isbn 978-88-8145-302-3 LOMBARDY AGRICULTURE IN FIGURES - 2012
LOMBARDY AGRICULTURE IN FIGURES - 2012
Fondo Europeo Agricolo per lo Sviluppo Rurale: l’Europa investe nelle zone rurali PSR 2007-2013 Direzione Generale Agricoltura Editing staff Sabrina Giuca, INEA (supervisor); Maria Silvia Giannini (coordination for DGA, Lombardy Region); Alessandro Nebuloni, DGA, Lombar- dy Region; Roberto Pretolani, DEMM; Renato Pieri, SMEA; Francesca Marras, INEA; Guido Gay, ÉUPOLIS Lombardia Topical consultants Daniele Bellomo, Danilo Bertoni, Lucia Briamonte, Maurizio Castelli, Stefano Dell’Acqua, Maria Silvia Giannini, Sabrina Giuca, Teresa Lettieri, Claudio Liberati, Pietro Manzoni di Chiosca e Poggiolo, Sonia Marongiu, Renato Pieri, Roberto Pretolani, Maria Rosaria Pupo d’Andrea, Serena Tarangioli Editing revision Sabrina Giuca, Maria Silvia Giannini, Francesca Marras Processing Marco Amato, Alessia Fantini, Fabio Iacobini Editorial coordination Benedetto Venuto Editorial Secretary Roberta Capretti Layout plan and realisation Carlo Silva and staff INEA (Jacopo Barone, Piero Cesarini, Fabio Lapiana, Sofia Mannozzi) Photography Carlo Silva Internet edition Massimo Perinotto English translation James Varah Secretarial staff Lara Abbondanza and Debora Pagani We would like to thank for their collaboration: Maria Teresa Besana, Gabriele Boccasile, Isabella Brandi, Valentina Cardinale, Gloria Corti, Simonetta De Leo, Cristian Della Torre, Rita Iacono, Andrea Massari, Giovanna Nicastro, Donatella Parma, Antonio Pepe, Andrea Povellato, Marina Ragni, Roberto Tonetti In this third edition of the booklet “Lom- amounting to 7.2 billion euro, shows an Improving the efficiency of produc- bardy Agriculture in Figures 2012”, increase of 11.5%, with a significantly tion processes and farms’ profitability the research institutes INEA, DEMM increased share of 14.5% of the national remains a priority for strengthening and SMEA, with which the Agriculture total, while value added from the food the competitive capacity of the Lom- DG collaborates for its preparation, industry in Lombardy, estimated at bardy system, which should be pursued provide an updated structural and +2.4% compared to 2010, has more fa- through development strategies that economic framework for the agri-food vourable elements compared to the na- can affect individual farms or groups of system in Lombardy, based on the most tional level and other economic sectors. farms, also involving specific sectors at recent administrative and statistic In 2011 there was, therefore, a strength- different territorial levels. data, including the final results of the ening of the share of the regional sys- Structural adjustment, product inno- ISTAT 6th General Agricultural Census. tem with respect to the national, an vation and adoption of new organiza- The publication this year is also supple- expression of the overall responsive- tional models are some of the measures mented by information regarding agri- ness of Lombardy’s businesses, whose the Lombardy Region supports through food processing cooperatives, made dynamics are better than the national the Measures of the 2007-2013 Rural De- available by the Observatory of Italian economy’s as a whole, though there was velopment Programme, with spending Agricultural Cooperation. a further decline in the number of busi- progress of 86.4% of available resourc- In 2011, despite the economic crisis, ag- nesses (-1.6%). es and liquidation of more than 50% of riculture and the food industry showed While the recovery of agricultural pro- resources. Attention to agriculture also positive trends. The value of agri-in- duction, largely due to the increase in involves promotion of quality agri-food, dustrial production in Lombardy ex- prices (+11.2%), brings value to higher representation of wine, organic and ceeded 12 billion euro, up 7.3% com- levels than before the crisis, the recov- PDO and PGI, with actions designed pared to 2010, accounting for as much ery of value added seems not yet com- to consolidate and establish new trade as 16.1% of the national total and about pleted and critical elements for profit- links on international markets and to 3.7% of the region’s GDP. The value of ability were already glimpsed in the increase the presence and recognition the regional agricultural component, first half of 2012. of the specificity of these productions in 3 a positive phase for exports. cation premium and directing the first tions for farms than the ordinary credit In the face of a problematic economic flows earlier than in previous years, to market. situation, the Lombardy Region has farmers in the Mantua area affected by For more details remember that this edi- guaranteed, for the third consecutive the earthquake; this measure, alongside tion of the brochure is accompanied by year, greater liquidity to businesses, by initiatives in favour of operating credit, the annual reports of regional analysis, disbursing 50% of the 2012 single appli- provides less costly financing condi- “The agri-food system in Lombardy”.
Councillor for Agriculture of the Lombardy Region Giulio De Capitani
4 CONTENTS ECONOMY AND AGRICULTURE AGRICULTURE
Land and population pg. 10 Production levels in agriculture pg. 42 Protected Areas pg. 15 Agri-meteorological trend pg. 46 Gross domestic product pg. 20 Intermediate consumption pg. 47 Value added pg. 22 Investments pg. 49 Employment pg. 24 Prices pg. 52 Structures in agriculture pg. 55 Economic results of farms pg. 65 Credit for agriculture pg. 72 AGRI-INDUSTRIAL SYSTEM Land market pg. 74
Components of the system pg. 28 Food industry and cooperation pg. 29 Distribution pg. 33 Foreign trade pg. 35 Food consumption pg. 38
6 MULTI-FUNCTIONALITY AND AGRICULTURE AGRICULTURAL POLICY
Water management pg. 78 Regional legislation pg. 110 Forests pg. 82 Regional spending pg. 112 Agri-energy pg. 86 CAP - Pillar 1 pg. 114 Products of designated origin Rural Development Programme and traditional products pg. 89 (CAP - Pillar 2) pg. 117 Organic farming pg. 95 Agri-tourism (Farm stays) pg. 99 Direct sales pg. 102 Educational farms pg. 108 GLOSSARY
Glossary pg. 124
7
ECONOMY AND AGRICULTURE land and population
The region, totalling 23,862 square (47%), hills (12.4%) and mountains nearly 10 million residents (16.4% of kilometres, or about 7.9% of national (40.5%). In terms of population, Lom- the national population), mostly con- area, is characterised by lowlands bardy is the top Italian region with centrated in lowlands and foothills. In
Land, resident population and inhabitant density in Lombardy, 2011
Total land % Breakdown Resident population % Breakdown of Density (sq.km.) of land as of 1/1/2011 resident population (inhabitants/sq.m.) Lombardy 23,862.80 100.0% 9,917.714 100.0% 415.6 Mountains 9,672.81 40.5% 1,054,835 10.6% 109.1 Hills 2,963.62 12.4% 2,052,259 20.7% 692.5 Lowlands 11,226.37 47.0% 6,810,620 68.7% 606.7
Bergamo 2,722.86 11.4% 1,098,740 11.1% 403.5 Brescia 4,784.36 20.0% 1,256,025 12.7% 262.5 Como 1,288.07 5.4% 594,988 6.0% 461.9 Cremona 1,770.57 7.4% 363,606 3.7% 205.4 Lecco 816.17 3.4% 340,167 3.4% 416.8 Lodi 782.36 3.3% 227,655 2.3% 291.0 Mantua 2,338.84 9.8% 415,442 4.2% 177.6 Milan 1,576.59 6.6% 3,156,694 31.8% 2,002.2 Monza and Brianza 405.49 1.7% 849,636 8.6% 2,095.3 Pavia 2,964.70 12.4% 548,307 5.5% 184.9 Sondrio 3,211.90 13.5% 183,169 1.8% 57.0 Varese 1,198.71 5.0% 883,285 8.9% 736.9 Source: ISTAT. 10 these areas, the population density some dispersion in the area so that With an average annual increase in exceeds 600 inhab./km², compared only 25.5% of the population lives in the decade 2001-2010 of 1.3% versus to the regional average of 415 inhab./ municipalities with more than 50,000 0.6%, calculated on a national basis, km² and the national average of 201 inhabitants, compared to 34.7% na- the dynamic of the population is rath- inhab./km². The population shows tionally. er lively, partly because of the recent
% Land cover in Lombardy, 2007
Inhabited Agricultural areas Wooded Mountains areas Total arable permanent permanent change % absolute average areas and bodies of agricultural area crops crops pastures 1999-07 annual change water Bergamo 13.9 28.4 17.4 0.7 10.3 -5.4 -557 39.4 18.4 Brescia 11.3 35.0 27.3 2.0 5.7 -7.1 -1,611 31.9 21.9 Como 16.0 15.2 6.4 0.2 8.5 -4.3 -109 48.1 20.8 Cremona 10.6 85.5 80.7 3.5 1.2 -1.6 -300 1.6 2.4 Lecco 15.0 15.9 5.3 0.2 10.4 -9.9 -179 48.6 20.5 Lodi 12.5 80.2 75.8 3.8 0.6 -2.6 -211 3.2 4.1 Mantua 12.4 82.0 75.2 5.7 1.1 -2.8 -693 1.1 4.5 Milan 39.8 51.9 48.7 1.6 1.7 -6.3 -692 6.2 2.0 Monza and Brianza 53.4 36.2 34.2 0.3 1.7 -8.3 -166 9.2 1.1 Pavia 9.0 74.0 61.3 11.4 1.3 -2.4 -682 12.0 5.0 Sondrio 2.4 7.7 0.5 1.0 6.2 -2.9 -94 34.8 55.1 Varese 28.9 15.2 11.1 0.2 3.9 -4.8 -117 45.0 10.9 Lombardy 14.1 43.7 35.9 3.1 4.7 -3.9 -5,410 24.5 17.7 Source: ERSAF-DUSAF 2007. 11 massive migrant flows; about 10% of areas (14.1%), although these propor- level. The rate of human settlement is the population is foreign, compared to tions vary widely at the provincial very high in the provinces of Monza the national average of 7%. In 2010 there were about 12.3 million Amount of agricultural land (000 ha), 2010 tourist arrivals, 12.4% of the national total, of which 47.4% were from for- UAA Land UAA/land % eign countries, above the Italian aver- Bergamo 71.0 272.3 26.1 age. For presences, the region’s share Brescia 181.8 478.4 38.0 Como 23.7 128.8 18.4 of the national total dropped to 8.3%, Cremona 135.5 177.1 76.5 a sign of a limited average length of Lecco 10.5 81.6 12.8 stay, typical of business tourism, Lodi 55.6 78.2 71.1 which is more common in Lombardy Mantua 168.7 233.9 72.1 than elsewhere. 46.3% of tourist arriv- Milan 64.9 157.7 41.1 als are concentrated in the province Monza and Brianza 9.7 40.5 23.9 of Milan, followed by Brescia with Pavia 176.9 296.5 59.7 16.4%. 91% of arrivals were in hotels, Sondrio 75.1 321.2 23.4 with the remaining 9% to complemen- Varese 13.4 119.9 11.2 tary businesses. Arrivals in farm stays Lombardy 986.8 2,386.1 41.4 are approximately 1% of the regional Italy - North 4,568.8 11,993.0 38.1 total. Italy 12,856.0 30,132.0 42.7 Land cover, according to DUSAF (2007) figures, shows a prevalence of Lombardy/Italy - North (%) 21.6 19.9 agricultural areas (43.7%), followed Lombardy/Italy (%) 7.7 7.9 by woodland (24.5%) and populated Source: ISTAT. 12 and Milan (53.4% and 39.8%, respec- Ratio of population/agricultural land (inhabitants/100 ha UAA), 2010 tively). Cremona is the province with the greatest share of agricultural land (85.5%), while that of Lecco has the Lombardy 1,005 highest percentage of forests. Utilised agricultural area (UAA) is nearly 1 million hectares, correspond- Italy - North 608 ing to 41.4% of the regional area, in line with the national average; in par- Italy 472 ticular, regional UAA represents 7.7% of the Italian total. The province with greatest share of UAA to total surface EU-27* 289 is Cremona (76.5%); at the opposite extreme is Varese (11.2%). The data of the 6th General Agricultural Cen- Source: ISTAT. sus show a decrease of 5.1% of region- *EUROSTAT, 2007 al UAA over ten years, and a much steeper drop in the provinces of Ber- gamo (-23.6%), Sondrio and Lecco. As with population density, the ratio of resident population to agricultural area is very high, much higher than the corresponding figure for Italy and the European Community. 13 Tourist arrivals in Lombardy and Italy by type of enterprise, 2010
Total % of arrivals Arrivals Arrivals in Agri-tourism Total arrivals from abroad in hotels complementary businesses (farm stays) Bergamo 833,709 37.2 737,771 95,938 3,068 1,799,351 Brescia 2,016,536 51.3 1,500,796 515,740 28,070 8,464,905 Como 952,286 63.6 824,333 127,953 7,135 2,540,319 Cremona 189,698 26.5 169,521 20,177 6,419 361,672 Lecco 168,289 45.4 118,503 49,786 1,790 473,634 Lodi 128,374 24.7 127,280 1,094 242 211,038 Mantua 192,128 26.2 141,634 50,494 25,853 439,140 Milan 5,692,914 50.7 5,608,525 84,389 n,d, 11,589,857 Monza and Brianza 428,780 22.4 425,054 3,726 n,d, 701,235 Pavia 163,414 21.1 141,375 22,039 10,900 408,911 Sondrio 635,553 32.7 545,559 89,994 8,868 2,495,026 Varese 897,259 50.2 845,646 51,613 2,019 1,641,776 Lombardy 12,298,940 47.4 11,185,997 1,112,943 94,364 31,126,864 Italy 98,813,845 44.3 79,374,146 19,439,699 2,110,100 375,542,550 Source: ISTAT.
