Dutch agriculture is less competitive

Dutch government puts study into perspective

Dutch agriculture is losing its competitive edge in the EU. This is the result of a study by the Institute for Agricultural Economics LEI at Wageningen University. Between 1994 and 2001, the Dutch gross production value increased by an average of 0,7 percent annually; the EU-15, on the other hand, recorded a higher average growth rate of 1,3 percent.

According to the study, agriculture in Spain has grown the most with five percent - especially in pig farming and horticulture. The LEI expects that in a few years Spain will become the largest pork producer in the EU. Sufficient space and workers are available for this expansion. In addition, in contrast to the Netherlands, there are hardly any animal and environmental protection restrictions there. These factors caused higher production costs in the Netherlands.

However, the Dutch Ministry of Agriculture put the research results into perspective: "We have a stable starting point." Dutch farmers are hardly dependent on EU subsidies. Therefore, the planned reduction of EU support measures for agriculture will cause fewer problems for Dutch farmers than their counterparts in other countries.

Source: Bonn [ZmP]