IDEAS home Printed from https://ideas.repec.org/a/ags/spreea/187617.html
   My bibliography  Save this article

Determinants of on-farm diversification: The case of farmers in Catalonia

Author

Listed:
  • Butinya, Lluis
  • Velazco, Jackeline
  • Rigall-I-Torrent, Ricard

Abstract

En las ultimas decadas, el sector agricola y ganadero en Espana ha experimentado una disminucion de su contribucion al PIB y al empleo. Dado que la industria alimentaria y el mantenimiento de los recursos naturales en las zonas rurales dependen de las explotaciones agricolas y ganaderas,, es relevante analizar la diversificacion de las explotaciones agricolas como estrategia para aumentar sy rentabilidad y evitar su abandono. Este trabajo analiza los factores que explican la participacion en actividades de diversificacion en las explotaciones agricolas en Cataluna. Un modelo teorico explica las decisioens de asignacion del tiempo de los agricultores. El analisis empirico se realiza con una muestra de 3.435 explotaciones de la Encuesta sobre la Estructura de las Explotaciones Agricolas del 2007. Los resultados de un modelo logit evidencian que la ubicacion en zonas desfavorecidas y un bajo peso del sector primario en el PIB favorecen la diversificacion agricola. Las explotaciones que son propiedad de personas juridicas, la extension de la tierra cultivable y el margen bruto tambien afectan positivamente a la diversificacion. Las explotaciones dedicadas tanto a la agricultura extensiva como a la intensiva diversifican. Por ultumo, la formacion y edad del responsable de la explotacion influyen positiva y negativamente, respectivamente, en la diversificacion. In recent decades, the agriculture and livestock sector in Spain has experienced a decline in its contribution to GDP and employment. Since the food industry and the maintenance of natural resources in rural areas largely depend on agriculture and livestock farms, analising on-farm diversification as a strategy to increase profitability and to try to avoid their abandonment is a relevant issue. This paper explores the factors affecting participation by farmers in Catalonia in on-farm diversification activities. A theoretical model explains farmers' time allocation decisions. The analysis of the 2007 Farm Structural Survey with a sample size of 3,435 farms using a logit model reveals that location in disadvantage areas and a low weight of the primary sector in GDP encourage on-farm diversification. Holdings owned by legal persons, arable land size and gross margin also exhibit a positive impact on diversification. Holdings engaged in both extensive and intensive farming also carry out on-farm diversification. Finally, agricultural training and age of the farm manager positively and negatively influence diversification, respectively.