14 protected areas
The official list of protected natural areas in regional parks, characterized a total of 297,425 hectares, 12.5% of areas in Lombardy indicates a surface by higher levels of naturalness and regional area. However, if we exclude of approximately 134,000 hectares, mainly aimed at conservation and 19 overlapping SCIs and SPAs, the or 4.5% of the protected area at the restoration of natural characteristics. Natura 2000 network in Lombardy national level and 5.5% of the regional The set of regional parks, therefore, includes 241 sites spread over a total land area. The 105 natural areas in the covers more than 460,000 hectares of of 372,154 hectares. In the provin- region include: the Stelvio National Lombardy, of which 14% is protected cial distribution of the Natura 2000 Park, two state nature reserves (Fon- natural area; generally speaking of area, the province of Sondrio is in tana Woodland and Siro Negri Wood- park areas, inclusion should be made first place (41.3%), followed by Ber- land), 13 regional parks, 62 regional of the Stelvio National Park, bringing gamo (22.3%) and Pavia (15.6%). 36% nature reserves and 27 other protect- the total to 524,000 ha. of Natura 2000 sites in the region are ed areas, represented by natural The regional protected area also in- included in protected areas and play monuments, oases and natural areas cludes other types of protected areas: an important role in the conservation of local interest. In addition to these wetlands and areas belonging to the and protection of the most impor- natural protected areas, the system of Natura 2000 network, whose surfaces tant habitats and species. The sites, protected areas in Lombardy includes cannot be summed directly because in fact, are home to 61 species listed other types, such as multi-municipal there may be some overlap. These in Annex II of the Habitats Directive parks of local interest, whereas there represent 15.6% of the regional sur- (47 animal species) and 87 species of are a total of 24 regional parks, which face (compared to 21% covered na- birds included in Annex I of the Birds are divided into river, mountain, ur- tionally). In particular, there are 193 Directive. ban belt, agricultural and forestry. Sites of Community Importance (SCI) In 2011, 84.4% of the surface of SCIs Within the confines of the regional affecting 224,203 hectares of the sur- was classified as belonging to the Al- parks, however classified, we can face, or 9.4% of regional area, and 67 pine bio-geographical region, while identify agri-forests or uncultivated Special Protection Areas (SPAs) for the remaining 15.6% was classed as 15 Surface and number of land areas by class and region (hectares) Region National State Regional Regional Other Total % to % to Park Nature Nature Nature regional national territorial Reserve Park Reserve protected areas total surface Molise 4,059 1,190 0 50 2,291 7,590 0.2 1.4 Liguria 3,860 16 21,592 23 1,781 27,272 0.9 4.7 Valle d’Aosta 37,007 0 5,747 512 0 43,266 1.5 13.2 Friuli-Venezia Giulia 0 399 46,352 7,043 0 53,794 1.8 6.8 Umbria 17,978 0 40,629 0 4,535 63,142 2.2 7.5 Marche 61,099 6,085 22,800 493 0 90,477 3.1 9.2 Sardinia 84,205 0 6,779 0 0 90,984 3.2 3.8 Emilia-Romagna 30,729 8,246 51,578 2,627 142 93,322 3.1 4.0 Veneto 15,030 19,483 56,734 2,120 0 93,367 3.2 5.1 Lombardy 59,766 244 63,756 9,492 702 133,960 4.5 5.5 Tuscany 39,958 11,039 51,471 32,539 6,040 141,047 5.4 6.9 Piedmont 45,377 3,383 95,425 15,181 19,747 179,113 5.7 6.6 Basilicata 157,346 965 33,655 2,197 0 194,163 4.1 12.0 Lazio 26,629 25,864 114,632 43,563 6,576 217,264 7.3 12.4 Calabria 220,630 16,158 17,687 750 10 255,235 8.7 16.9 Puglia 186,177 9,906 66,024 5,870 0 267,977 4.4 6.6 Sicily 0 0 185,551 85,164 3,026 273,741 9.3 10.5 Trentino-Alto Adige 70,968 0 207,651 2,211 1,790 282,620 9.7 20.8 Abruzzo 219,432 17,783 56,450 10,329 1,057 305,051 10.4 28.1 Campania 185,431 2,014 150,143 10,076 2,541 350,205 11.2 23.9 Italy 1,465,681 122,775 1,294,656 230,240 50,238 3,163,590 100 9.7 Protected land areas (n.) 22 146 105 335 144 752 - of which: Lombardy 1 2 13 62 27 105 Source: MATTM - Nature Conservation Board, EUAP, 2005; Official list of protected natural areas, 6th updating of 27 April 2010. 16 continental. Among the SCIs in Lom- tinosa and Fraxinus excelsior, woods 24.5% are continental. Unlike SCIs, bardy, some are “priority” for which of Pinus mugo and Rhododendron whose extension has remained the the EU has required special attention: hirsutum and peat bogs. same for the five years of 2006-2011, acidophilus grasslands of Nardus In Lombardy, 75.5% of SPAs fall in the the surface of SPAs in the Alpine bio- Stricta, alluvial forests of Alnus glu- Alpine bio-geographical region while geographical region has increased
Distribution of protected natural areas in Lombardy
National Park 44.6%
State Nature Reserve 0.2%
Regional Nature Park 47.6%
Regional Nature Reserve 7.1%
Other regional protected areas 0.5%
Source: MATTM - Nature Conservation Board, EUAP, 2005; Official list of protected natural areas, 6th updating of 27 April 2010. 17 considerably compared to 2006 Regional parks in Lombardy (+66.9%), signifying the region’s im- Park (ha) Natural area to park (%) portance to this type of environment, Parco Adamello 50,935 43 which includes 40% of European flora. Parco Adda Nord 6,900 28 The variety of environments and the Parco Adda Sud 24,343 0 coexistence of agriculture, forestry Parco Agricolo Sud Milano 47,055 0 and grazing make the Natura 2000 Parco Alto Garda Bresciano 37,452 15 Parco Campo dei Fiori 6,337 24 network in Lombardy relevant within Parco Colli di Bergamo 4,683 21 the framework of the National Strat- Parco Grigna Settentrionale 5,541 0 egy on biodiversity. Parco Groane 3,696 35 The special “Agriculture” project Parco Lombardo della Valle del Ticino 91,618 22 Parco Mincio 15,859 0 supported by the region aims to pro- Parco Monte Barro 645 64 mote sustainable agriculture within Parco Monte Netto 1,470 0 protected areas and regional parks. Parco Montevecchia e Valle del Curone 2,746 74 On one hand, this allows the best de- Parco Nord Milano 641 13 velopment of agri-food products and, Parco Oglio Nord 15,173 0 Parco Oglio Sud 12,745 0 on the other, the restoration and con- Parco Orobie Bergamasche 69,860 0 servation of natural elements of agri- Parco Orobie Valtellinesi 44,094 0 cultural land (wetlands, hedgerows, Parco Pineta di Appiano Gentile e Tradate 4,833 76 woodlands, meadows), which are very Parco Serio 7,514 0 Parco Spina Verde 967 88 important for the growth and mainte- Parco Bosco delle Querce 44 100 nance of biodiversity. Parco Valle del Lambro 8,179 52 TOTAL 463,329 14 Source: Lombardy Region - DG systems of greenery and landscape, October 2011. 18 Extension of Natura 2000 sites by region (ha)*
600,000
500,000 568,736 529,838
400,000 474,597 441,630 414,679 395,537 396,837 387,076
300,000 372,067 362,725 319,392 200,000 256,863
100,000 173,411 164,774 149,733 149,819 146,213 147,354 120,200 118,724 98,933 0
Sicily Trento Lazio Puglia Veneto Liguria Umbria Molise Bolzano Tuscany Marche Abruzzo Calabria Sardinia Piedmont Campania Basilicata Valle d'Aosta Lombardy Emilia-Romagna Friuli-Venezia Giulia
* The number and extension of Natura 2000 sites by region is calculated excluding overlapping of SCIs and SPAs. Source: MATTM, 2010. 19 gross domestic product
GDP in Lombardy, corresponding to lar parameters at the national and EU crease from the previous year (-6.3%), 20.7% of the national GDP and 2.6% of levels. 2009 was a difficult year for worse than the national average, -5% the EU’s, is the highest among the Ital- the Italian economy and in particu- between 2008 and 2009. On an an- ian regions. The last available regional lar for the region. Lombardy’s GDP, nual basis, productivity of labour also data at current prices (for 2009 updat- measured in chain indexes (pre-Feb- dropped, by 3.3% compared to -2.5% at ed in February 2012) is approximately ruary 2012), shows a significant de- the national level. 317 billion euro, followed by Lazio (with 165 billion, equivalent to 10.8%), Trend in GDP per inhabitant in Trend in GDP per work unit in the Veneto (with 141 billion, equal to Lombardy (euro), 2003-2009 Lombardy (euro), 2003-2009 9.2%) and Emilia-Romagna (135 bil- lion, equal to 8.8%). This figure is in- GDP/Inhabitant GDP/Work unit teresting when compared to that of the Year Current Chain Year Current Chain regional population, which represents prices indexes prices indexes 16.3% of the national and 1.96% of the 2003 30,449 27,779 2003 62,570 57,085 EU-27 totals. It follows that the GDP 2004 31,058 27,667 2004 64,433 57,398 per capita in Lombardy, amounting to 2005 31,544 27,554 2005 66,197 57,824 32,400 euro, follows the per capita val- 2006 32,356 27,836 2006 67,328 57,923 ues of Valle d’Aosta and Trentino-Alto 2007 33,442 27,994 2007 69,796 58,424 Adige and is 27.7% higher than the na- 2008 33,425 27,233 2008 70,715 57,616 tional level and 37.7% higher than the 2009 31,780 25,281 2009 70,039 55,715 Community’s. Lombardy/Italy (2009) 1.26 1.26 Lombardy/Italy (2009) 1.12 1.12 GDP per unit of labour (AWU), in cur- Lombardy/North-Italy (2009) 1.06 1.06 Lombardy/North-Italy (2009) 1.07 1.07 rent terms, is approximately 71,300 Lombardy/EU-27 (2009) 1.35 1.23 Lombardy/EU-27 (2009) 1.33 1.21 euro, 13% and 35.4% higher than simi- Source: ISTAT, Regional economic accounts. Source: ISTAT, Regional economic accounts. 20 Trend in GDP in Lombardy (million euro), 2003-2009*
350,000 323,973 310,952 300,000 263,961 247,359 250,000
200,000
150,000 Current prices
100,000 Chain indexes
50,000
0 2003 2004 2005 2006 2007 2008 2009
* Chain indexes - year of reference 2000. Source: ISTAT, Regional economic accounts. 21 value added
68.3% of value added (VA) In Lom- VA at basic prices1 by sector in % Share of VA from agriculture1 to bardy comes from the service sector Lombardy (million euro), 2009 GDP, 2010 and 30.7% from industry, while the VA contribution of the primary sector 1.0% Lombardy 1.0 is only about 1%. This share is lower Italy 1.8 than the averages for Italy, the Com- Italy-North 1.4 30.7% munity and the regions of northern Italy-Centre 1.4 Italy, but is comparable with Germany Italy-South and Islands 3.2 and the United Kingdom. The trend of EU-27 1.7 the last decade confirms, as in the rest Belgium 0.7 of Italy, a gradual loss of importance in 68.3% Bulgaria 4.9 the primary sector in relative terms. Denmark 1.3 Despite the low percentage from the France 1.8 Germany 0.8 agricultural sector, Lombardy, with a Greece 3.1 share of 11.4%, contributes more than Agriculture, forestry and fishing 2,771 Netherlands 1.8 the other regions to value added in the Poland 3.7 nation’s agriculture and forestry. Industry, including building 86,817 Portugal 2.2 The regional VA, after dropping below United Kingdom 0.6 the 1% threshold in 2009, partly be- Services, including the public sector 192,940 Romania 6.7 cause of the large losses in value add- Spain 2.6 ed from agriculture (-13%), reversed Total 282,528 Sweden 1.7 its path, with an increase of 1.7% in Hungary 3.8 2010 (whereas industry declined 1 Values at current prices. 1Agriculture, forestry and fishing. sharply) and 11.7% in 2011. Source: ISTAT, Regional economic accounting. Source: ISTAT, Regional economic accounting; EUROSTAT. 22 VA from agriculture1 to total2 (%)
3.0
2.5
2.0
1.5
1.0
0.5
0.0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Italy Italy - North Lombardy
1Agriculture, hunting and fishing. 2Values at current prices. Source: ISTAT, Regional economic accounting. 23 employment
In 2011, total employment in Lom- agriculture, who accounted for 35% Work units by sector in Lombardy bardy, equal to 4.27 million, repre- of total employed (compared with (‘000 units), 2009 sented 18.6% of the national work- 48% nationally) are the component force; some 57,500 workers were that has dropped the most in recent employed in agriculture, correspond- years; although independent workers, 2.7% ing to 1.3% of total employment In after a stable period, have shown a Lombardy and 6.8% of the agricultural downturn. 33.5% labour force in Italy. The percentage The share of female workers in agri- of the agricultural labour force to to- culture in Lombardy was 18.8% in tal in Lombardy is below the national 2011, lower than for the economy average, equal to 3.7%, and that of the as a whole, for the northern regions 63.8% EU, which is 5%. (26.1%) and for Italy (29.2%). Between 2010 and 2011, employment In Lombardy, according to the census, in agriculture fell by 11% (-7,000 foreign workers in agriculture (more units), while the service sector (64%) than 16,000 units) have a significant dropped by 0.2% (-5,000 units). The presence, representing 42% of non- Agriculture, forestry and fishing 121 employed in industry (34%) increased family labour and 12% of the total, al- Industry, including building 1,486 by 1%, compared with a total regional most twice the Italian average. Mostly, balance of zero; the balance is sub- they come from non-EU countries. Services, including the public sector 2,833 stantially stable nationally as well In Lombardy, employment in agricul- Total 4,440 (+0.4%), where the drop in agricultur- ture, expressed in terms of work units al and industrial workers was attenu- (AWU) and based on 2009 ISTAT data, ated by services. represents a share of 2.7% of the re- In the region, dependent workers in gional total, compared to 33.5% for Source: ISTAT, Regional economic accounting. 24 industry and 68.3% for services. If we has been a trend to an increase in % Share of workers in agriculture1 to take into account that the value added value added per AWU and per agricul- total of the economy, 2011 from agriculture accounts for only 1% tural worker, with a certain shrinkage % of regional VA, we see a strong differ- of the productivity gap per employee Lombardy 1.3 ence in productivity between those compared to other economic sectors. Italy 3.7 employed in agriculture and in other In 2011, the changes in VA and em- Italy- North 2.6 sectors. The average productivity of ployment have brought about a strong Italy - Centre 2.4 an agricultural work unit at constant increase in the profitability of agri- Italy - South and Islands 6.8 prices is 58% of an average work unit cultural labour compared to the same EU-27 5.0 in services and 63% of the figure for in- framework nationally, which is basi- Austria 5.3 dustry. However, in recent years there cally stable. Belgium 1.3 Bulgaria 6.8 Denmark 2.4 France 2.9 Total and agricultural workers by gender and geographical area, 2011 Germany 1.6 Greece 12.4 Workers Agricultural workers Netherlands 2.5 Poland 12.7 ‘000 units % women ‘000 units % women Portugal 9.9 Lombardy 4,273.0 41.9 57.5 18.8 United Kingdom 1.2 Italy-North 11,925.2 42.8 310.4 26.1 Romania 28.6 Italy 22,967.2 49.7 850.4 29.2 Spain 4.2 Sweden 2.0 Source: ISTAT, workforce survey - 2011 average. Hungary 4.8 1 Agriculture, forestry and fishing. Source: ISTAT, workforce survey - 2011 average, EUROSTAT. 25 VA at basic prices per AWU and by sector (euro)*, 2003-2009
60,000 Industry Services Agriculture
50,000
40,000
30,000
20,000
10,000
0 2003 2004 2005 2006 2007 2008 2009
*Chain indexes - year of reference 2000. Source: ISTAT, Regional economic accounts. 26 AGRI-INDUSTRIAL SYSTEM components of the system
In 2011, the economic size of the agri- respectively, of 40.3% and 21.1%. The 12.1% at the national level, including food system in Lombardy was estimat- ratio between the value of agri-food forestry and fishing). The food indus- ed at 37 billion euro, or 16.2% of the production, approximately 12.3 bil- try, whose VA is about 20% of the na- value of the national agri-food system lion euro, and the value of the system tional total, accounts for 13.5% of the and 11.2% of the regional GDP. Much as a whole is one to three. In particular, value of the system (11% on a national of the final value of the region’s agri- 8.5% of the value of the regional agri- basis), while intermediate consump- food system comes from distribution food system comes from value added tion in agricultural represents 11% of and catering, with value added shares, (VA) from agriculture (compared to the total value of the system.
Main components of the agri-industrial system at basic prices in Lombardy (million Euro, 2011)
5.4% 11.0% Intermediate consumption in agriculture 4,091
8.5% Value added from agriculture, forestry and fishing 3,158 Value added from the food industry 5,015
Value added from catering 7,822 13.5% Trade and distribution 14,929
Indirect taxation on agri-industry 2,018 40.3% 21.1% Value of AES 37,032 Source: estimates based on ISTAT figures. 28 food industry and cooperation
Value added (VA) from the food in- 4.6% produce drinks. Artisan busi- only a quarter are artisan businesses, dustry in Lombardy in 2011 was es- nesses make up an important share, with a growth of 1% in the 2011-2010 timated at about 5 billion euro. This 66.4% of active businesses, with the two-year period. value corresponds to 20% of value exception of the drinks sector, where The provincial breakdown of busi- added from the national food industry and 13.5% of the value of the regional Provincial distribution of food and manufacturing businesses in agri-food system. The relative impor- Lombardy1, 2011 tance of the sector at the regional lev- el is clear from the fact that VA from Food Artisan food Manufacturing the food industry exceeds VA from Tot. % share Tot. % share Tot. % share agriculture by roughly 60%, whereas Bergamo 677 11.3 527 13.3 11,750 11.1 nationally these values are basically Brescia 878 14.7 642 16.2 15,768 14.8 equal. The share of VA from the re- Como 320 5.4 245 6.2 7,045 6.6 gional food industry to value of agri- Cremona 368 6.2 242 6.1 3,267 3.1 cultural production is 41%, compared Lecco 216 3.6 147 3.7 4,257 4.0 to 33% nationally. Lodi 132 2.2 82 2.1 1,709 1.6 There are 5,973 active businesses in Monza 323 5.4 206 5.2 9,961 9.4 the sector, or 5.6% of regional manu- Milan 1,584 26.5 864 21.8 31,497 29.6 Mantua 458 7.7 304 7.7 4,695 4.4 facturers, an increased share over Pavia 402 6.7 262 6.6 4,844 4.6 2010. There has been an annual in- Sondrio 210 3.5 136 3.4 1,430 1.3 crease of 0.7% of food businesses, as Varese 405 6.8 308 7.8 10,098 9.5 against a drop of 1.4% in total manu- Total 5,973 100.0 3,965 100.0 106,321 100.0 facturers. 96.1% of active businesses 1Active businesses. are involved in food production, while Source: Infocamere. 29 Food businesses in Lombardy, 2011 Share of business categories in food and manufacturing businesses in Lombardy1, 2011
8,000 5.2% 11.1% 7.5% 100% Capital companies 7,000 321 23.5% 54.6% 36.9% 271 Partner companies 6,000 80% 6,415 45.4% 55.6% 33.9% Individual businesses 5,000 5,702 36.4% 72 72 60% Other 4,000 25.0% 3,929 3,893 3,000 40% 29.5% 36.7% 2,000 49.3% 33.3% 58.5% 20% 1,000 37.4% 11.8% 0 0 Registered Active Registered Active Food Drinks Food Drinks Total Artisan businesses businesses businesses businesses manufacturing manufacturing business business TOTAL BUSINESSES ARTISAN BUSINESSES TOTAL FOOD ARTISAN FOOD BUSINESS BUSINESS Drinks Food 1Active businesses. Source: Infocamere. Source: Infocamere. 30 nesses is led by Milan (26.5%), fol- nesses. Workers in artisan businesses enon in agri-food processing. In 2008, lowed by Brescia (14.7%) and Ber- are more geographically distributed according to the latest available fig- gamo (11.3%). The classification is and there are about 19,000. ures, there were 300 businesses and similar for artisan food businesses, Cooperation is an important phenom- more than 4,000 employees, 5.1% but with a lower share for Milan and higher shares for the other provinces. The annual trend shows growth in Provincial distribution of workers in food businesses in Lombardy, 2010 active businesses in Brescia (+4.2%) and Milan (+1.7%) and a significant Food Artisan food decrease in Varese (-4.7%). Tot. % share Tot. % share With regard to the legal form of food Bergamo 6,791 6.8 2,581 13.3 businesses, the main types are sole Brescia 9,704 9.8 3,294 17.0 Como 3,741 3.8 1,183 6.1 proprietorships and partnerships. Cremona 7,802 7.9 1,003 5.2 There is a fair share of joint-stock Lecco 2,842 2.9 755 3.9 companies (23.5%), which are rather Lodi 2,078 2.1 418 2.2 prevalent in the production of bever- Mantua 7,224 7.3 1,435 7.4 Milan 42,425 42.7 4,095 21.1 ages (56.6%). According to INAIL fig- Monza and Brianza 4,013 4.0 1,100 5.7 ures, in 2010 alone the food industry Pavia 4,741 4.8 1,174 6.0 provided employment in Lombardy Sondrio 3,030 3.1 702 3.6 for 100,000 workers (-1.8% compared Varese 4,887 4.9 1,676 8.6 Lombardy 99,278 100.0 19,416 100.0 to 2009), or 20.6% of the national total. Italy 482,234 166,446 Employment in this sector is largely concentrated in the metropolitan area Lombardy/Italy (%) 20.59 11.67 of Milan, with a density of larger busi- Source: INAIL. 31 and 4.5% of national totals, respec- of roughly three billion euro, with an of 5.9 million euro per business. tively. The share of the national total 8.2% share of the regional food indus- Agri-food cooperatives in Lombardy is much higher for milk and dairy, try turnover, a significant though not are strongly concentrated in the which includes just under half of ag- particularly strong “weight”. In Lom- provinces of Mantua, Cremona and ri-food co-ops in Lombardy and over bardy, the average revenue per busi- Brescia, with 87.2% of the turnover 50% of workers in the sector. Agri- ness, amounting to 9.8 million euro, of the region’s agri-food cooperative food co-ops in 2008 realised turnover was higher than the national average system.
