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International Internet Magazine. Baltic States news & analytics Wednesday, 20.06.2018, 07:01

Purchase prices in Estonian farm sector have grown in Q1

BC, Tallinn, 13.09.2017.Print version
A decline in the number of dairy cows and pigs came to a halt in Estonia in the first quarter of 2017 the purchase price of milk, pork and beef is higher than at the same time a year ago, Minister of Agriculture Tarmo Tamm said in a press release on September 11th, cites LETA/BNS.

"The situation on the dairy market has started to improve and the purchase prices for milk, pork and beef have started to rise," Tamm said, adding that in the first half of 2017 average milk yield per cow in Estonia was higher than ever before.

"By a decision of the new government coalition, the payment of transitional support to farmers was resumed and this has given producers a feeling of security to stay in business," the Center Party minister said. "The increase in the purchase price of milk gives us hope that we are past the low ebb."

The average purchase price of milk in the first six months of 2017 was 318 euros per ton, 44% higher than in the corresponding period a year ago. The purchase price of beef was higher by 6% and the purchase price of pork by 15%, whereas the purchase price of mutton and goatmeat was lower by 5%.

In the six months 395,000 tons of milk was produced in Estonia, one% less than during the same period in 2016. Average milk yield per cow was 4,575 kilograms.

The decline in the number of dairy cows has stopped, just like the downtrend in the number of pigs. At the end of the second quarter the number of pigs was by 2.4% bigger than at the end of the first quarter.

As at June 30 there were 257,200 heads of cattle, including 86,400 dairy cows, 287,300 pigs, 104,900 sheep and goats, and 2.1 million poultry in Estonia, according to Statistics Estonia. 

The total area sown with cereals was 330,700 hectares, 6% smaller than a year ago, according to tentative figures available from Statistics Estonia. "The weather of this spring was suitable for cereals and our fields grew a very good crop," Tamm said.

In 2017, five area-based kinds of direct support and one animal-based direct support is paid to farmers in Estonia. In addition, transitional support is paid to farmers starting from this year. Of the latter two area-based kinds and five animal-based kinds are paid. The budget of direct farm support for this year is 123.7 million euros, bigger by 9.1 million euros than in 2016. The budget of transitional support is 19.28 million euros.

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