Abstract

The economy of extensive livestock farming systems in rural areas of South­western Norway was investigated by replacing 10% of intensively-fed bulls with steers and expanding sheep production to reduce pasture encroachment. Meat production was kept stable. The analysis followed an approach with sim­ple budgets and case studies. Low costs of concentrate feed and high meat prices favored intensive beef production, whereas the area and grazing premi­ums favored extensive steer and sheep systems, utilizing outlying and farmland pastures. Costs of concentrates would decrease by € 4.7–4.9 million and rural employment increase by 139–218 standard man years by the examined change. The risk in farming and community income was political as grazing-based sys­tems were more dependent on governmental subsidies. Future development of livestock farming, governmental subsidies and other measures to enhance graz­ing were discussed in relation to a few policy scenarios for future meat and feed prices.

Highlights

  • Norwegian coastal and fjord agriculture is characterized by small farms scattered along the coastline with arable land in-between heath land, small woodlots, hills and mountains

  • In the paper we examined the effects of replacing bulls with steers on farm and rural economy, and land use, by increasing the number of steers from 0.5 to 10% of slaughtered cattle, and expanding sheep farming in the area

  • Annual gross margin (GM) before subsidy payments was highest (€ 96/ha) for bulls because they were slaughtered after 12 months

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Summary

Introduction

Norwegian coastal and fjord agriculture is characterized by small farms scattered along the coastline with arable land in-between heath land, small woodlots, hills and mountains.

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