Calculations undertaken by the Danish Knowledge Centre for Agriculture and the Danish Agriculture and Food Council indicate that an average full time farming operation in Denmark will attain an income of about half a million Danish kroner in 2011.

- The outlook is for a significant improvement in the earnings for full time Danish farmers in 2011 and 2012, said Klaus Kaiser, Head of Business Economics for the Knowledge Centre.

 - The higher product prises are beginning to have an impact at the farm gate for producers. At the same time production is increasing, while the costs are not increasing at the same rate. The improved situation is welcome as the past 2 years have seen a significant negative impact on the economic situation, continued Klaus Kaiser.

The low interest rates have also contributed to the improved situation.

Arable farmers obtain good prices
The biggest improvements are expected to be reached by arable farmers, pig producers and fur producers, and they have the prospect of significantly increased earnings. But expectations for milk producers remains restrained.   

- Product prices have developed slightly more positively than expected.  In particular the price effect for crop producers is significantly better than expected, said Klaus Kaiser.

Senior economist Leif Nielsen, Danish Agriculture and Food Council is pleased by the projected figures.

- Farmers have to a high degree been able to tackle the economic ups and downs to attain higher earnings. Thereby the farmers themselves have been able to bring about a significant contribution to resolving the present economic constraint of non-existent financing opportunities, said Leif Nielsen.

- Based on the expectations we have to product prices there is also reasoned hope that earnings can be maintained at a reasonable level.

Further information:

Klaus Kaiser
Head of Business Economics
T +45 8740 5175 (direkte)
M +45 2013 5175
E kak@vfl.dk

Leif Nielsen
Senior Economist
T +45 3339 4238
M +45 2724 5638
E lni@lf.dk