Distribution of agri-food co-ops by category in Italy and Lombardy, 2008
Lombardy Italy Lombardy/Italy Businesses Workers Businesses Workers % Businesses % Workers Milk and dairy 138 2,116 963 11,932 14.3 17.7 Services 76 626 1,547 14,802 4.9 4.2 Horticulture 26 722 1,321 30,448 2.0 2.4 Wine 18 164 611 8,619 2.9 1.9 Meat livestock 18 401 494 20,663 3.6 1.9 Other 24 145 898 7,322 2.7 2.0
Total 300 4,176 5,834 93,786 5.1 4.5 Source: Observatory of Agricultural Cooperation in Italy.
32 distribution
Lombardy has established itself as one Modern distribution sales points in Lombardy, 2011 of the leaders in Italy and Europe for N. sales points Area modern distribution: the density of sq. m. % change 2011/10 modern sales points (hyper-markets, Superettes 612 173,845 -4.0 supermarkets, superettes and dis- Supermarkets 1,090 1,082,608 0.7 count stores), in 2011, exceeded 290 Hyper-markets 230 1,221,714 4.2 Discount 555 349,475 6.3 square metres per 1,000 inhabitants. Total 2,487 2,827,642 2.6 This is a figure of absolute impor- Source: Processing of Nielsen figures. tance, similar to or greater than that recorded in more densely populated Area per 1,000 inhabitants in modern distribution sales points in European areas. Lombardy (sq.m.), 2011 The region has 2,487 modern food Superettes Supermarkets Hyper-markets Discount Super+Hyper Total distribution stores, with a total area of Bergamo 20.7 120.7 92.2 52.5 212.9 286.0 2.8 million square metres, an increase Brescia 20.3 157.6 150.6 53.6 308.2 382.1 compared to 2010 (+2.6%). The in- Como 15.6 87.5 139.2 35.4 226.7 277.8 crease in selling space, at a markedly Cremona 8.0 117.4 121.4 40.5 238.8 287.3 higher rate than the national average Lecco 14.6 87.3 123.7 38.9 211.0 264.5 Lodi 15.6 82.0 230.9 35.8 312.9 364.3 (+1.5%), affected most of the provinc- Mantua 22.0 171.4 111.4 63.7 282.8 368.5 es, with the exception of Lecco, Lodi Milan 17.0 88.2 116.3 23.2 204.4 244.6 and Sondrio. Monza and Brianza 15.8 87.0 148.8 22.2 235.8 273.7 Pavia 19.9 121.7 145.7 41.0 267.4 328.2 This phase of further development in Sondrio 59.1 117.7 138.4 44.4 256.2 359.6 modern retail mainly involves hyper- Varese 13.4 145.8 112.9 32.4 258.7 304.5 markets (+4.2%), with a net increase, Regional total 18.0 112.3 126.7 36.2 239.0 293.3 between openings and closings, of 10 Source: Processing of Nielsen figures and Observatory of Commerce - Lombardy Region. 33 sales points in 2011. Discount stores, shown lower indices of density of low- leading firms (Carrefour and Finiper). which in recent years have had dou- cost shops than the rest of Italy. This purchasing centre accounts for ble-digit growth rates, increased by In Lombardy, large private retail slightly more than 18% of regional 6.3% between 2010 and 2011, with a chains predominate. The important selling space, followed by Esd Italia net addition of 21 stores and an in- rearrangement of outlets, which took (16.2%) and Centrale Italiana (14.7%). crease above the national average, due place over the last two years, was led to fact that the region has historically by the central Cieffea, which joins two
Breakdown of modern distribution sales area in Lombardy, 2011
15.3% 18.4% Centrale Cieffea (Carrefour, Finiper, Sisa, Coralis) 521,058 Esd Italia (Selex, Agorà) 458,734 5.9% Centrale Italiana (Coop, Despar, Sigma, Il Gigante) 414,442 Centrale Auchan-Crai (Auchan, Crai) 306,151 9.2% Sicon (Conad, Interdis and Standa-Rewe) 270,964 16.2% Esselunga 258,755 Bennet 165,593 9.6% Other 431,945 14.7% 10.8% Total (sq. m.) 2,827,642
Source: Processing of Nielsen figures and Observatory of Commerce - Lombardy Region. 34 foreign trade
In 2011, the deficit in foreign trade Lombardy’s foreign trade in agri- % Share of agri-food products in of agri-food products at current prices food products at current prices the make-up of Lombardy’s trade was the worst of all time, both in Lom- (million euro) balance bardy, where it stood at 4,769 million euro, and nationally, where it reached Import Export Balance Import Export 8,956 billion euro: the deficit rose 1999 5,690 2,425 -3,265 1999 7.2 3.8 16% for the year and 23.2% in abso- 2000 6,120 2,608 -3,512 2000 6.4 3.6 lute value. This is the consequence of 2001 6,273 2,811 -3,462 2001 6.4 3.6 two phenomena common to both geo- 2002 6,283 3,025 -3,258 2002 6.5 4.0 graphical areas: on the one hand, the 2003 6,542 3,152 -3,390 2003 6.7 4.2 value of purchases on foreign markets 2004 6,844 3,278 -3,566 2004 6.5 4.1 exceeds that of exports and, in 2011, 2005 7,119 3,559 -3,560 2005 6.4 4.2 as in 2006 and 2010, exports grew less 2006 7,902 3,742 -4,160 2006 6.6 4.0 than imports. 2007 8,309 4,122 -4,187 2007 6.2 4.1 In Lombardy, the increase in exports 2008 8,559 4,571 -3,988 2008 7.1 4.4 (+5.9%) depends on growth in terms of 2009 7,929 4,214 -3,715 2009 8.2 5.1 2010 8,691 4,579 -4,112 2010 7.5 4.9 both volume (+1.9%) and price (+3.9%), 2011 9,619 4,850 -4,769 2011 7.8 4.7 while the growth in imports (+10.7%) % Change 2011/2010 10.7 5.9 is the result of a significant increase Source: Processing of ISTAT figures in SH6 classification. % Change 2011/1999 69.1 100.0 in average prices (+11.9%) and a slight decrease in volume (-1.1%). Source: Processing of ISTAT figures in SH6 classification.
Agri-food imports account for 7.8% of regional imports, whereas exports stalled at 4.7%; instead, the same per- 35 centages calculated for Italy reach Main countries of origin and destination for Lombardy’s agri-food 9.7% and 8.1%, respectively. imports and exports, 2011 The region’s main foreign market of supply is France, with a share of IMPORT 21.3% France 21.3%, followed by Germany (13.3%), Germany 32.4% the Netherlands (11.3%) and Spain Netherlands (9.5%). On the export side the top two Spain countries are France (15.2%) and Ger- Belgium 13.3% many (13.2%), followed by Switzerland 2.7% Switzerland (8.2%) and the USA (7.9%). The sourc- United Kingdom 2.7% es of supply, therefore, are less concen- Austria 2.8% 11.3% trated than export markets. 4.1% 9.5% Other Milk and dairy is the main product cat- 15.2% egory of trade both in terms of imports EXPORT France (14.9%), and exports (19.3%). Germany Switzerland 35.0% 13.2% United States of America United Kingdom Netherlands 8.2% Spain 3.9% Belgium 7.9% 4.3% 5.2% 7.1% Other
Source: Processing of ISTAT figures in SH6 classification. 36 IMPORT 14.9%
41.9% 12.3%
8.2%
6.4% Shares of imports and exports of Lombardy’s agri-food products, 2011 4.0% 6.0% 6.3% 14.9% IMPORT Milk and dairy products EXPORT 19.3% Fresh and frozen meat 41.9% 12.3% Processed and preserved fish 32.7% Feedingstuffs Oils and fats 8.2% Cereal derivatives 18.8% Sugar and sweet products 6.4% 4.6% 4.0% 6.3% Other products 6.0% 5.6% 7.1% 5.9% 6.0% Milk and dairy products EXPORT 19.3% Fresh and frozen meat Milk and dairy products Processed and preserved fish Cereal derivatives 32.7% Feedingstuffs Oils and fats Oils and fats Sugar and sweet products Soft drinks Cereal derivatives 18.8% Sugar and sweet products Prepared meats 4.6% Other products Wine 5.6% 7.1% Other products 5.9% 6.0%
Source: Processing of ISTAT figures in SH6 classification.Milk and dairy products Cereal derivatives Oils and fats 37 Sugar and sweet products Soft drinks Prepared meats Wine Other products food consumption
The average monthly expenditure per Average monthly household expenditure at current prices (euro), 2005-2011 household in Italy, in 2011, was 2,488 euro in current values, a growth of 1.4% compared to 2010. Lombardy, 3,500 with 3,033 euro per household (up 4.7% compared to 2010), is the region with the highest average monthly ex- penditure, followed by Veneto with 3,033 2,903 euro per household. 3,000 2,930 2,918 2,872 2,8862,896 2,896 Average household expenditure for food and beverages has risen nation- 2,689 2,843 2,810 2,796 ally, in current values, by 2.2% com- 2,786 2,796 2,768 pared to 2010 (with a corresponding 2,480 2,485 2,488 2,461 2,442 2,453 price increase of +2.4%), to 477 euro 2,500 2,398 monthly. In particular, expenditure increased for “meat”, “milk, cheese and eggs” and “sugar, coffee and oth- er”. In Lombardy, average monthly 2,000 expenditure for food and beverages 2005 2006 2007 2008 2009 2010 2011 was 491 euro, an increase of 3.3% compared to 2010; this figure puts the Lombardy Italy Italy-North region in fourth place, behind Campa- nia, Umbria and Sicily, regions, how- ever, with larger families and a less Source: Processing of ISTAT figures, sample survey of household consumption. 38 efficient distribution network. Average monthly household expenditure at current prices for food and The share of expenditure on food and drinks (euro), 2005-2011 beverages in Lombardy is 16.2% of the total expenditure, preceded only 500 by Trentino-Alto Adige (14.1%) and 491 490 486 486 Veneto (16.1%), while higher shares 483 477 are spent in Campania (28.7%), Sicily 480 475 (27.2%) and Calabria (25.7%). 470 467 466 475 470 473 461 467 460 456 463 464 461 450 454 455 449 440 430 420 410 400 2005 2006 2007 2008 2009 2010 2011
Lombardy Italy Italy-North
Source: Processing of ISTAT figures, sample survey of household consumption. 39 Average monthly household expenditure (euro) and percentage share for food and drinks by region, 2011
3,500 35
3,000 30
2,500 25
2,000 20
1,500 15
1,000 10 % Share for food and drinks Average monthly expenditure per family Average Average monthly expenditure (=100%) 500 5 Expenditure for food and drinks (euro)
0 0 % Share food and drinks
Sicily Lazio Puglia Italy Veneto Liguria Umbria Molise Tuscany Marche Abruzzo Calabria Sardinia Piedmont Campania Basilicata Valle d'AostaLombardy Emilia-Romagna Trentino-Alto Adige Friuli-Venezia Giulia Source: ISTAT survey on household consumption. 40 AGRICULTURE production levels in agriculture
In 2011, regional agricultural output el, crops make up more of OBP than for individual categories, in terms of at basic prices (OBP), excluding for- livestock, 53% compared to 33%. As share of OBP, milk and pork predomi- estry and fishing, and including re- lated services and activities, reached Agricultural output at basic prices, intermediate consumption and value a value of approximately 7.2 billion added in Lombardy, (million euro), 2011 euro, strengthening the region’s share Lombardy Italy Lombardy/Italy of national production value, which million euro % million euro % % is already the highest in the country Crops 2,213 30.9 26,235 53.3 8.4 (up from 13.9% to 14.5%). The region, Herbaceous 1,399 19.5 14,535 29.5 9.6 moreover, makes up 28.2% of OBP in Fodder 488 6.8 1,800 3.7 27.1 Northern Italy and, according to 2010 Tree crops 326 4.6 9,900 20.1 3.3 EUROSTAT figures, contributes 1.8% Livestock 4,275 59.7 16,294 33.1 26.2 of OBP in agriculture for the EU-27. Meat 2,429 33.9 10,118 20.6 24.0 For livestock alone, Lombardy con- Milk 1,642 22.9 4,962 10.1 33.1 Other livestock 204 2.9 1,215 2.5 16.8 tributes 26.2% of national produc- Connected services 531 7.4 6,144 12.5 8.6 tion, 37.9% in Northern Italy and 2.7% Total OBP goods and agricultural services 7,019 98.1 48,674 98.9 14.4 within the EU. (+) secondary activities* 208 2.9 1,528 3.1 13.6 The breakdown of OBP shows the re- (–) secondary activities* 69 1.0 981 2.0 7.1 gion’s strength in livestock: indeed, Total OBP agriculture 7,158 100.0 49,222 100.0 14.5 livestock production contributes 60% Intermediate consumption 4,071 56.9 23,309 47.4 17.5 of OBP, whereas crop production Value added at basic prices 3,087 43.1 25,913 52.6 11.9 makes up 31%, followed by related * Secondary activities mean those performed in agriculture and not separable from it, such as farm stays, processing of milk, fruit and meat, shown with the sign (+), and those performed in other branches of the economy within the scope of crops and livestock (for example by commercial services and secondary activities. enterprises), shown with the sign (-). On the contrary, at the national lev- Source: ISTAT, Value added at basic prices from agriculture by region. 42 nate (23.4% and 15.6%), followed by Value of agricultural output at basic prices by main category in cereals (14.2%) and beef (11.3%). Lombardy, 2011 In terms of livestock at the national level, Lombardy holds several re- Cereals and dried legumes cords, producing 40% of pigmeat, Vegetables 37.1% of cow’s milk and 25.9% of beef. 7.6% 14.2% It produces important shares of Italy’s 2.9% Industrial crops poultry meat (18.9%), eggs (17.6%) 3.6% Nursery products and honey (14.7%). Compared to 0.7% 2010, the value of agricultural pro- 1.4% Vines duction in the region rose by 11.5% 23.4% 2.3% Fruit (national production grew by 7.2%), 0.5% Other tree crops almost entirely due to the increase in 1.9% prices, while total volume remained 7.0% Fodder crops unchanged. The increase in OBP was Beef balanced between crops (+13.8%) and livestock (+11.4%), while it was more Pigmeat 7.7% 11.3% modest for related services (+4.4%) Other meats and secondary activities (+6.7%). 15,6% Crop OBP in 2011 increased mainly Milk due to the cereal sector (+31.1%) and Eggs and other industrial crops (+10.7%); for tree Connected services crops, there was a growth in value for vine products (+10.8%), while fruit Source: ISTAT, Value added at basic prices from agriculture by region. 43 was down (-14.4%) and nursery pro- compared to 2010, maize, which ac- results were also reported for rice duction dropped (-4.3%). counts for 29.6% of national produc- (41.8% of national production), whose Among cereals, which posted the larg- tion, showed an increase of 51% in value is on the rise (+13.7%) despite est increase in terms of percentages value and 13.2% in volume. Positive a modest decline in volume, and for
Main crop production in Lombardy, 2011 Volume Value1 000 t % change 2011/10 % Lombardy/Italy million euro % change 2011/10 % Lombardy/Italy
Soft wheat 228.5 -32.6 8.1 56.9 -7.3 8.1 Durum wheat 45.2 -55.5 1.2 14.8 -33.2 1.1 Barley 83.6 -34.0 9.3 17.9 -7.2 9.3 Rice 648.5 -1.3 41.8 201.1 13.6 41.7 Hybrid maize 2,880.0 13.2 29.6 654.2 51.3 29.6 Soybeans 111.5 8.9 20.4 31.9 21.4 20.4 Sugar beets 389.0 -7.6 11.1 16.1 0.3 11.0 Potatoes 29.0 -2.7 1.9 11.8 3.4 1.7 Tomatoes 505.7 -11.3 8.3 60.1 11.4 6.0 Melons 88.0 -1.1 13.3 42.4 5.0 20.0 Sold wine grapes 75.9 35.5 2.3 17.1 53.7 2.5 Wine (000 hl) 80.3 -0.5 4.7 142.8 7.3 7.9 Olive oil 0.9 -10.0 0.2 2.0 -3.0 0.2 Peaches 6.6 -2.9 0.6 1.8 -24.0 0.6 Apples 51.0 1.0 2.3 15.4 -12.0 2.3 Pears 17.6 -0.6 1.9 8.9 -25.7 1.9 Kiwi 8.5 -6.6 2.0 5.3 9.8 1.9 1 At basic prices. Source: ISTAT, Value added at basic prices from agriculture by region. 44 soybeans, with an increase of 21.4% cessed products, wine stood out, at a slight decrease in production over in value and 8.9% in volume com- 4.7% of national production in volume the previous year (-1.8%). Beef and pared to 2010. On the contrary, there and 7.9% in value, and OBP increased eggs reported increases in value and were heavy losses, especially from in value by 7.3%, while production volume, while sheep and goat produc- the point of view of volume, for other volume remained stable from 2010. tion was down for the year. cereals. For horticultural OBP, which The increase in value of OBP of live- In 2011, value added from the region’s recovered slightly compared to 2010, stock by individual product affected agriculture, approximately 3.1 billion there was an increase in production pigmeat (+14.6% in value and 1.3% in euro, increased in current terms by value of tomatoes (+11.4%); for tree volume), poultry meat (+17.8% and 11.7% compared to the previous year, crops, however, peaches, apples and 3.2%, respectively) and cow’s milk while its share of production value, of pears markedly declined. Among pro- (+11.6% in value), the latter showing 43.1%, remained stable.
