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The relationship between animal welfare and economic performance at farm level: A quantitative study of Danish pig producers

Author

Listed:
  • Arne Henningsen

    (Department of Food and Resource Economics, University of Copenhagen)

  • Tomasz Gerard Czekaj

    (Department of Food and Resource Economics, University of Copenhagen)

  • Björn Forkman

    (Department of Large Animal Sciences, University of Copenhagen)

  • Mogens Lund

    (Division for Food Production and Society, Norwegian Institute of Bioeconomy Research)

  • Aske Schou Nielsen

    (Department of Food and Resource Economics, University of Copenhagen)

Abstract

We propose a theoretical framework for the relationship between animal welfare and the economic performance of livestock farms. We empirically analyse this relationship based on a unique data set of randomly sampled Danish pig herds that includes information from unannounced inspections of the compliance with the animal welfare legislation. We find large variations in economic performance indicators and animal welfare indicators. The relationship between these two indicators is rather weak, but tends to be slightly positive. We conclude that management has a major influence on both economic performance and animal welfare so that good farm managers are able to obey all animal welfare regulations and, at the same time, achieve a high economic performance.

Suggested Citation

  • Arne Henningsen & Tomasz Gerard Czekaj & Björn Forkman & Mogens Lund & Aske Schou Nielsen, 2016. "The relationship between animal welfare and economic performance at farm level: A quantitative study of Danish pig producers," IFRO Working Paper 2016/05, University of Copenhagen, Department of Food and Resource Economics.
    • Handle: RePEc:foi:wpaper:2016_05
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    References listed on IDEAS

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    Cited by:

    1. Carmen De-Pablos-Heredero & Jose Luis Montes-Botella & Antón García-Martínez, 2018. "Sustainability in Smart Farms: Its Impact on Performance," Sustainability, MDPI, vol. 10(6), pages 1-16, May.
    2. Uehleke, Reinhard & Seifert, Stefan & Hüttel, Silke, 2020. "Animal welfare and production efficiency in German pork production," 60th Annual Conference, Halle/ Saale, Germany, September 23-25, 2020 305600, German Association of Agricultural Economists (GEWISOLA).
    3. Zhu, Liyun & Schneider, Kevin & Oude Lansink, Alfons, 2023. "Economic, environmental, and social inefficiency assessment of Dutch dairy farms based on the dynamic by-production model," European Journal of Operational Research, Elsevier, vol. 311(3), pages 1134-1145.
    4. Juan Cabas Monje & Bouali Guesmi & Amer Ait Sidhoum & José María Gil, 2023. "Measuring technical efficiency of Spanish pig farming: Quantile stochastic frontier approach," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 67(4), pages 688-703, October.
    5. Doris Läpple & Osayanmon Wellington Osawe, 2023. "Concern for animals, other farmers, or oneself? Assessing farmers' support for a policy to improve animal welfare," American Journal of Agricultural Economics, John Wiley & Sons, vol. 105(3), pages 836-860, May.
    6. Schulte, Hinrich D. & Armbrecht, Linda & Bürger, Rasmus & Gauly, Matthias & Musshoff, Oliver & Hüttel, Silke, 2018. "Let the cows graze: An empirical investigation on the trade-off between efficiency and farm animal welfare in milk production," Land Use Policy, Elsevier, vol. 79(C), pages 375-385.
    7. Troncoso, Ricardo & Cabas, Juan & Guesmi, Bouali & Gil, José María, 2023. "A cross-country comparison of pig production systems performance: Evidence from EU countries," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 23(02), December.
    8. Uehleke, Reinhard & Seifert, Stefan & Hüttel, Silke, 2020. "Animal welfare and production efficiency in German pork production," 94th Annual Conference, April 15-17, 2020, K U Leuven, Belgium (Cancelled) 303695, Agricultural Economics Society - AES.
    9. Stefan Gunnarsson & Katarina Arvidsson Segerkvist & Torun Wallgren & Helena Hansson & Ulf Sonesson, 2020. "A Systematic Mapping of Research on Sustainability Dimensions at Farm-level in Pig Production," Sustainability, MDPI, vol. 12(11), pages 1-15, May.

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    More about this item

    Keywords

    animal welfare; gross margin; technical efficiency; pig farms; Denmark;
    All these keywords.

    JEL classification:

    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

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