Suggested Citation

  • Butinya, Lluis & Velazco, Jackeline & Rigall-I-Torrent, Ricard, 2014. "Determinants of on-farm diversification: The case of farmers in Catalonia," Revista Espanola de Estudios Agrosociales y Pesqueros, Ministerio de Medio Ambiente, Rural y Marino (formerly Ministry of Agriculture), issue 238, pages 1-28.
    • Handle: RePEc:ags:spreea:187617
    DOI: 10.22004/ag.econ.187617
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/187617/files/pdf_REEAP_r238_37_64.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.187617?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Corsi, A. & Salvioni, C., 2013. "Off-farm labour participation of Italian farmers, state dependence and the CAP reform," 2013 Second Congress, June 6-7, 2013, Parma, Italy 149886, Italian Association of Agricultural and Applied Economics (AIEAA).
    2. Magali Aubert & Philippe Perrier‐Cornet, 2009. "Is there a future for small farms in developed countries? Evidence from the French case," Agricultural Economics, International Association of Agricultural Economists, vol. 40(s1), pages 797-806, November.
    3. Mark Brady & Konrad Kellermann & Christoph Sahrbacher & Ladislav Jelinek, 2009. "Impacts of Decoupled Agricultural Support on Farm Structure, Biodiversity and Landscape Mosaic: Some EU Results," Journal of Agricultural Economics, Wiley Blackwell, vol. 60(3), pages 563-585, September.
    4. Pieniadz, Agata & Renner, Swetlana & Rathmann, Christoph & Glauben, Thomas & Loy, Jens-Peter, 2009. "Income Diversification of Farm Households: Relevance and Determinants in Germany," 111th Seminar, June 26-27, 2009, Canterbury, UK 52836, European Association of Agricultural Economists.
    5. Edi Defrancesco & Paola Gatto & Ford Runge & Samuele Trestini, 2008. "Factors Affecting Farmers’ Participation in Agri‐environmental Measures: A Northern Italian Perspective," Journal of Agricultural Economics, Wiley Blackwell, vol. 59(1), pages 114-131, February.
    6. Xavier Gellynck & Jacques Viaene, 2002. "Market‐orientated Positioning of On‐farm Processed Foods as a Condition for Successful Farm Diversification," Journal of Agricultural Economics, Wiley Blackwell, vol. 53(3), pages 531-548, November.
    7. Glauben, Thomas & Herzfeld, Thomas & Wang, Xiaobing, 2008. "Labor market participation of Chinese agricultural households: Empirical evidence from Zhejiang province," Food Policy, Elsevier, vol. 33(4), pages 329-340, August.
    8. Salvioni, Cristina & Esposito, Laura & Henke, Roberto & Rondinelli, V., 2009. "Diversification strategies in small farms in Italy," 111th Seminar, June 26-27, 2009, Canterbury, UK 53964, European Association of Agricultural Economists.
    9. Finocchio, Romina & Esposti, Roberto, 2008. "Determinants of farm diversification and interaction with the CAP. An application to FADN of Marche region (Italy)," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44251, European Association of Agricultural Economists.
    10. Mark Shucksmith & Vera Herrmann, 2002. "Future Changes in British Agriculture: Projecting Divergent Farm Household Behaviour," Journal of Agricultural Economics, Wiley Blackwell, vol. 53(1), pages 37-50, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dries, Liesbeth & Pascucci, Stefano & Gardebroek, Cornelis, 2011. "Pluriactivity in Italian Agriculture: Are Farmers Using Interlinked Strategies?," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114429, European Association of Agricultural Economists.
    2. Pauline Lécole, 2015. "Paysage des petites exploitationsagricoles en France:Typologie et analyse statistique," Post-Print hal-01417734, HAL.
    3. Melindi-Ghidi, Paolo & Dedeurwaerdere, Tom & Fabbri, Giorgio, 2020. "Using environmental knowledge brokers to promote deep green agri-environment measures," Ecological Economics, Elsevier, vol. 176(C).
    4. DESBOIS, Dominique, 2015. "La qualité du lait a-t-elle un prix ? Une estimation hédonique de la valeur des attributs spécifiques du lait de vache," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement (RAEStud), Institut National de la Recherche Agronomique (INRA), vol. 96(3), September.
    5. Wagener, Andreas & Zenker, Juliane, 2018. "Decoupled but not neutral: The effects of stochastic transfers on investment and incomes in rural Thailand," TVSEP Working Papers wp-008, Leibniz Universitaet Hannover, Institute of Development and Agricultural Economics, Project TVSEP.
    6. Mudaca, Joao Daniel & Tsuchiya, Toshiyuki & Yamada, Masaaki & Onwona-Agyeman, Siaw, 2015. "Household participation in Payments for Ecosystem Services: A case study from Mozambique," Forest Policy and Economics, Elsevier, vol. 55(C), pages 21-27.
    7. Magali Aubert & Geoffroy Enjolras, 2015. "Are short food supply chains a solution for farms facing financial difficulties?," Post-Print hal-02800273, HAL.
    8. Danilo Bertoni & Daniele Cavicchioli & Franco Donzelli & Giovanni Ferrazzi & Dario G. Frisio & Roberto Pretolani & Elena Claire Ricci & Vera Ventura, 2018. "Recent Contributions of Agricultural Economics Research in the Field of Sustainable Development," Agriculture, MDPI, vol. 8(12), pages 1-20, December.
    9. de Lauwere, Carolien & Slegers, Monique & Meeusen, Marieke, 2022. "The influence of behavioural factors and external conditions on Dutch farmers’ decision making in the transition towards circular agriculture," Land Use Policy, Elsevier, vol. 120(C).
    10. Elisa Gatto & Alba Marino & Guido Signorino, 2013. "Biodiversity and risk management in agriculture: what do we learn from CAP reforms? A farm-level analysis," ERSA conference papers ersa13p805, European Regional Science Association.
    11. Schläpfer, Felix & Baur, Ivo, 2017. "Does CAP spending reflect taxpayer preferences? An analysis of expenditures for public goods and income redistribution in relation to preference indicators," 2017 International Congress, August 28-September 1, 2017, Parma, Italy 261105, European Association of Agricultural Economists.
    12. Bignebat, C. & Bosc, P.M. & Perrier-Cornet, P., 2015. "A labour-based approach to the analysis of structural transformation: Application to French agricultural holdings 2000," Working Papers MoISA 201501, UMR MoISA : Montpellier Interdisciplinary center on Sustainable Agri-food systems (social and nutritional sciences): CIHEAM-IAMM, CIRAD, INRAE, L'Institut Agro, Montpellier SupAgro, IRD - Montpellier, France.
    13. Matthews, Alan & Salvatici, Luca & Scoppola, Margherita, 2017. "Trade Impacts of Agricultural Support in the EU," Commissioned Papers 252767, International Agricultural Trade Research Consortium.
    14. Aubert, Magali & Enjoylras, Geoffroy, 2016. "Analyse financière des exploitations fruitières et maraîchères françaises qui vendent au détail," Économie rurale, French Society of Rural Economics (SFER Société Française d'Economie Rurale), vol. 356(November-).
    15. Geoffroy Enjolras & Philippe Madiès, 2020. "The role of bank analysts and scores in the prediction of financial distress: Evidence from French farms," Economics Bulletin, AccessEcon, vol. 40(4), pages 2978-2993.
    16. Di Falco, Salvatore & Sharma, Sindra, 2018. "Investing in Climate Change Adaptation: Motivations and Green Incentives in the Fiji Islands," Ecological Economics, Elsevier, vol. 154(C), pages 394-408.
    17. Šťastná Milada & Vaishar Antonín & Vavrouchová Hana & Ševelová Miloslava & Kozlovská Silvie & Doskočilová Veronika & Lincová Helena, 2015. "Changes Of A Rural Landscape In Czech Areas Of Different Types," European Countryside, Sciendo, vol. 7(2), pages 111-133, June.
    18. Früh-Müller, Andrea & Bach, Martin & Breuer, Lutz & Hotes, Stefan & Koellner, Thomas & Krippes, Christian & Wolters, Volkmar, 2019. "The use of agri-environmental measures to address environmental pressures in Germany: Spatial mismatches and options for improvement," Land Use Policy, Elsevier, vol. 84(C), pages 347-362.
    19. Murphy, Geraldine & Meredith, David, 2015. "A typology of cattle farmers in Ireland: An overview of data, method and indicators," 2015 Conference, August 9-14, 2015, Milan, Italy 212518, International Association of Agricultural Economists.
    20. Zdeňka Žáková Kroupová & Lukáš Čechura & Matěj Opatrný & Zuzana Hloušková & Iveta Mlezivová, 2023. "Assessment of the impact of agricultural support on crop diversity," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 69(3), pages 89-100.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:spreea:187617. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: http://www.magrama.gob.es/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.