Main livestock production in Lombardy, 2011
Volume Value1 000 t % change 2011/10 % Lombardy/Italy million euro % change 2011/10 % Lombardy/Italy
Beef 369.5 1.4 25.9 791.6 6.9 23.2 Pigmeat 833.8 1.3 40.0 1,096.6 14.6 39.0 Sheepmeat and goatmeat 0.9 -10.0 1.4 2.7 -9.3 1.4 Poultrymeat 320.2 3.2 18.9 447.7 17.8 17.1 Eggs (million) 2,317.0 1.2 17.6 198.2 2.8 17.0 Cow’s milk (000 hl) 4,217.7 -1.8 37.1 1,639.9 11.6 36.3 Sheep and goat milk (000 hl) 3.1 -3.2 0.5 2.5 -2.0 0.6 Honey 1.7 -5.6 14.7 5.7 4.8 14.8 1 At basic prices. Source: ISTAT, Value added at basic prices from agriculture by region. 45 agri-meteorological trends Since the beginning of 2011, the dry and not always supported by ad- the storms in mid-July caused dam- weather trend, because of anomalies equate irrigation relief, disaster oc- age to crops of maize, hay, soybeans, of extreme, difficult-to-control events curred in the Lower Brescia area. The vegetables and berries, and to struc- such as downpours, hail, drought and spring drought called for a series of ir- tures, particularly greenhouses and high temperatures, was critical for the rigation measures in the areas of the sheds used for agriculture. The excess agricultural sector in the area. Terre dei Gonzaga Consortium on the heat, which arrived in the second half Around the middle of March storms right bank of the Po and the East Ti- of August, reduced the yields of cow’s occurred which required urgent cino Villoresi Consortium. In addition milk to varying extent, depending measures to remove water from fields to maize, the main crops in difficulty on the area, and caused scorching in by consortium institutions in affected were alfalfa, May hay and other fod- the horticultural sector, in particular areas. Maize in the Lower Lodi area der crops, barley and wheat. At the pumpkins in the areas of Mantua and was one of the crops most affected by end of May, new heavy rains, mixed Cremona. There were also drops in structural problems on the Cremona- with hail, created problems for the cereal yields, due to changes in tem- Milan canal; and there were also situ- vineyards around Pavia and for gar- perature and water supply. ations of a certain complexity caused den vegetables, maize and soybeans The harvest in the Oltrepò Pavese was by the flooding of the Chiese River. in Mantua. The summer period was affected, on the other hand, by hail. In Between mid-April and the end of marked by the alternation of hail- the autumn the continuing hot weath- May, the complete absence of pre- storms and heat waves of varying in- er resulted in prolonged irrigation of cipitation triggered further problems tensity. Between Varese, Como and fruit orchards. for maize; with the land completely Lecco, along the foothills of the Alps,
46 intermediate consumption
In the agricultural sector regional The increase in spending of 11.2% the prices of agricultural products and spending on intermediate consump- over the previous year is solely due those for intermediate consumption tion in 2011 stood at more than 4 bil- to the rise in prices (11.3%). The in- has declined steadily in recent years, lion euro, or 17.5% of the national to- crease in value of intermediate con- tal. The share of regional intermediate sumption, the same as the increase % Share of intermediate consumption to the total value of the in production at basic prices in agri- consumption to agricultural agriculture industry, of 56.9%, is 10 culture, maintains an almost constant production value, 2010 points higher than it is for Italy, while share of intermediate consumption to slightly lower in comparison with the value of production. % European Community. The trend in terms of trade between Lombardy 57.0
Italy 46.9 Intermediate consumption in agriculture in Lombardy Italy-North 52.9 Italy-Centre 42.4 Values at % % to % Change % Change % Change Italy-South and Islands 39.9 current prices Category Italy value volume price 2011 2011/10 2011/10 2011/10 EU-27 59.5 (million euro) France 59.2 Germany 69.7 Fertilisers 252.7 6.2 17.2 19.0 -0.5 19.6 Netherlands 64.7 Plant protection products 55.4 1.4 6.9 5.8 -1.2 7.1 Poland 60.8 Seeds 178.6 4.4 13.4 12.1 -1.3 13.6 United Kingdom 64.7 Feedingstuffs and expenses for livestock 1,495.5 36.7 25.1 11.5 -0.8 12.4 Romania 57.1 Other intermediate consumption 2,088.7 51.3 15.2 10.3 0.6 9.5 Spain 44.7 Intermediate consumption 4,070.9 100.0 17.5 11.2 0.0 11.3 Source: ISTAT, Value added from agriculture at basic prices by region; Source: ISTAT. EUROSTAT. 47 and did so again in 2011. feedingstuffs (+11.5%), while the in- in prices, although seeds and plant With reference to the main catego- crease is smaller for plant protection protection products show a negative ries of inputs, ISTAT figures indicate products (+5.8%). For each category change in the volumes used, albeit a dramatic increase in spending for of inputs the increase in value of con- just over a percentage point. fertilisers (+19%), seeds (+12.1%) and sumption is due solely to changes
48 investments
According to the latest available Trend in gross fixed investments in agriculture* in Lombardy ISTAT figures at the regional level, the volume of gross fixed investments in Current values % of tot. % of tot. % of VA from (million euro) investments investments in agriculture agriculture is about 1.6 billion euro, in Lombardy1 agriculture in Italy1 in Lombardy 1 a decline of 16.8% over the previous year. Gross fixed investments in agri- 2000 1,224.5 2.6 12.7 34.7 culture in Lombardy are estimated 2001 1,537.5 3.1 15.9 41.4 at 15.9% of national agricultural in- 2002 1,531.1 2.9 14.5 42.6 2003 1,600.8 3.1 14.4 45.5 vestments, and 2.7% of the total regio- 2004 1,862.1 3.4 15.2 52.7 nal gross fixed investments. 2005 1,896.8 3.2 15.6 62.9 The share of investments in value ad- 2006 2,132.1 3.4 17.3 67.8 ded from agriculture in the region, at 2007 1,773.2 2.6 14.9 56.8 current prices, stood at 56.7%. The 2008 1,924.3 2.8 16.3 59.7 amount of investment per unit of agri- 2009 1,604.9 2.7 15.9 56.7 cultural labour (AWU) is 66% higher * Agriculture, forestry and fishing. 1 than the national index. Moreover, Values at current prices. Source: ISTAT, Regional economic accounts. unlike the rest of the country, this indicator is comparable to per capita investment calculated for the services sector and is even 6.5% higher than the same figure for industry.
49 Share of gross fixed investments in agriculture* in Lombardy to total regional investments and national agricultural investments1
20 17.3 15.9 16.3 15.9 15.2 15.6 14.5 14.9 15 14.4 12.7
10 % to total investments in Lombardy % to total agricultural investments in Italy
5 3.4 3.4 2.6 3.1 2.9 3.1 3.2 2.6 2.8 2.7
0 2000 2001 2003 2002 2004 2005 2006 2007 2008 2009
* Agriculture, forestry and fishing. 1 Values at current prices. Source: ISTAT, Regional economic accounts. 50 Gross fixed investments1 per AWU and by sector in Lombardy and Italy, 2009
15,000 13,352 13,490 12,529 12,584 11,905 12,000
9,000 8,029
6,000 Agriculture
Industry 3,000 Services
0 Lombardy Italy Lombardy Italy Lombardy Italy
1 Values at current prices. Source: ISTAT, Regional economic accounts. 51 prices
In 2011 the prices of agricultural prod- Change in implicit prices of agricultural products in Lombardy and Italy, 2011 ucts in Lombardy underwent a sharp Category % Change 2011/10 Lombardy % Change 2011/10 Italy increase (+11.2%) compared to the na- Crops 15.0 6.7 tional average (+6.8%), practically the Herbaceous crops 19.9 12.1 sole reason for the region’s increase in Cereals 28.8 33.7 the OBP for agriculture. Compared to Dried legumes 13.5 14.7 Potatoes and vegetables 3.8 3.3 2010, in line with regional agricultural Industrial plants 10.6 7.7 production, intermediate consump- Flowers and ornamentals -4.2 -4.4 tion registered a price increase of Fodder crops 11.4 7.0 Tree crops 1.8 -0.3 11.3%. Vine products 8.4 10.4 The increase in prices of production Olive products 7.6 8.1 affected both agricultural crops (+15%) Fruit -14.5 -13.3 and livestock (+11%) in the region. Other tree crops -0.6 -1.1 Livestock 11.0 9.5 Among crops, cereals led the hike Meat 10.2 9.2 in prices, an increase of about 29% Milk 13.6 12.4 compared to 2010. Price increas- Eggs 1.6 1.6 Honey 11.0 11.0 es were also substantial for fodder Non-food livestock 6.3 4.4 crops (+11.4%) and industrial plants Connected services 1.5 1.4 (+10.6%), whereas they were more Total output of agricultural goods and services 11.4 6.9 (+) secondary activities (farm stays. processing)* 3.6 2.1 modest for vegetables (+3.8%). In con- (-) secondary activities (commercial enterprises)* 9.6 8.1 trast, the prices of horticultural prod- Total agricultural output b.p. 11.2 6.8 ucts dropped by 4.2%. Intermediate consumption 11.3 7.8 In 2011, tree crops, whose prices re- * Secondary activities mean those performed in agriculture and not separable from it, such as farm stays, processing of milk, fruit and meat, shown with the sign (+), and those performed in other branches of the economy within the scope of crops and livestock (for example by commercial covered slightly, reflected an uneven enterprises), shown with the sign (-). Source: ISTAT, value added from agriculture at basic prices by region. 52 150 Price index trend in various phases of marketing (2000=100) 145
140 ISTAT agricultural product price index Domestic market price index Food, drinks and tobacco industry 135 Consumer price index Food and non-alcoholic drinks Lombardy 130 Consumer price index Food and non-alcoholic drinks Italy 125
120
115
110
105
100
95
90 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Source: ISTAT. 53 trend among various productions: on of eggs, higher for honey and non-food in agricultural prices, although in the one hand, wine products were up by livestock products. second half of 2010 there was a recov- 8.4%, while other fruit recorded falling The long term comparison among ery in consumer prices and, above all, prices (-14.5%). price indices of agricultural products, in the industrial producer price index. Almost all livestock sectors registered industrial production and consump- It is interesting to note that in the last price increases close to the average. tion confirms the trend of a greater in- few years the price changes for food The price of milk increased by 13.6% crease in prices for consumption than consumption in the Lombardy region compared to 2010, while meat rose by for production and origin, the latter have been less pronounced than for 10.2%, mainly due to the price of pig- showing high volatility. More recently, Italy as a whole, likely as the effect of meat (+13.1%) and beef (+5.4%). There it can be observed that distribution the significant market share of large- was also a slight increase in the price has dampened the substantial changes scale retail.
54 structures in agriculture
According to the results of the 6th Structural characteristics of agriculture in Lombardy and Italy, 2010 General Agricultural Census, there were 54,333 farms in Lombardy in Lombardy Italy Lombardy/ Italy (%) 2010, accounting for 3.3% of the na- tional total. The total agricultural Farms (n.) 54,333 1,620,884 3.35 area (TAA) stands at approximately Total livestock farms (n.) 22,064 217,449 10.15 Cattle farms (n.) 14,718 124,210 11.85 1,229,000 hectares, while the utilised - of which dairy cattle 8,463 50,337 16.81 agricultural area (UAA) is calculated Agricultural and forest area (AFA) (ha) 1,229,561 17,081,099 7.20 at 986,826 hectares, or 7.7% of the Utilised agricultural area (UAA) (ha) 986,826 12,856,048 7.68 national UAA. UAA managed by farms Units of livestock (LSU) 2,739,158 9,957,399 27.51 in Lombardy suffered a drop of 5.1% Workers on farms (n.) 137,447 3,870,754 3.55 compared to 2000. This reduction, - of which family members 98,157 2,932,651 3.35 lower in absolute value than the drop Total days worked (thousands) 19,261 250,806 7.68 in the number of farms (-23.5%), re- - of which family workdays (thousands) 15,067 200,905 7.50 sulted in an increase in average UAA per farm from 14.6 to 18.2 hectares, Average TAA per farm (ha) 22.63 10.54 214.74% Average UAA per farm (ha) 18.16 7.93 229.0% double the national average. Livestock rearing/farms (%) 40.61 13.42 302.7% Individual farms and direct mana- LSU/UAA (n.) 2.78 0.77 358.4% gement remain the prevalent legal LSU/herd (n.) 124.15 45.79 271.1% form and operation method; certainly, Workers per farm (n.) 2.53 2.39 105.9% compared to 2000, forms of part- Workdays per farm (n.) 354.5 154.7 229.1% nership have grown in importance, Workdays/UAA (n.) 19.52 19.51 100.1% particularly in Lombardy, just as the Family workdays (%) 78.2% 80.1% 97.7% item “other form of management” Source: ISTAT - 6th General Agriculture Census. 55 is growing in importance, including represented in live stock units (LSU), half the farms in Lombardy are in the agistments. Overall, there is more 27.5% of the national total, also sets lowlands; these concentrate 65% of availability of UAA for rent, a preva- Lombardy apart in the Italian context. TAA and 73% of UAA and have a size lent form of land possession in Lom- With the exception of sheep and go- of holding of 24.4 ha, higher than the bardy (49.5%), in terms of hectares, ats, most head are concentrated on regional average (18.4 ha/farm). 23.5% compared to ownership, unlike what lowland farms; mountain livestock far- of farms operate in the mountains and happens at the national level (29.9%); ming, with a share of 59.5% of farms, manage 25.7% of TAA and 17.6% of there is also a greater share, in terms is more common than in lowlands, UAA and have an average size of 13.8 of farms and surface, of farms that though farms are smaller. More than ha. The situation with farmland is own land for rent (also with other forms of possession) and farms that Agricultural management and labour in Lombardy and Italy, 2010 only rent (11.9% compared to 4.7%). In 2010, 40.6% of the farms in Lom- Lombardy Italy bardy, equal to 22,064 units, run a number % number % Head farmer ranching operation, as against the - with middle school diploma 34,853 64.1 1,158,494 71.5 corresponding 13.4% at the national - with university degree 3,516 6.5 100,981 6.2 level. The importance of livestock in - under age 40 7,894 14.5 161,716 10.0 Lombardy within the national context - women 10,761 19.8 497,847 30.7 is indicated by the widespread use of Non-family labour 39,290 28.6 938,103 24.2 of which - foreign labour 16,527 42.1 233,055 24.8 livestock rearing, which is 3 times hi- - non-EU foreigners 9,065 54.8 98,581 42.3 gher than the corresponding national - EU-27 foreigners 7,462 45.2 134,474 57.7 parameter, as well as the herd size (2.7 of which - on-going 18,353 46.7 163,145 17.4 times) and density per hectare of UAA - occasional 16,494 42.0 695,557 74.1 (3.6 times). The number of livestock, Source: ISTAT - 6th General Agriculture Census. 56 much more concentrated than in the The share of agricultural labour in the were carried out by members of the national context; 8.9% of farms with Lombardy region to the total in Italy farmer’s family, as against 80% at more than 50 hectares of UAA con- is 3.5% in terms of number of workers, the national level. The share of non- trol 55.6% of utilised agricultural area, and 7.7% in terms of working days, family labour is higher in Lombardy, while on the other hand, farms with indicating a greater importance of 28.6%, and has a higher proportion of less than 5 ha of UAA (49.8% of total) full-time labour compared with other foreigners (42% compared to 24.8%), cover only 4.8% of this area. Italian regions. 78.2% of working days particularly those of non-EU origin
Characteristics of farm management in Lombardy and Italy
Lombardy 2010 Italy 2010 Lombardy 2000 Italy 2000 Farms UAA % UAA % UAA % UAA n. % hectares % Official classification - individual farms 44,554 82.0 527,520 53.5 76.1 63.6 79.1 - companies 9,523 17.5 405,539 41.1 17.7 29.8 11.7 - other official categories 256 0.5 53,766 5.4 6.3 6.6 9.2 Form of management - direct management by the farmer 50,687 93.3 805,868 81.7 82.8 82.1 81.2 - management with salaried workers 3,106 5.7 134,373 13.6 11.6 17.9 18.7 - other form of management 540 1.0 46,585 4.7 5.6 0.0 0.1 Title of possession - own property 449,309 45.5 61.9 55.3 76.8 - rental 488,206 49.5 29.9 41.5 19.4 - freehold 49,311 5.0 8.5 3.3 3.8 TOTAL 54,333 100 986,826 100.0 100.0 100.0 100.0 Source: ISTAT - 6th General Agriculture Census. 57 Farms by UAA class in Lombardy and Italy, 2010
Class of UAA Lombardy Italy % Lombardy % Lombardy/Italy farms UAA (ha) farms UAA (ha) farms UAA farms UAA < 5 ha 27,076 47,655 1,182,320 1,846,841 49.8 4.8 2.3 2.6 5-10 ha 7,726 55,154 186,145 1,295,295 14.2 5.6 4.2 4.3 10-20 ha 7,341 103,794 120,115 1,663,483 13.5 10.5 6.1 6.2 20-30 ha 3,635 88,434 46,687 1,128,980 6.7 9.0 7.8 7.8 30-50 ha 3,730 142,681 40,915 1,556,922 6.9 14.5 9.1 9.2 > 50 ha 4,825 549,108 44,702 5,364,526 8.9 55.6 10.8 10.2 Total 54,333 986,826 1,620,884 12,856,048 100 100 3.4 7.7 Source: ISTAT - 6th General Agriculture Census.
