Real income from agriculture – second estimate, 2024

Value of crop production higher 

The value of crop production in 2024 is expected to amount to EUR 882 million, which is nominal 9% more than the previous year. The main reason for the higher value is a larger production volume (by a tenth) despite lower nominal prices (by 1%). At aggregate groups of crops a smaller production volume is expected only for wine (by 14%). For all other groups, an increase in production is expected, the highest for olive oil, by almost twice, as the harvest in the previous year was poor. 

For fodder crops, which are the largest group in crop production in terms of value, a 5% lower production value is expected due to lower prices (by a tenth), despite a 5% larger volume. The value of production is expected to decrease by 7% for wine, while for all other groups higher production values are expected.

Value of livestock production at the previous year’s level

The volume, prices and value of livestock production are expected to stay at the previous year’s level, so the value is expected to be EUR 730 million. A decrease in value is expected in animal production (by 1%) due to lower prices, while the value of animal products is expected to remain unchanged.

The growth rate of animals is expected to be higher in almost all categories, except for cattle and horses, where the output is expected to be lower by 2% and 4%, respectively.

For milk, which has the greatest impact on the value of animal products, with a higher production volume (by 1%) and similar prices as the previous year, we expect a higher production value (by 2%) and estimate it at EUR 262 million. For eggs, a decrease in value (by 1%) is expected due to a smaller production volume (by 2%), while prices are expected to be slightly higher (by 1%).

The value of total agricultural production in 2024 is estimated at EUR 1,651 million, which is 4% more than the previous year, due to a larger production volume (by 5%) and lower prices (by 1%).

Lower costs due to cheaper inputs

In 2024, input prices are expected to decrease by 5%, which, with unchanged input consumption, is expected to result in a decline in the value of total intermediate consumption (by 5%). Due to lower prices, fertilizer costs are expected to decrease by almost a quarter, feed costs by almost a tenth and energy by 3%. An increase in expenditures is expected for seeds and seedlings (by more than a tenth), maintenance of machinery and equipment (by 6%), and veterinary costs (by 5%). The total intermediate consumption is estimated at EUR 948 million.

Real factor income in agriculture up

Due to the higher value of agricultural production and lower costs, we predict that the real factor income in agriculture will increase by 19% (nominal by 23%) over the previous year, if subsidies remain at the same level in real terms as in the previous year. Real factor income per annual work unit (AWU) is expected to be higher by 21% (nominal by 24%). As in previous years, a slight reduction in employment (by 1%) is expected.