uttar Banga Krishi Viswavidyalaya, Coochbehar, West Bengal, India

4Bihar Agricultural University, Purnea, Bihar, India

5Bangladesh Agricultural Research Insititue, Rajshahi, Bangladesh

6RDRS, Rangpur, Bangladesh

7National Agricultural Research Council, Nepal

8iDE, Kathmandu, Nepal

 

ABSTRACT

This paper reports on investigations into models of service delivery for smallholder farmers in the East Ganges plains associated with the Sustainable and Resilient Farming Systems Intensification project with a view to providing cross-regional and cross-country comparisons of the context, design, performance, impact and sustainability of the models. Models developed and supported by project partners in the Dhanusha and Sunsari districts of Nepal; Coochbehar and Malda districts of West Bengal, India; Purnea and Madhubani districts of Bihar, India; and the Rangpur-Dinajpur districts of Bangladesh were investigated. Evidence was collected from organisation documents and interviews with model participants and stakeholders. Most were producer group models, supported by government or NGOs, along with two commercial service models supported by NGOs. Groups focused on farmer productivity, with some extending to provision of input, machinery and marketing services. Some may prove sustainable and suitable for scaling out and could be adopted by government, donors and NGOs, but cooperative models have inherent weaknesses. All will require continuing support to build and maintain capacity, while government should also focus on improvements to the enabling environment.

FARM INNOVATION AND PROPOSED SYSTEM FOR ENTREPRENEURS AND FARMERS TO OPERATE FOR MUTUAL BENEFIT

SIMON WARD

Increment Limited and The Policy Group

Simon.Ward@increment.co.uk

 

ABSTRACT

Innovation is crucial to economic growth and the alleviation of poverty. It does not just concern new production technology but also new business structures and marketing techniques. UK farmers tend not to maximise financial profit but wellbeing, which includes amenity and social gains. Where these objectives are met exposure to new risk is often considered unnecessary. However, this is only where profit is sufficient for cash needs. The removal of subsidy in the UK increases the need for new thinking. Imaginative joint ventures can enable new products to be developed while minimising production cost.

UK farmers need to move away from commodity production and commodity markets in order to achieve price premiums. Marketing mechanisms, contracts and branding have a role at least equal to the production of unique products.

A system is described allowing the entrepreneur to provide ideas, specialist skills and specialist equipment and the farmer to provide land, buildings and general equipment, livestock and, most importantly, economies of scale. The division of return reflects relative risk.


BIOGRAPHY

Simon Ward is an established agricultural and renewable energy business consultant with over 30 years’ experience. He is based in Cambridge, England. Clients range from farmers to multinationals. He works both in the UK and abroad. Simon is a graduate in Agricultural Economics from Balliol College Oxford University.

HOW FARMERS ADD INCOME

ROSALIND M GOUGH

John Easterbrooke and Partners, Shaftesbury, Dorset, United Kingdom

 

ABSTRACT

This paper is a review of on-farm diversification projects as practised by family farms in the South West of England and covers just a few of the options that are being used to reduce risk and ensure the workable profits that are needed for a family to remain


BIOGRAPHY

I am a farm advisor in a small consultancy practice in the South West of England. I have over 40 yeas experience as an independent professional farm advisor with specialist knowledge of finance, dairying , the arable sector and the environment and over the last 25 years have guided all my clients so that their businesses are secure in to the future . Increasingly this has led to the inclusion of a diversification project and almost all my farms now have some income to help to risk proof their enterprises. I am fully conversant with all the associated recording procedures and I assist with paperwork as required.I am a Fellow of the British Institute of Agricultural Consultants and have been a Past Chairman of the Institute. I am a member of numerous rural and agricultural societies .

IFMA

The objective of the International Farm Management Association is to further the knowledge and understanding of farm business management and to exchange ideas and information about farm management theory and practice throughout the world. The IFMA is a non profit-making organisation and currently the Association has members in over 50 countries.

Congress Managers

Please contact the team at Conference Design with any questions regarding the Congress.

Photography Credits

Tourism Tasmania, Barnbougle Dunes, Ray Joyce, Health Holden, Graham Freeman, Joe Shemesh, Glenn Gibson, Hobart City Council, Nick Osborne, National Trust Tasmania, Dale Baldwin, Brian Dullaghan, Rob Burnett, Alistair Bett, Alice Bennett, Wai Nang Poon, Chris Crerar, Kathy Leahy, Flow Mountain Bike, Tasmanian Parks & Wildlife Service, James Bowden, Masaaki Aihara, Sean Feennessy, Bruce Irwin, Liz Knox