Farms, utilised agricultural area and total area in Lombardy and Italy, 2010
Lombardy Italy Average area (ha) % Lombardy/Italy farms* ha farms ha Lombardy Italy farms area Arable crops 35,222 715,263 828,390 7,009,311 20.3 8.5 4.3 10.2 Tree crops 14,660 36,484 1,192,081 2,380,769 2.5 2.0 1.2 1.5 Permanent grasslands and pastures 21,822 234,591 274,486 3,434,073 10.8 12.5 8 6.8 UAA total 53,680 986,826 1,615,590 12,856,048 18.4 8.0 3.3 7.7 Wood arboriculture 2,103 18,796 26,772 101,628 8.9 3.8 7.9 18.5 Forests 16,098 141,675 328,358 2,901,038 8.8 8.8 4.9 4.9 Non-utilised area 10,267 35,902 302,940 648,746 3.5 2.1 3.4 5.5 Other area 43,637 46,362 945,829 573,638 1.1 0.6 4.6 8.1 TAA total 54,189 1,229,561 1,619,228 17,081,099 22.7 10.5 3.3 7.2 * Farms may involve more than one crop. Source: ISTAT - 6th General Agriculture Census. 58 % Breakdown of TAA in Lombardy and Italy, 2010
LOMBARDY ITALY
2.9% 3.8% 3.8% 3.4% 11.5% Arable crops 17.0% 1.5% 41.1% Tree crops Permanent grasslands and pastures 0.6% Wood arboriculture 19.1% Forests 58.2% Non-utilised area 20.1% Other area 3.0% 14.0% Source: ISTAT - 6th General Agriculture Census.
(54.8%). While long-term and occa- management compared to the na- With regard to farmers’ educational sional labour in Lombardy are equally tional average (19.8% compared to level, few have university degrees divided among working days, at the 30.7%), for reasons related to larger (about 6%), while the percentage is national level the occasional compo- farm size. On the other hand, there lower in Lombardy of farmers with nent prevails. is a higher presence of young farmers middle school diplomas than those Women are underrepresented in farm (14.5% versus 10%). with upper-middle school education. 59 Structural characteristics of livestock farms in Lombardy and Italy, 2010
Lombardy Italy Average size % Lombardy/Italy livestock head livestock head Lombardy head livestock head Cattle 14,718 1,484,991 124,210 5,592,700 101 45 11.8 26.6 - of which dairy cattle 8,463 546,320 50,337 1,599,442 65 32 16.8 34.2 Buffalo 86 10,209 2,435 360,291 119 148 3.5 2.8 Sheep 1,659 105,759 51,096 6,782,179 64 133 3.2 1.6 Goats 2,210 57,705 22,759 861,942 26 38 9.7 6.7 Horses 5,664 30,196 45,363 219,159 5 5 12.5 13.8 Pigs 2,642 4,758,963 26,197 9,331,314 1,801 356 10.1 51 Poultry 2,396 26,512,923 23,953 167,512,019 11,065 6,993 10 15.8 Rabbits 1,060 415,452 9,346 7,194,099 392 770 11.3 5.8 Ostriches 31 980 244 5,246 32 22 12.7 18.7 Total livestock 22,064 217,449 10.1 % livestock/total farms 40.6 13.4 Source: ISTAT - 6th General Agriculture Census.
Crop investments and livestock below the average. Permanent fodder in head, of more than double the na- holdings crops extend over 19.1% of TAA, in tional average (101 as against 45). With reference to land use, arable line with the national average (20.1%), There are 8,463 dairy farms, 16.8% of crops are the most common crop type, while woodlands account for 11.5%. those in Italy, with slightly more than covering 58.2% of agricultural land, The share of UAA to TAA is 80.3%, one third of head raised in Italy. compared to 41.1% nationally. On the compared with 75.3% in Italy. Pigs are raised on 2,642 farms, 10.1% contrary, the share of tree crops to Regarding livestock, 70% raise cattle, of the national total, which alone ma- total surface is modest and decidedly with an average herd size, expressed nage over 51% of the head raised in 60 Structural characteristics of farms in Lombardy by altitude zone, 2010
Mountains % to altitude Hills % to altitude Lowlands % to altitude Lombardy zone zone zone
Total farms (n.) 12,768 23.5 11,561 21.3 30,004 55.2 54,333 UAA (ha) 173,578 17.6 91,962 9.3 721,286 73.1 986,826 - of which arable crops 7,123 1.0 49,666 6.9 658,473 92.1 715,263 - of which tree crops 4,471 12.3 22,549 61.8 9,464 25.9 36,484 - of which permanent fodder crops 160,766 69.2 19,541 8.4 52,061 22.4 232,368 TAA (ha) 316,238 25.7 115,982 9.4 797,341 64.8 1,229,561 TAA average (ha) 24,8 10,0 26,6 22,6 UAA average (ha) 13,8 8,0 24,4 18,4 Total livestock farms (n.) 7,597 34.8 3,910 17.9 10,353 47.4 21,860 % Livestock/farms 59,5 33,8 34,5 40,2 Cattle (head) 77,820 5.2 107,722 7.3 1,299,449 87.5 1,484,991 - of which dairy cattle 38,467 7.0 36,649 6.7 471,204 86.3 546,320 cattle/livestock 16 45 176 101 Sheep (head) 59,134 55.9 14,014 13.3 32,611 30.8 105,759 sheep/livestock 49 53 163 64 Goats (head) 37,624 65.2 6,725 11.7 13,356 23.1 57,705 goats/livestock 25 19 41 26 Pigs (head) 6,789 0.1 113,032 2.4 4,639,142 97.5 4,758,963 pigs/livestock 11 283 2,813 1,801 Poultry (head) 1,365,813 5.2 5,158,916 19.5 19,988,194 75.4 26,512,923 poultry/livestock 1,756 8,941 19,201 11,065 Source: ISTAT - 6th General Agriculture Census.
61 Area and output of main crops in Lombardy and Italy, 2011 Lombardy Italy Lombardy/Italy Crops Total area Yield Harvest output Total area Yield Harvest output % % (ha) (t/ha) (000 t) (ha) (t/ha) (000 t) area output Cereals 430,807 9.1 3,932 3,432,652 5.7 19,504 12.6 20.2 - soft wheat 45,050 5.1 228 531,135 5.3 2,829 8.5 8.1 - barley 17,357 4.8 83 269,675 3.5 949 6.4 8.7 - rice 105,709 6.0 638 246,541 6.0 1,490 42.9 42.8 - feed corn 242,436 11.9 2,880 994,831 9.8 9,753 24.4 29.5 Oily seeds 32,924 3.9 127 302,955 2.9 883 10.9 14.4 - rape 3,267 2.6 8 18,834 2.3 44 17.3 18.9 - soy 28,347 4.0 114 165,955 3.4 565 17.1 20.3 Dried legumes 1,505 3.8 6 68,269 1.9 133 2.2 4.3 Tubers 949 30.6 29 62,091 24.9 1,547 1.5 1.9 Outdoor vegetables 13,902 50.4 701 434,331 27.9 12,136 3.2 5.8 - industrial tomatoes 7,158 71.0 508 84,449 63.1 5,331 8.5 9.5 - melons 2,264 28.2 64 23,173 23.1 536 9.8 11.9 Greenhouse vegetables 2,405 40.5 97 26,970 47.8 1,290 8.9 7.5 Temporary fodder - fields 184,850 50.9 9,401 948,607 27.3 25,924 19.5 36.3 - waxy maize 131,325 58.7 7,711 297,452 52.5 15,621 44.1 49.4 Temporary fodder - rotated fields 87,077 48.0 4,177 1,024,183 25.0 25,621 8.5 16.3 - alfalfa 65,247 48.4 3,155 683,010 29.0 19,836 9.6 15.9 Permanent fodder 248,922 18.1 4,502 4,309,101 5.1 21,891 5.8 20.6 - permanent grasslands 128,942 32.3 4,165 927,819 15.7 14,570 13.9 28.6 - pastures 119,980 2.8 336 3,582,373 2.4 8,678 3.3 3.9 Fresh and dried fruit and nuts 4,016 22.7 91 417,681 15.2 6,341 1 1.4 - apples 1,782 28.4 51 54,067 44.6 2,411 3.3 2.1 - pears 793 21.7 17 36,339 25.5 927 2.2 1.9 Wine grapes 21,331 8.7 185 661,935 8.9 5,903 3.2 3.1 Olive trees 2,317 2.0 5 1,162,465 2.8 3,210 0.2 0.1 Source: ISTAT and National Rice Board. 62 Herd size and output of livestock farms in Lombardy, 2011
Lombardy Italy Lombardy/Italy Livestock Number Output Number Output % % of head (t) of head (t) head output Cattle - beef 1,578,976 369,500 5,897,525 1,427,100 26.8 25.9 Pigs - pigmeat 4,164,452 833,800 9,350,781 2,082,600 44.5 40.0 Sheep and goats - sheepmeat and goatmeat 145,426 900 8,902,556 62,700 1.6 1.4 Poultry n.g. 320,200 n.g. 1,695,800 n.g. 18.9 Cows and buffalo - Cow and buffalo milk (‘000 hl) 549,225 42,177 1,991,515 110,395 27.6 38.2 Sheep and goats - Sheep and goat milk (‘000 hl) 121,896 31 7,920,616 5,675 1.5 0.5 Eggs (million) n.g. 2,317 n.g. 13,166 n.g. 17.6 Honey n.g. 1,700 n.g. 11,600 n.g. 14.7 Source: ISTAT.
Italy. On the contrary, the share of over ten years, less than the decline (over 242,000 ha), a sharp increase sheep and goats is lower, while the in farms. compared to 2010 (+10%), and rice region’s poultry represents a share According to 2011 ISTAT economic (105,000 ha). Lombardy supplies of 15.8% of the total number of head data on surface planted and produc- 29.5% of the national output of grain raised in Italy. It’s interesting to note tion volume, cereals occupy a signifi- corn and as much as 42.8% of rice. Sur- that, despite the general decline in cant portion of the regional UAA (over face planted to oilseeds, stable compa- farms since 2000, head raised have in- 430,000 ha, approximately 44% of red to 2010, is led by soybeans (20.3% creased for pigs (+24%), sheep (+17%) UAA) and accounted for 12.6% of the of national production), followed by and goats (+16.8%). Head of cattle, entire Italian cereal surface; most of rape (18.9% of Italian production). however, show a decrease of 7.6% the cereal surface is planted to corn Among herbaceous crops, waxy maize 63 predominated (131,325 hectares) with grassland by 0.5%. stock is confirmed by the data of 49.4% of the total national output. Although tree crops are of particular stocks and livestock output in 2011. Among rotated fodder crops, alfalfa importance and development at the The region has a dominant role in is the major crop, planted on over regional level, their share of volume is the pigmeat sector (44.5% in stocks 65,000 hectares, and Lombardy pro- modest. Output of fresh fruit is 1.4% and 40% of output) and in cow’s milk vides 15.9% of national output. of the Italian total, with slightly higher (27.6% of total stock and 38.2% of 51.8% of permanent fodder crops are fractions only for apples and pears; the output). The shares of beef (25.9%), represented by permanent grassland region also produces 3.1% of the na- poultry (18.9%), eggs (17.6%) and while the rest is pasture. In compa- tion’s wine grapes and 0.2% of its olive honey (14.7%) are also significant. rison with 2010, the areas planted oil. Horticulture is practiced on about Shares are much more limited, how- to herbaceous crops increased by 14,000 hectares of open fields and ever, for sheep and goat production, 7.8% (+9.2% for waxy maize), rota- 2,400 hectares of greenhouse space. with 1.4% for meat and 0.5% for milk, ting pasture by 7.6% and permanent Lombardy’s strong emphasis on live- respectively.
64 economic results of farms
As of the 2010 FADN1 accounting sur- of production (standard output – SO) more farms in higher size classes than vey, the new farm classification sys- and no longer on total output (TO). previously: approximately 30% of Ital- tem has been applied, based on value Dealing with production, this places ian farms have over 100,000 euro in
Farm results by economic size class (ESU) in Italy and Lombardy, 2010 Class of ES % % SO Average Average AWU/ LSU/ Kw/ha TO/ha TO/AWU NI/FWU Current NI % farms share* UAA (ha) farm farm (€) (€) (€) costs % ItalY from 4.000 to 8.000 € 11.51 1.16 150.89 5.41 0.18 0.71 8.53 13,435 74,858 34,742 30.74 42.15 from 8.000 to 25.000 € 38.71 9.65 128.30 9.32 0.48 2.36 6.74 23,820 49,545 31,315 32.08 45.78 from 25.000 to 50.000 € 21.56 12.78 83.53 18.89 0.77 5.95 5.10 49,703 64,138 44,941 32.09 48.04 from 50.000 to 100.000 € 13.12 15.62 48.95 32.86 1.27 17.88 4.05 81,310 64,259 53,536 33.44 55.15 from 100.000 to 500.000 € 14.59 54.45 43.92 65.43 2.69 62.40 3.58 241,083 89,601 82,995 36.63 45.67 from 500.000 to 1.000.000 € 0.47 4.82 11.74 74.96 3.47 203.82 4.44 640,088 184,529 220,694 39.16 44.87 > = 1.000.000 € 0.04 1.51 1.00 117.32 6.72 643.65 3.22 1,477,252 219,720 402,166 49.27 39.38 Total 100 100 76.05 22.56 0.95 14.93 4.60 70,898 74,529 58,006 34.95 47.31 LombardY from 4.000 to 8.000 € 4.39 0.20 204.27 7.69 0.15 1.58 5.54 11,119 74,127 39,175 23.64 52.85 from 8.000 to 25.000 € 25.63 3.23 95.85 9.25 0.30 5.03 13.60 31,635 106,881 50,617 33.14 46.15 from 25.000 to 50.000 € 22.71 6.71 64.26 19.85 0.46 8.97 7.02 55,379 121,177 68,850 30.44 49.49 from 50.000 to 100.000 € 16.72 9.49 49.91 40.04 0.45 30.00 5.17 91,057 200,821 114,048 35.02 47.45 from 100.000 to 500.000 € 26.45 57.68 48.64 68.25 1.50 88.75 5.01 320,979 213,385 183,999 34.27 53.10 from 500.000 to 1.000.000 € 3.94 19.40 40.07 60.36 2.51 284.28 7.28 911,903 362,641 344,989 39.33 48.84 > = 1.000.000 € 0.16 3.29 1.00 97.50 3.73 1.095.93 5.81 1,270,604 340,574 321,518 51.80 39.90 Total 100 100 56.20 34.50 0.77 44.84 6.06 159,273 208,197 151,867 35.32 50.79 * Expresses average number of farms in the universe represented by one farm in the survey sample. Source: FADN INEA figures expanded to the universe using base weights processed by INEA. 1. For information about the FADN survey see www.rica.inea.it. 65 SO. These farms account for 60% of In 2010, compared to 2009, Lom- farm (+50%) and an increase in total national SO, according to traditional bardy farms were of greater economic output (TO) per hectare (+220%). In comparisons, whereas at the regional size on average. This brought about addition to these values, there was level it emerges that Lombardy farms an increase in main indicators, such greater mechanisation per hectare represent around 80% of regional SO. as utilised agricultural area (UAA) per (+30%), in the face of lower manpower
Average farm results in major EU countries (2007-2009 average) (euro)*
% n. % SGM SGM per TO per TO/AWU NI/ha NI/FWU % subsidies farm ESU farm farm /TO France 7.10 18.65 77.43 142,520 75,142 373 20,518 19.48 Italy 14.78 16.48 32.90 56,806 41,460 1,590 26,357 10.01 Spain 12.97 13.44 30.60 45,461 32,318 687 20,860 16.32 Germany 3.73 12.39 97.95 213,753 86,401 344 23,011 17.92 Netherlands 1.19 6.32 157.24 401,248 144,683 917 20,528 4.30 United Kingdom 1.77 6.01 100.20 224,714 97,424 307 37,808 20.35 Poland 15.26 5.21 10.07 25,902 14,801 451 5,361 17.95 Greece 10.60 3.84 10.70 18,976 16,077 1,629 11,173 32.21 Denmark 0.65 2.52 114.50 297,851 187,321 -345 -33,917 11.10 Belgium 0.64 2.30 105.67 200,132 98,754 1,074 30,687 12.16 Lombardy 0.71 2.25 92.74 483,833 100,131 3,195 64,619 9.26 Romania 17.13 2.19 3.78 11,966 7,115 382 3,215 15.21 Austria 1.46 1.65 33.37 72,761 46,052 889 20,599 28.08 Ireland 2.13 1.61 22.20 42,822 37,896 417 17,767 46.97 FADN EU 100.00 100.00 29.52 60,069 36,032 524 13,433 17.62 * Ordered based on price of country. Source: FADN. 66 (-20%), and greater remuneration for more advanced agriculture (Nether- ing lower manpower in production family labour (+260%). lands, Germany, the UK, Belgium and thanks to innovations, are much high- There was a slight decrease, however, Denmark), but as for productivity and er than Lombardy (100,000 euro). in the share of current costs to TO, remuneration of family labour, Lom- Using FADN figures for Europe for the fixed costs and net family income (NI); bardy is without equal. Nonetheless, 2007-2009 three-year period, main there was a similar gradual increase in in terms of productivity of labour, types of farms were analysed for a the share of current costs and NI to the levels of Denmark (187,000 euro) comparison of the region with Italy, the increase in economic size class. and the Netherlands (144,000 euro), and between the region and countries Farms in Lombardy are similar in eco- countries with intensive agriculture that contribute the most to the total nomic size to farms in countries with tending toward labour saving, mean- standard gross margin (SGM) of the
Specialised cereal agriculture, average farm results in euro represented by major EU countries in FADN EU (three- year average 2007-2009)*
Country % n. SGM per TO/ha TO/AWU NI/ha NI/FWU subsidies % ha % ha other % ha % unplanted farms farm /TO cereals arable crops fodder crops UAA France 12.41 72.93 1,081 85,494 295 25,983 33.03 61.33 23.87 7.96 6.52 Germany 3.08 108.83 1,143 104,653 182 31,827 29.88 61.58 24.21 10.93 3.27 United Kingdom 3.47 96.50 1,107 114,812 317 51,653 29.33 54.71 17.60 18.64 7.15 Spain 13.92 23.36 523 41,764 329 29,208 36.47 66.28 11.47 3.70 17.22 Italy 13.18 19.80 1,369 37,492 584 17,833 31.77 78.63 9.17 5.18 5.81 Romania 19.35 6.45 476 12,942 146 6,304 28.67 70.35 26.41 1.61 1.35 FADN EU 100.00 29.74 846 44,703 252 18,987 32.57 65.66 20.05 6.94 6.53 Lombardy 1.87 34.43 2,021 47,814 904 23,768 30.94 88.98 3.04 4.79 2.53 * In the EU countries represent 77% of total SGM; in Lombardy farms represent 25% of Italy’s SGM. Source: FADN. 67 group under examination. In com- As for vineyards, farms in Lombardy region’s farms continue to show high parison with Italy, farms in Lombardy are in line with the situation in Italy. performance for NI, both per hectare consistently perform better. Looking In France, this type of farm shows and per AWU, while productivity is at farm types, in specialised cereal better performance in terms of TO/ similar to French and German farms. agriculture, Lombardy is far from the ha and TO/AWU; however, in terms of Mixed permanent crops are common economic size of farms in Northern remuneration of family labour, Lom- in Italy, but are low in productivity; in Europe (France, the UK and Germa- bardy farms are at the same level. In Lombardy, farms have better results, ny) but it shows high levels of TO/ha this case as well, vineyard agriculture but still lower than in the Netherlands, and NI/ha. Fodder crops and unplant- in Lombardy is accompanied by wide- which leads the country group. In this ed areas, however, are less common spread fodder agriculture. case, surface planted to cereals is ac- than elsewhere. In specialised fruit agriculture, the companied by permanent pastures.
Specialised vineyard agriculture, average farm results in euro represented by major EU countries in FADN EU (three- year average 2007-2009)* Country % n. SGM per TO/ha TO/AWU NI/ha NI/FWU subsidies % grapes-wine % ha % ha % ha farms farm /TO /TO vines cereals fodder crops France 21.25 101.81 8,324 66,233 2,007 30,013 1.80 93.63 70.38 11.96 6.35 Italy 32.54 26.10 7,513 42,209 3,588 33,507 1.93 92.56 70.68 9.72 7.09 Spain 21.62 23.36 1,347 20,843 705 14,342 5.73 85.77 63.98 15.83 0.41 Austria 3.11 64.83 3,429 39,796 1,291 17,866 16.95 66.45 28.66 44.56 4.48 Germany 3.28 58.72 10,987 53,591 3,428 23,809 1.97 90.80 71.32 17.69 2.93 Greece 5.54 11.27 5,204 16,016 3,518 12,880 21.39 86.13 70.15 9.00 0.80 FADN EU 100.00 41.03 5,285 40,949 1,845 23,632 3.24 91.31 66.84 13.93 4.17 Lombardy 1.37 26.97 7,764 42,351 4,414 32,352 5.24 86.94 65.19 7.75 24.65 * In the EU countries represent 97% of total SGM; in Lombardy farms represent 4% of Italy’s SGM. Source: FADN. 68 Specialised dairy agriculture, average farm results in euro represented by major EU countries in FADN EU (three- year average 2007-2009)* Country % n. SGM per TO/ha TO/AWU NI/ha NI/FWU subsidies LSU/ha cattle per % dairy TO % ha farms farm /TO farm /TO fodder crops Germany 12.40 73.07 2,474 85,258 566 24,906 19.25 1.38 48.57 69.45 73.48 France 10.31 65.40 1,784 76,735 379 17,401 19.75 1.18 45.73 70.69 81.84 Netherlands 3.79 124.20 5,179 143,205 953 28,652 11.59 2.48 73.71 81.33 96.65 United Kingdom 3.12 130.19 3,050 126,345 655 41,751 11.06 1.85 115.77 76.06 91.69 Italy 4.43 70.86 5,987 89,238 2596 46,717 8.77 2.51 48.00 71.94 84.20 Ireland 3.72 59.44 2,174 76,136 782 31,297 19.06 1.84 55.39 70.66 97.72 FADN EU 100.00 42.51 2,477 51,899 672 16,648 17.33 1.41 32.72 71.26 79.74 LOMBARDY 1.09 140.18 7,979 138,414 3825 84,006 9.30 3.30 83.39 72.92 77.34 * In the EU countries represent 70% of total SGM; in Lombardy farms represent 49% of Italy’s SGM. Source: FADN. Combined cattle for dairy, rearing and fattening, average farm results in euro represented by major EU countries in FADN EU (three-year average 2007-2009)* Country % n. SGM per TO/ha TO/AWU NI/ha NI/FWU subsidies LSU/ha % milk % meat % ha farms farm /TO TO/TO TO/TO fodder crops France 16.29 47.17 829 55,261 172 12,248 46.62 1.14 15.08 68.73 89.31 Italy 11.96 52.16 2,743 63,735 1,253 33,645 12.42 1.55 41.28 33.90 85.54 Germany 4.18 65.52 1,386 67,287 239 16,112 35.53 1.17 24.44 43.00 74.64 Ireland 19.26 12.80 568 22,184 314 12,630 84.02 1.10 2.80 78.88 98.54 Belgium 2.29 86.10 2,225 80,826 671 24,642 27.09 2.19 18.33 57.32 83.02 United Kingdom 3.84 38.67 725 57,746 204 18,820 51.03 1.16 2.65 72.42 96.48 FADN EU 100.00 28.93 1,050 38,683 371 15,083 38.62 1.13 21.74 52.65 87.16 Lombardy 0.83 81.90 7,416 111,712 3,130 51,604 10.89 4.23 40.10 38.09 66.06 * In the EU countries represent 78% of total SGM; in Lombardy farms represent 11% of Italy’s SGM. Source: FADN. 69 Specialised or combined grain-fed livestock (pigs and poultry), average farm results in euro represented by major EU countries in FADN EU (three-year average 2007-2009)* Country % n. SGM per TO/ha TO/AWU NI/ha NI/FWU subsidies % LSU % pigmeat % poultrymeat % ha farms farm /TO /ha TO/TO and eggs TO/TO cereals Spain 11.55 177.52 8,809 110,970 2,344 38,951 2.61 17.28 58.52 16.24 54.09 Italy 4.94 365.18 19,142 166,935 8,245 122,774 2.00 24.72 63.42 18.75 70.72 Germany 7.30 127.12 5,435 154,562 382 15,601 6.42 5.03 73.25 6.93 65.80 Poland 33.36 18.03 4,262 37,704 942 9,515 5.90 3.16 36.20 48.82 85.59 Netherlands 3.84 150.34 77,488 378,927 1,069 7,031 0.70 70.84 64.44 28.88 20.25 France 5.29 103.38 12,885 176,396 699 12,838 2.93 17.45 54.97 26.51 59.75 FADN EU 100.00 86.32 9,650 97,237 1,369 20,302 3.80 10.74 56.09 27.77 67.55 Lombardy 1.26 603.76 20,394 255,383 10,624 270,262 2.27 22.38 79.70 8.20 85.38 * In the EU countries represent 75% of total SGM; in Lombardy farms represent 42% of Italy’s SGM. Source: FADN. Mixed livestock, average farm results in euro represented by major EU countries in FADN EU (three-year average 2007-2009)* Country % n. SGM per TO/ha TO/AWU NI/ha NI/FWU subsidies % LSU % pigmeat % meat and % ha farms farm /TO /ha TO/TO eggs TO/TO cereals Poland 41.46 8.53 1,253 10,507 376 3,249 22.12 17.44 45.78 10.61 31.13 France 3.30 89.84 2,979 111,671 383 16,052 13.16 24.01 47.86 13.00 67.81 Germany 2.44 99.30 3,100 103,110 255 13,484 14.03 21.94 51.33 10.07 45.51 Italy 2.60 45.08 2,882 44,608 1146 21,023 10.66 24.91 30.11 11.72 58.60 Spain 3.13 25.28 972 41,742 484 22,047 16.94 11.79 66.59 16.61 78.67 Denmark 0.04 221.56 4,671 227,329 -872 -117,227 10.72 24.35 44.37 8.89 38.70 FADN EU 100.00 14.91 2,012 21,138 423 4,863 15.51 22.25 43.57 10.06 49.36 Lombardy 0.07 145.57 12,487 170,523 6735 198,603 7.08 39.48 42.27 5.98 30.00 * In the EU countries represent 74% of total SGM; in Lombardy farms represent 9% of Italy’s SGM. Source: FADN. 70 As for specialised dairy farms, for have a much higher stocking density, family labour. On this type of farm, as which Lombardy is the country’s ma- which translates to high productivity shown in the FADN sample, livestock jor producer, farms in the region show per hectare and remuneration of fam- rearing is accompanied by widespread levels of productivity per worker simi- ily labour. Grain-fed livestock farms, cereal agriculture for feedingstuffs. lar to those in the UK and the Neth- of large size and high stocking density, erlands. Lombardy farms, however, show extremely high remuneration of
71 credit for agriculture
The value of credit for agriculture dis- but much lower than the national the national level (63.7%) and in Lom- bursed in Lombardy in 2011 amount- level, where its share of agricultural bardy (68.0%). Distribution in the ed to 8.5 billion euro, compared to credit stood at 8.9% on the whole. region varies at the provincial level, 43.8 billion euro in the national con- The component of agricultural loans reaching over 71% in the provinces of text. In the last two years, the varia- with a maturity of over five years Brescia, Cremona and Bergamo and tion of the amount of credit for agri- clearly predominates over the other remaining below 60% in the provinces culture, on an annual basis, has not two types (less than one year and ma- of Milan, Bergamo, Sondrio and Pavia. changed: it went from 8.3% in 2010 to turing in from 1 to 5 years), at both 8.2% in 2011, in Lombardy, and from Amount of credit in Lombardy and Italy (million euro), 2011 +7.5% to +7.1% in Italy, while the total Total Total unpaid Credit for Unpaid loans for credit disbursed, in the region and at credit loans agriculture agriculture national level, went from 1.6% to 1.7% Bergamo 38,853 2,145 736 31 and from 2.4% to 2.3%, respectively. Brescia 62,903 2,959 2,077 197 The amount of agricultural credit per Como 16,347 741 134 9 Cremona 11,191 710 1,688 121 hectare of UAA, which for all of Italy Lecco 9,657 502 49 1 is 3,398 euro, in Lombardy amount- Lodi 6,417 271 555 8 ed to 8,593 euro and shows a strong Mantua 15,672 795 1,392 42 variability: from 1,474 euro for farms Milan 284,877 8,916 767 34 Monza and Brianza 24,447 1,075 87 3 in the province of Sondrio to 12,364 Pavia 12,284 932 799 71 euro for those around Cremona. Sondrio 4,485 111 110 1 Unpaid agricultural credit loans Varese 21,800 1,341 90 6 Lombardy 508,933 20,498 8,463 524 amounted to 524 million euro, or 6.7% Italy 1,939,793 104,315 43,781 3,654 of regional agricultural credit; this is Lombardy/Italy (%) 26.2 19.7 19.3 14.3 a high-growth rate compared to 2010, Source: processing of Bank of Italy figures. 72 Credit for agriculture per hectare UAA Percentage distribution by type of credit for agriculture in Lombardy and in Lombardy and Italy (euro), 2011 Italy, 2011
Sondrio Italy
Pavia Lombardy Maturity < 1 year
Lecco Bergamo Maturity 1 to 5 years
Como Brescia Maturity > 5 years
Varese Como
Mantua Cremona
Lombardy Lecco
Monza and Brianza Lodi
Lodi Mantua
Bergamo Milan
Brescia Monza and Brianza
Milan Pavia
Cremona Sondrio
Italy Varese
0 3000 6000 9000 12000 15000 020406080 100
Source: processing of Bank of Italy figures. Source: processing of Bank of Italy figures. 73 land market
Once again in 2011, the property tending toward stable land values, and rural tourism or the establish- market in Lombardy witnessed a fur- while in lowlands the gap widened be- ment of facilities for the production of ther decline in transactions. Purchas- tween the markets for food-producing energy from renewable sources. es and sales of country estates were farms and for allotments. Transactions for the most part were concentrated almost exclusively in The bulk of the market involved plots, related to expropriation to make way lowland areas and in the “rich” hills, often for other income opportunities, for major works, especially in high generally involving medium-sized such as the operation of farm stays plains and Alpine foothills, as in the plots and in a few cases large, well- structured farms. Average land values in Lombardy (thousand euro/ha of UAA), 2011 In mountain areas the market was modest or non-existent, and limited Altitude zone Total % Change to valley floor plots near roads and ur- Mountains Hills Lowlands 2011/2010 ban centres. As in previous years, in Varese 15.0 27.3 41.0 28.3 0.0 2011 there was a rise, albeit modest, Como 5.7 29.4 26.6 16.1 0.0 in land values for private mountain Sondrio 6.2 - - 6.2 0.0 pastures, following the application of Milan - 26.7 39.2 39.0 1.8 Bergamo 12.8 36.2 69.2 39.9 0.0 the CAP. Brescia 9.3 49.6 51.0 40.0 -1.5 In the hills, prices remain high, but Pavia 7.2 24.3 32.5 30.5 -0.2 even where specialized land, such as Cremona - - 35.6 35.6 0.0 vineyards, olive groves and open field Mantua - 63.8 45.4 46.8 0.0 Lecco 6.8 30.4 - 18.3 0.0 or range IV cropland, ensures higher Lodi - - 44.4 44.4 3.0 incomes, there were declines in top Lombardy 8.4 38.3 42.3 35.1 0.0 prices. The market in hilly areas Italy 11.4 14.2 32.2 19.4 0.6 generally stayed in a reflexive phase, Source: INEA, land values data bank. 74 case of the Pedemontana Bre.Be.Mi farmers who want to expand their In Lombardy, rent is practised wide- motorway and related works. farms, while non-agricultural inves- ly, especially in some provinces; the In the face of stable estimates and tors intervene almost exclusively data of the 6th Agriculture Census prices, apparently in contrast to the through the establishment of agricul- show that UAA for rent, amounting to decline in demand, there are moder- tural societies, which provide tax ben- 488,206 hectares, exceeds the UAA in ate declines in average values in some efits for direct farmers. ownership, which totals 449,308 hec- territories. The land market in the province of Brescia has declined by Land price trend in Lombardy and Italy* an estimated 2%, while the Oltrepo 40,000 Pavese, especially its land planted to Lombardy vineyards, dropped by around 3%. In 35,000 the province of Lodi and the Milanese Abbiatense, prices are up by a mod- 30,000 est 3%. In particular, around Milan the market is driven by innovative 25,000 production and services such as farm National average stays, rearing of horses and energy 20,000 production from biomass. At the re- gional level the cases of large farms 15,000 bought and sold are accompanied by values close to the maximum prices 10,000 recorded in recent years, which ex- 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 ceed those of plots per unit area. * Euro/hectare of UAA, current prices. The demand for land is expressed by Source: INEA, land values data bank. 75 tares; based on provisional data there begin to see a certain stability. The mitments with respect to the Nitrates was an estimated 13% increase in greatest increases were recorded in Directive, or, in particular for land rental UAA with respect to 2000 and the provinces of Bergamo, Como, leased from entities, which asked for an increase in farms operated solely Lecco, Lodi, Milan, Pavia and Varese. contractual increases in cash and land as rental. In order of rental rates, the Rents increase mainly when contracts improvements in case of long-term year 2011 marks an upward trend, are renewed, in the presence of valu- contracts (15 years). The exception although over the past few years, we able crops or in the presence of com- is the municipality of Milan, which opted to ease rates on land it owns in view of Milan Expo 2015. Energy Rental contract rates in Lombardy (euro/hectare), 2008-2011 production from renewable sources is supported by the all-inclusive tar- Year/contract 2008 2009 2010 2011 iff; following the sharp rise in the ar- Derogation contracts for arable crops and grasslands (Varese) 150 150 155 170 eas with the most biogas plants, rates Soils/grounds for flora nursery (Como) 380 380 400 440 have stabilised. Contracts for grassland (Como and Lecco) 240 240 250 275 Contracts for mountain pastures (whole) (Sondrio) 55 55 55 55 Seasonal contracts for vegetable plots in the hill of Bergamo 2,150 2,150 2,100 2,100 Derogation contracts for arable crops in the lowlands near Brescia 850 850 900 900 Derogation contracts for rice paddies (Pavia) 675 675 750 825 Sub-contracts for irrigated arable crops (Milan) 550 550 600 660 Derogation contracts for irrigated arable crops (Lodi) 700 700 750 825 Seasonal contracts for tomatoes and vegetables (Casalasco, Cremona) 850 750 900 900 Contracts to supply biomass to RES plants* (Cremona) n.g. n.g. 1,350 1,350 Seasonal contracts for vegetables (Viadana and Oltrepo, Mantua) 1,200 1,100 1,000 1,050 * Renewable energy sources. Source: INEA, land values data bank (interview figures). 76 MULTI-FUNCTIONALITY AND AGRICULTURE water resource management
Lombardy has an irrigable surface Farms and irrigated surface area - Share to total farms and cultivated area of approximately 693,000 hec- surface area, 2010 tares, or 18.5% of irrigable land na- tionally, the top regional share. Ir- Farms with irrigated Irrigated surface % farms with % irrigated surface area area (ha) irrigated surface to surface to UAA1 rigable surface affects 69% of regional total farms1 UAA, while irrigated area, which Lombardy 27,039 581,714 50.4 57.8 amounts to over 581,000 hectares and Italy 398,979 2,418,921 24.7 18.7 accounts for 84% of irrigated area, is Italy-North 158,172 1,591,746 40.1 34.5 57.8% of UAA. Italy-Centre 33,002 145,102 13.1 6.6 If we consider irrigated area, the share Italy-South 207,805 682,072 21.4 11.1 of the national total rises from 18.5% 1 The total of farms and land includes UAA and arboriculture. to 24%. Irrigated farms number ap- Source: ISTAT, 6th General Agriculture Census. proximately 27,000 units, accounting for 6.8% of total irrigated farms. The Irrigated land by irrigation system, 2010 territory of Lombardy has 44% of irri- gated surface in the over-100-hectare Irrigation systems (%) class. Of the approximately 31,000 Surface flow and Submersion Sprinkler Micro-irrigation Other irrigable farms, only 3.8% (or 1,184 lateral furrow irrigation system units) use irrigation consulting servic- Lombardy 57.6 14.6 25.8 1.4 0.6 es, for an area equal to 5.5% of irriga- Italy 30.9 9.1 39.6 17.5 2.8 ble surface; their share at the national Italy-North 40.8 13.4 36.4 7.7 1.7 level is still lower, 1.5% of farms and Italy-Centre 10.1 0.5 61.8 22.0 5.5 3.9% of surface. At the provincial lev- Italy-South 12.4 1.1 42.5 39.3 4.8 el, Sondrio presents higher percent- Source: ISTAT, 6th General Agriculture Census. 78 Presence of irrigation consulting services on farms with irrigable land*, 2010 Farms and irrigable land Presence of irrigation consulting services farms ha farms ha farms ha % irrigable % of irrigable % % farms land North-West 77,154 1,160,257 14.2 30.9 1,711 49,906 2.2 4.3 Lombardy 31,310 693,718 5.7 18.5 1,184 37,989 3.8 5.5 North-East 131,565 1,151,642 24.1 30.7 3,558 64,422 2.7 5.6 Centre 54,792 328,177 10.1 8.8 799 12,153 1.5 3.7 South 196,921 749,024 36.1 20.0 1,187 12,063 0.6 1.6 Islands 84,565 360,413 15.5 9.6 865 8,424 1.0 2.3 Italy 544,997 3,749,514 100.0 100.0 8,120 146,968 1.5 3.9 * And/or systems to determine irrigation needs. Source: ISTAT, 6th General Agriculture Census. Irrigated land by source of irrigation water supply 2010 Source of supply Groundwater on Surface water Surface water off Aqueduct, irrigation Aqueduct, irrigation and Other or near the farm on the farm (natural the farm (lakes, and reclamation consortium reclamation consortium or source and artificial basins) rivers or streams) or other irrigation agency other irrigation authority with shift delivery with delivery on demand Lombardy 7.4 2.3 11.3 59.1 17.7 2.3 Italy 25.5 5.1 10.0 33.2 22.5 3.7 Italy-North 15.6 3.7 11.9 42.9 23.1 2.8 Italy-Centre 47.2 14.1 15.5 6.6 12.0 4.6 Italy-South 44.0 6.4 4.3 16.2 23.5 5.7 Source: 6th General Agriculture Census. 79 ages than the regional average. Surface of irrigation authorities in Lombardy As regards systems of irrigation, the Irrigation authority Surface (ha) main use is surface flow and lateral furrow (57.6% of irrigated surface, as Administrative Equipped Irrigated against 30.9% nationally), followed Est Ticino Villoresi 278,258 118,041 118,041 Media Pianura Bergamasca 77,550 22,984 22,984 by sprinkling (25.8%, lower than the Adda Serio 56,537 27,885 27,885 national average) and submersion Muzza Bassa Lodigiana 72,690 52,080 52,080 (14.6%, higher than the national aver- Sinistra Oglio 52,300 11,161 11,161 age). The share of micro-irrigation is Mella e dei Fontanili 48,300 28,316 28,316 very low (1.4%). Naviglio Vacchelli 56,621 - 3,785 76.8% of the irrigated area in the re- Dugali 54,581 20,695 14,960 gion is supplied by aqueducts, irriga- Medio Chiese 55,874 19,663 19,663 Fra Mella e Chiese 36,098 1,545 1,545 tion and land reclamation consortia Alta e Media Pianura Mantovana 57,878 47,144 39,584 or other irrigation authorities. Three- Navarolo, Agro mantovano Cremonese 47,792 34,907 34,907 quarters of this surface is served with Colli Morenici del Garda 21,104 10,287 10,033 rotating supply, the rest on demand. Sud Ovest Mantova 27,955 20,259 20,259 13.6% of the irrigated area depends on Fossa di Pozzolo 48,488 41,031 31,677 surface water, while 7.4% comes from Terre dei Gonzaga in destra Po 41,410 40,530 40,530 Associazione Irrigazione Est Sesia1 122,754 136,815 127,558 groundwater resources. Burana1 17,616 86,173 50,205 According to SIGRIAN (information Total Lombardy2 1,173,806 719,516 655,173 system for the management of water 1 resources in agriculture at the na- Data refer exclusively to Lombardy. For inter-regional agencies, for extension and degree of interconnection of the irrigation network, it is possible to unincorporate only the administrative surface among the regions. tional level), the regional irrigation 2 Excluding consortia that only deal with reclamation. network is managed by 18 irrigation Source: INEA processing of SIGRIAN figures, 2009. 80 authorities, for an equipped surface aged by irrigation authorities is about dual function of reclamation and ir- of 719,516 hectares and 655,173 4,500 km, taking into account only rigation. Almost all canals are open hectares of irrigated surface. These the main irrigation network and ex- (89.6%), while the uptakes are charac- figures, however, include some areas cluding private sources. Focusing on terized by catchment from groundwa- outside the region. the characteristics of the irrigation ter (35%), rivers (30%), springs (16.7 The total length of the network man- network, we see that 58% serves a %) and canals (14.3%).
81 forests
The regional forest area amounts to The share of forest to territorial sur- lowlands (4.1%). 620,122 hectares, corresponding to face is higher in mountain areas The highest degree of forest cover 26% of the total of Lombardy. (50.9%), while it is very limited in the is in the province of Lecco (52.3%), In 2011, forested areas showed a modest increase of 1,079 hectares Breakdown of wooded surface area in Lombardy by province, 2010 over the previous year (+0.2%), due to the establishment of 266 hectares Bergamo of man-made forest and natural refor- 8.9% estation of 989 hectares, in the face 18.4% Brescia of 176 hectares of development. The Como increase is attributable to new for- 18.5% Cremona estations in lowlands and mountain areas; in particular, the provinces of Lecco Mantua and Cremona recorded an an- Lodi nual increase of forest areas of 3% and 6.0% Mantua 2%, respectively. 27.3% Of course, forested surface is more 0.5% Milan 1.7% concentrated in mountain areas Monza and Brianza (80%) and to a lesser extent in low- 0.5% 0.4% Pavia lands (7%) and hills (13%). At the 6.9% Sondrio provincial level, 27.3% of forests are 0.6% 10.2% located in the province of Brescia, Varese with 18.5% and 18.4%, respectively, in those of Sondrio and Bergamo. SOURCE: ERSAF, Report on the state of forests in Lombardy. 82 followed by Como (49.3%), Varese Management and economic exploita- tia and 191 forest companies listed in (45.6%) and Bergamo (42%). In con- tion of forest resources in Lombardy the regional registry. Add to these the trast, the province of Mantua has only are exercised by 24 forestry consor- Regional Agricultural and Forestry 1.3% of wooded area, followed by Cre- mona (1.9%) and Lodi (3.4%). Share of wooded land to territorial surface in Lombardy, 2010 There was an increase of 6.2% of re- Territorial surface of which Wooded % Wooded/Territorial ported felling in Lombardy over the (ha) (ha) Surface previous year; this increase drops to Province 1.8% in terms of felling surface, and Bergamo 272,286 114,368 42.0 1.3% for timber felled. 74% of timber Brescia 478,436 169,514 35.4 production from forest felling is for Como 128,807 63,459 49.3 Cremona 177,057 3,412 1.9 energy purposes, while the remainder Lecco 81,617 42,704 52.3 is used for lumber. The total produc- Lodi 78,236 2,662 3.4 tion of timber from forest felling is Mantua 233,884 2,973 1.3 approximately 600,000 cubic metres, Milan 157,659 10,722 6.8 with additional production outside Monza and Brianza 40,549 3,372 8.3 the forest of riparian poplars and Pavia 296,470 37,475 12.6 Sondrio 321,190 114,779 35.7 grove poplars. Varese 119,871 54,681 45.6 For forest planning in Lombardy, Altitude zone there are 24 forest plans and 120 for- Lowlands 1,122,637 45,724 4.1 est management regulations in force, Hills 296,362 81,672 27.6 affecting about 25% of the region’s Mountains 967,281 492,727 50.9 forested surface. 126,000 hectares of Lombardy 2,386,280 620,123 26.0 forest areas fall within Natura 2000. SOURCE: ERSAF, Report on the state of forests in Lombardy. 83 Composition of forest surface by Registered felling and production in Lombardy type in Lombardy, 2010 2010 2011 % Change 2010/11 Forest type % Breakdown Cutting requests (n.) 21,956 23,307 6.2 Oaked-hornbeam and hornbeams 1.1 - of which high trees 2,987 2,748 -8.0 Oak forests 7.2 - of which coppice 18,969 20,559 8.4 Chestnut forests 13.4 - of which up to 600 m asl 12,956 13,204 1.9 Fraxinus ornus and Ostria carpinifolia forests 10.9 - of which from 600 to 1,000 m asl 6,037 6,577 8.9 Flowering ash and hop hornbeam forests 3.9 - of which over 1,000 m asl 2,963 3,526 19.0 Birch and hazelnut forests 3.3 Beech forests 15.1 Surface area for felling 8,675 8,827 1.8 Mountain pine forests 1.0 - of which high trees 2,323 2,463 6.0 Scotch pine forests 2.3 - of which coppice 6,351 6,364 0.2 Spruce and beech forests 1.5 - of which up to 600 m asl 4,339 3,276 -24.5 Fir forests 2.6 - of which from 600 to 1,000 m asl 2,395 3,010 25.7 Spruce forests 12.8 - of which over 1,000 m asl 1,940 2,541 31.0 Larch and stone pine forests 6.8 Black alder forests 2.4 Mass requested for felling (m3) 599,071 606,944 1.3 Particular formations 0.8 - of which high trees 151,782 166,797 9.9 Anthropogenic formations 7.9 - of which coppice 447,289 440,147 -1.6 Pre-forestry formations 2.9 - of which up to 600 m asl 308,818 290,976 -5.8 Non-classified forest areas 3.9 - of which from 600 to 1,000 m asl 159,046 153,851 -3.3 - of which over 1,000 m asl 131,207 162,117 23.6 Total 100.0 - of which lumber 159,326 138,691 -13.0 SOURCE: ERSAF, Report on the state of forests in Lombardy. - of which for heating 439,744 451,172 2.6 Source: DG Green systems and landscape, Lombardy Region.
84 Services Board (ERSAF) and forestry forest enterprises. short term for biomass and poplar bodies (provinces, mountain com- Regional policies in the field of for- stands (1,000 hectares of new sites munities, parks and reserves). Forest estry require joint action by various became eligible for funding in 2010). consortia manage 103,000 hectares measures of the RDP; in particular, In 2010 the initiative “10,000 hec- of land, of which 64,000 is wooded, measure 221 provides funding of per- tares of new forests and green multi- with the aid of 266 employees, while manent forests in the medium-long functional systems” involved approv- at least 500 people are employed in term for quality timber and in the al of 280 hectares of woods.
85 agri-energy
The emphasis on livestock In Lom- % Distribution of farms with renewable energy production plants by type bardy’s lowland agriculture and the and geographical area, 2010 need for waste disposal, together with economic incentives for the agri-fuels Lombardy North-West North-East Centre South Islands Italy sector, have led to a large increase in Wind power 2.1 4.7 11.0 17.1 50.0 17.3 100.0 Biomass 14.8 32.5 46.4 13.1 6.9 1.1 100.0 biogas plants in recent years. Bio-gas 42.8 55.4 33.1 6.3 3.3 1.8 100.0 Lombardy, with over 40% of the total Solar energy production 9.5 20.8 42.3 20.2 9.9 6.8 100.0 national operating plants for the pro- Hydro-energy production 3.7 21.5 63.4 9.9 3.5 1.7 100.0 duction of biogas from livestock in its Other renewable energy sources 7.4 21.2 24.8 24.7 24.2 5.1 100.0 Farms with plants 9.6 21.2 40.6 19.7 12.2 6.4 100.0 territory, is the leading region in the Source: ISTAT, 6th General Agriculture Census. development of the sector. Based on the data of the Animal Production Research Centre (CRPA) and the Bio-gas plants in Lombardy, 2011 Lombardy Region-Recycling Group 1 1 on plants operating in 2011 in the Plants (n.) Installed electrical energy (MWe) Average power (kWe) provinces of Brescia, Cremona and Bergamo* 7 4.1 582 Lodi, it is estimated there are 286 Brescia** 55 40.3 733 Cremona** 122 92.2 755 biogas plants in the region, with total Lodi** 39 36.5 935 installed capacity of 226 MWe and av- Mantua* 35 28.3 807 erage power of 0.8 MWe. Milan* 4 4.0 999 The link with livestock activities is Pavia* 23 20.4 888 Sondrio* 1 0.6 640 particularly evident from the analy- Lombardy 286 226.3 792 sis of the geographical distribution 1 Electrical energy power. of plants, which are located mainly Source: processing of CRPA* and Lombardy Region-Recycling Group**. 86 in the provinces of Cremona and ers, with power of approximately 100 capacity of approximately 670,000 Brescia; together, they account for MWt, representing 25% of the capacity tons (2010 figures). This capacity is 60% of electricity from livestock-de- of national agri-forest biomass heating equal to about a third of the national rived biogas in Lombardy. plants. This figure places Lombardy in total, which in any case is almost to- It is interesting to note that the most second place nationally, behind Tren- tally unconnected from production of common type of plant in the region is tino-Alto Adige. local raw materials. in the 0.75 to 1 MWe voltage range; For the production of biofuels (bioeth- According to the Energy Services this size allows farmers in Lombardy anol and biodiesel) Lombardy has 5 Manager, the share of energy pro- the maximum benefits of the all-in- processing plants with a production duced from photovoltaic sources by clusive tariff, which applies to plants of up to 1 MW. Plants of over 1 MWe Tele-heating plants using agri-forestry bio-mass in Lombardy, 2011 represent only 7% of the total. Location Management Installed thermal Boilers Users The production of bioenergy has of the plant company power (MWt) (n.) served (n.) also developed in mountainous ar- Tirano (SO) T.C.V.V.V. 20 3 691 eas, where the wood-to-energy sup- Sellero Novelle (BS) T.S.N. 12.9 1 415 ply chain has allowed exploitation of Collio (BS) F.R. Alta Val Trompia 12.9 1 320 forest resources for the production of Sedrina (BG) Servizi Comunali Sedrina 12.9 1 200 both heat and electricity. In particu- S.Caterina Valfurva (SO) T.C.V.V.V. 12 2 54 lar, in 2011 Lombardy had 14 active Sondalo (SO) T.C.V.V.V 10 2 361 biomass plants, mainly for the pro- Piancogno (BS) Integra 5.5 2 200 duction of heat and, to a lesser extent, Abbiategrasso (MI) I Leprotti 1.5 1 10 electricity, concentrated mainly in Marchirolo (VA) Energia Legno Varese 1 1 8 the provinces of Sondrio and Brescia. Ospitaletto (BS) Fraternità Agricola Onlus 0.9 1 2 The plants supplied power to 19 boil- Source: processing of DIG - Milan Polytechnic figures. 87 the agricultural sector in Lombardy, bio-gas. Considering individual types Bio-mass plants by power class in in 2011, amounted to 17% of the na- of plants, Lombardy has a significant Lombardy, 2011 tional total, slightly above average for share of bio-gas plants, 43% of the na- Italian regions. tional total of farms that have plants. 60% According to the data of the 6th ISTAT There is some differentiation among 52,9% Census, installations for the produc- altitude zones, with more biomass 50% tion of renewable energy from solar and bio-gas plants in lowlands, and energy are the most widespread on more solar energy plants in moun- Lombardy farms with plants (79.2%), tains and hills. Moreover, in lowland 40% similar to Italy as a whole (80.2%). areas hydro-energy plants predomi- In Lombardy, unlike at the nation- nate, while plants for other renewable 30% al level, biomass plants come next sources of energy are more common (14.4%), including those fuelled by in mountains and hills. 20% 18.2%
13.2% 10% 8.6% 7.1%
0% 0-250 251-500 501-750 751-1000 Over 1 MW
Source: processing of CRPA and Lombardy Region-Recycling Group.
88 products of designated origin and traditional products
For PDO and PGI products, for which Number of PDOs and PGIs in Lombardy and Italy* Italy remains the leader at the Euro- pean level, Lombardy offers a broad 250 244 representation of products with 26 recognitions out of a total 244, mak- ing it the top region. Given the strong 200 emphasis on livestock in the region’s agriculture, top products are cheeses and cured meats, with 12 and 10 rec- ognitions, respectively, but there are 150 also designated origin products in olive and fruit and vegetable sectors. Promotion of typical products is high- 100 97 lighted by the fact that, of 14 PDOs recognised in Italy between July 2011 and August 2012, three are in Lom- 50 43 44 bardy: Salva Cremasco and Nostrano 35 25 26 Italy di Valle Trompia cheeses, produced 12 10 2 2 exclusively in Lombardy, and the 0 0 Lombardy Coppa di Parma, shared with Emilia- Fruit, vegetables Olive oil Cheese Prepared Other TOTAL Romagna. and cereals meats Production of PDO cheeses in the re- gion, according to ISTAT figures for *As of 24 August 2012. 2011, involves 5,267 farms and 7,218 Source: MIPAAF. 89 List of PDO and PGI products in Lombardy*
Category Product Denomination Territory Cheese Bitto PDO SO, municipalities in the province of BG Formaggella del Luinese PDO PDO municipalities in the province of VA Formai de Mut dell’Alta Valle Brembana PDO municipalities in the province of BG Gorgonzola PDO BG, BS, CO, CR, LC, LO, MI, PV, VA Grana Padano PDO BG, BS, CO, CR, LC, LO, MN(sinistra Po), MI, PV, SO, VA Nostrano Valle Trompia PDO municipalities in the province of BS Parmigiano Reggiano PDO MN(right bank of Po) Provolone Valpadana PDO CR, BS, municipalities in the provinces of BG, MN, LO Quartirolo Lombardo PDO BG, BS, CO, CR, LC, LO, MI, PV, VA Taleggio PDO BG, BS, CO, CR, LC, LO, MI, PV Salva cremasco PDO BG, BS, CR, LC, LO, MI Valtellina Casera PDO SO Prepared meats Bresaola della Valtellina PGI SO Coppa di Parma PGI MN, PV, municipalities in the provinces of CR, LO, MI Cotechino Modena PGI BG, BS, CO, CR, LC, LO, MN, MI, PV, VA Mortadella Bologna PGI Entire regional territory Salame Brianza PDO municipalities in the provinces of CO, LC, MI Salame Cremona PGI Entire regional territory Salame d’oca di Mortara PGI municipalities in the province of PV Salame di Varzi PDO municipalities in the province of PV Salamini Italyni alla cacciatora PDO Entire regional territory Zampone Modena PGI BG, BS, CO, CR, LC, LO, MN, MI, PV, VA Olive oil Extra-virgin olive oil Garda PDO municipalities in the province of BS Extra-virgin olive oil Laghi Lombardi PDO municipalities in the provinces of BG, BS, CO, LC Fruit and vegetables Valtellina apples PGI municipalities in the province of SO Mantua pears PGI municipalities in the province of MN *As of 24 August 2012. Source: DG Lombardy Region Agriculture. 90 dairy cattle farms, for a total of over Operators1 in the sector of PDO and PGI products in Lombardy and Italy, 510,000 animals raised. The share 2011 of dairy herds for PDO production to Lombardy Italy % Lombardy/Italy the national total is 20.8%, while the share of animals raised was around PDO Cheese Producers - farms 5,267 31,116 16.9 Producers - cattle farms 7,218 34,721 20.8 45%. There are also 349 processing Head of cattle 510,716 1,132,564 45.1 businesses, of which 273 make cheese Processors 349 1,663 21.0 (19.3% of the national total). Processors - of which cheese makers 273 1,416 19.3 With reference to the preparation of PDO and PGI meat, 1,707 farms are Preparation of PDO and PGI meats Producers - farms 1,707 3,966 43.0 Producers - livestock 2,421 5,313 45.6 involved in the production chain, cor- Processors 105 678 15.5 responding to 2,421 herds (almost Processors - of which slaughterers 43 175 24.6 exclusively pigs), for a significant proportion of the national total, 43%, PDO and PGI fruit and vegetables Producers - farms 413 16,621 2.5 placing Lombardy with the greatest Processors 9 1,092 0.8 production presence in this sector. PDO and PGI extra-virgin olive oil Producers - farms 196 20,278 1.0 There is also an important share of Processors 37 1,855 2.0 sausage producers (15.5% of national Processors - of which millers 16 1,023 1.6 total) that rises to 24.6% if we consid- er only slaughterers. Less relevant in PGI meats Processors 13 834 1.6 comparison with the Italian context 1 Figures for processors refer to businesses and not to plants. are PDO and PGI fruit and vegetable Source: ISTAT. production, PDO and PGI extra-virgin olive oil and PGI meats. 91 In the wine sector, Lombardy has a compared to the previous year. In par- PDO and PGI wines in Lombardy range of 27 PDOs, including 5 DOCGs, ticular, the area planted to vineyards and Italy* 22 DOCs and 15 PGIs. It should be entered in the DOC and DOCG regis- 350 noted that the Community rules pro- ters, according to 2011 data of the DG 330 vide for the assignment of the term Lombardy Region Agriculture, totals PDO to DOC and DOCG wines and 12,658 hectares, while IGT vines are 300 PGI to IGT wines, admitting coexist- grown on 5,437 hectares. ence with traditional Italian nomen- There are 242 traditional agri-food 250 clature. The range of products in products, according to the list up- Lombardy has recently evolved with dated in June 2012, with categories 200 the recognition the PDO (traditionally balanced between baked goods and known as DOC) Valtènesi in the prov- pastries, cheeses and dairy deriva- 150 ince of Brescia. tives, and fresh and processed meat. 118 Overall, the surface of denomination In addition to these categories, which of origin vineyards in Lombardy, in number about 70 products each, fruit 100 73 the 2011 harvest, was 18,095 hec- and vegetables stand out, with 30 rec- tares, on a regional vineyard surface ognised traditional products. 50 area of 21,331 hectares, down 4.2% 22 15 5 0 DOCG DOC IGT
Lombardy Italy
* As of 30 November 2011. Source: MIPAAF. 92 Area enrolled in DOC/DOCG vineyard registries and lists of IGT vineyards for the 2011 harvest
Name of DOC/DOCG registry Land enrolled (ha) Name of IGT list Land enrolled (ha) DOC - Oltrepo’ Pavese 3,214 IGT - Province of Pavia or Pavia 4,519 DOC - Bonarda dell’oltrepo’ Pavese 2,840 IGT - Province of Mantua or Mantua 264 DOCG - Franciacorta 2,579 IGT - Bergamasca 144 DOC - Lugana 866 IGT - Alto Mincio 103 DOC - Garda 691 IGT - Collina del Milanese 88 DOCG - Valtellina Superiore 382 IGT - Benaco Bresciano 67 DOC - Lambrusco Mantuano 357 IGT - Quistello 65 DOC - Curtefranca - Provvisorio 240 IGT - Terrazze Retiche di Sondrio 61 DOC - Sangue di Giuda dell’oltrepo’ Pavese 232 IGT - Terre Lariane 31 DOC - Valcalepio 183 IGT - Montenetto di Brescia 26 DOCG - Oltrepo’ Pavese Metodo Classico 133 IGT - Ronchi Di Brescia 22 DOC - Pinot Nero dell’oltrepo’ Pavese 117 IGT - Valcamonica 20 DOC - Valtellina Rosso or Rosso di Valtellina 110 IGT - Sebino 13 DOC - Oltrepo’ Pavese Pinot Grigio 109 IGT - Sabbioneta 7 DOCG - Sforzato di Valtellina or Sfursat 98 IGT - Ronchi Varesini 6 DOC - Valtenesi 92 DOC - Buttafuoco dell’oltrepo Pavese 83 TOTAL DOC and DOCG 12,658 DOC - San Colombano al Lambro 75 TOTAL IGT 5,437 DOC - Garda Bresciano 60 DOC - Capriano del Colle 55 Total land enrolled in DOC/DOCG registries and IGT lists 18,095 DOC - Garda Colli Mantuani 38 DOC - Botticino 30 DOCG - Scanzo or Moscato di Scanzo 21 DOC - Colleoni or Terre Del Colleoni 19 DOC - Casteggio 14 DOC - San Martino della Battaglia 11 DOC - Cellatica 9 Source: DG Lombardy Region Agriculture. 93 Traditional agri-food products by category in Lombardy
80 71 70 67 64 60
50
40
30 30
20
10 3 4 1 2 0 Fresh and Cheese Fresh milk Honey Fruit and Fats Fresh pasta, Fish processed meats and ricotta vegetables (butter and oils) baked goods products and pastries
Source: MIPAAF national list of traditional agri-food products, twelfth revision (June 2012). 94 organic farming
Organic farming in Lombardy is rela- of the national total, while processors Share of regional organic category tively limited. In 2011, the region had make up 10.4%. Utilised agricultural to national total, 2011 only 3.1% of the nation’s total organic area for organic farming in Lombardy operators; in number, they increased accounts for 1.9% of national organic 12% by 11.3% over 2010. Producers in UAA (SINAB data) and 2% of the re- Lombardy make up only a 2% share gional total. 10.4% 10%
Operators1 in the organic sector in Lombardy, 2011 8% Farms Producers Preparers number % number % number % Bergamo 153 11.4 90 11.4 74 11.2 6% Brescia 226 16.9 156 19.7 91 13.7 Como 56 4.2 33 4.2 29 4.4 Cremona 62 4.6 31 3.9 36 5.4 4% Lecco 46 3.4 24 3.0 30 4.5 Lodi 24 1.8 7 0.9 20 3.0 3.1% Mantua 154 11.5 97 12.3 67 10.1 Milan 204 15.2 42 5.3 170 25.6 2% 1.8% 1.4% Monza and Brianza 35 2.6 6 0.8 31 4.7 Pavia 291 21.7 255 32.3 69 10.4 Sondrio 37 2.8 21 2.7 18 2.7 Varese 52 3.9 28 3.5 28 4.2 0% Lombardy 1,340 100.0 790 100.0 663 100.0 Operators Producers Processors UAA 1 The figure does not include exclusive importers. Source: DG Lombardy Region Agriculture. Source: SINAB. 95 According to the DG for Agriculture parers showed the highest increase (15.2%), Mantua (11.5%) and Bergamo (as of 31 December 2011), there for the year, of 14%. (11.4%). Referring only to producers, were 1,340 operating organic farms Provincial distribution of operators Pavia’s share is 32.3%, followed by in Lombardy, 790 of which engage in shows Pavia in first place (21.7%), Brescia (19.7%) and Mantua (12.3%). both production and preparation. Pre- followed by Brescia (16.9%), Milan With 25.6% of the regional total, the
Organic producers in Lombardy, Breakdown of regional organic UAA by crop, 2011 2011 0.6% Cereals 9,652 Plants Livestock 10.4% 50.0% number % number % Industrial crops and dried legumes 1,750 Bergamo 86 11.4 16 8.4 Fruit 311 Brescia 152 20.1 22 11.6 Como 28 3.7 20 10.5 Vines 865 Cremona 27 3.6 11 5.8 21.0% Olive trees 98 Lecco 23 3.0 19 10.0 Lodi 6 0.8 1 0.5 Garden crops 439 Mantua 96 12.7 18 9.5 Milan 35 4.6 13 6.8 2.3% Rotated fodder crops 4,060 Monza and Brianza 6 0.8 2 1.1 0.5% Pavia 250 33.1 52 27.4 4.5% Grasslands and pastures 2,011 Sondrio 18 2.4 9 4.7 1.6% Other 110 Varese 28 3.7 7 3.7 9.1% Lombardy 755 100.0 190 100.0 Total 19,296 Source: DG Lombardy Region Agriculture. Source: DG Lombardy Region Agriculture. 96 province of Milan ranks first for pre- for crops and livestock, with 33.1% that under conversion, it appears that parers. of plant producers and 27.4% of live- Pavia has 61.4% of the region’s total 95% of Lombardy’s organic producers stock producers. organic UAA. have received certification for plant The recent trend in surface area ap- The breakdown of organic surface production, while organic livestock is pears quite lively, with an increase of shows a prevalence of cereals (50%), practised by only 24% of producers. 23.4% from 2010 to 2011. Consider- followed by rotating fodder crops Pavia is again the leading province ing total organic surface, including (21%) and permanent fodder crops
Number of head raised using Land used for organic farming in Lombardy (ha), 2011 organic methods in Lombardy, 2011
Organic Area under Total Breakdown Cattle Pigs Sheep Poultry area conversion area % and goats Bergamo 596 224 820 3.2 Bergamo 243 93 74 16 Brescia 1,109 521 1,629 6.4 Brescia 151 203 172 1,736 Como 398 45 444 1.7 Como 215 - - 5,100 Cremona 670 265 935 3.7 Cremona 733 37 759 10,000 Lecco 90 53 143 0.6 Lecco 4 - 151 - Lodi 1,016 35 1,051 4.1 Lodi 1,109 1,930 - - Mantua 1,485 469 1,953 7.7 Mantua 112 1,186 77 124,456 Milan 887 374 1,261 5.0 Milan 1,107 200 5 1,100 Monza and Brianza 255 80 335 1.3 Monza and Brianza 207 - 27 - Pavia 14,029 1,548 15,577 61.4 Pavia 5,612 41 70 706 Sondrio 603 16 619 2.4 Sondrio 162 - - - Varese 505 86 590 2.3 Varese 41 - 205 - Lombardy 21,643 3,714 25,358 100.0 Lombardy 9,696 3,690 1,540 143,114 Source: DG Lombardy Region Agriculture. Source: DG Lombardy Region Agriculture.
97 (10.4%). 61.5% of organic cereal sur- 190 herds; the share of head raised and sheep and goats, respectively, face is planted to rice. Prevalent using organic methods is extremely amount to 3,690 and 1,540 units, among permanent crops are vines low compared to those raised using with over 140,000 head of poultry. (4.5% of regional organic UAA), while conventional methods. Cattle, with Based on the ISTAT Census of 2010, vegetables make up only 2.3%. just under 10,000 units, on 142 farms, more than 80% of regional organic Organic livestock is represented by with average herd size of 68 head; pigs UAA is in lowlands.
98 agritourism (farm stays)
In 2010, Lombardy overtook Veneto Agri-tourism (farm stays) active in Lombardy and ranked third among Italian regions for the number of farm stay sites (6.6% 2010 2011 % change % Breakdown 2011/10 by area (2011) on a national basis), behind Tuscany Province Bergamo 121 128 5.8 9.4 and Trentino-Alto Adige. Lombardy is Brescia 277 290 4.7 21.3 strongly marked by agritourism sites Como 88 96 9.1 7.1 that offer food services, with 9.7% of Cremona 66 68 3.0 5.0 such activities in Italy. This figure rises Lecco 58 61 5.2 4.5 Lodi 27 27 0.0 2.0 to 22.3% when calculating farms that Mantua 215 214 -0.5 15.7 offer catering exclusively. In contrast, Milan 92 93 1.1 6.8 farm stay sites in Lombardy with lodg- Monza and Brianza 12 11 -8.3 0.8 ings represent only 4.1% of the nation- Pavia 211 213 0.9 15.7 Sondrio 82 87 6.1 6.4 al total, and 4.6% of the national total Varese 78 72 -7.7 5.3 for number of beds. Altitude zone The dynamics of the region’s agritour- Mountains 357 374 4.8 27.5 ism are growing steadily, registering an Hills 432 444 2.8 32.6 Lowlands 538 542 0.7 39.9 increase of 2.5% in farms from 2010 Rural areas to 2011. The provinces with the most Rural areas with overall problems of development 112 119 6.3 8.8 emphasis on agritourism are Brescia Intermediate rural areas 393 407 3.6 29.9 (21.3% of farms in Lombardy), Man- Rural areas with specialised intensive agriculture 540 545 0.9 40.1 Urban centres 282 289 2.5 21.3 tua and Pavia (both with 16%), though Total Lombardy 1,327 1,360 2.5 100.0 the greatest increases were in Como, Total Italy 19,973 n.g. n.g. Sondrio, Bergamo and Lecco. In con- Lombardy/Italy (%) 6.64 n.g. n.g. trast, in Monza, Varese and Mantua, Source: ISTAT and DG Lombardy Region Agriculture. 99 the number of licensed farms dropped. 50.6% of these farms offer full board, Distribution of farm stay sites in The areas with the most sites were while 28.7% are limited to lodgings. Lombardy, 2011 Garda (Brescia side), the Morainic hills Farms licensed for catering have total near Mantua, the Oltrepo Pavese and seating capacity of 38,520, the great- the Alpine hills and foothills. est share in the provinces of Bergamo, Around 52% of Lombardy’s farm stay Sondrio and Varese. Farms with other sites offer lodgings, as compared to 82% activities are mainly located in rural nationally, while food service is provid- areas with intensive agriculture, and ed on 72% of farms as compared to 50% especially in urban hubs. These activi- nationally. The share of other activi- ties include horseback riding, on 13% ties and tastings is lower, with 48.2% of Lombardy’s farm stay sites, courses and 7.4% of the total sample, respec- (13%) and sports (7%). Less common tively. Agritourism farms offering both are excursions (4%), mountain-biking lodgings and food account for around (3.1%), nature observation (2.3%) and 35% of the total, while 23.1% offer only trekking (1.4%). food and 15% only lodgings. There 34% of farm stay sites in Lombardy are Source: DG Lombardy Region Agriculture. are 10,719 beds (+13.9% compared to run by women, a figure in line with 2010) and 373 campsites. Most farm the national average, with peaks of be- stay sites with lodgings are in moun- tween 40% and 45% in mountain areas tains and hills, and the provinces of and in the provinces of Varese, Lecco Mantua (62.6%), Brescia and Sondrio. and Sondrio.
100 Type of farm stay sites in Lombardy*, 2011
% Farms N. beds N. outdoor % Farms N. seating % Farms % Farms licenced for rest stops licenced for capacity licenced for licenced for lodgings catering tastings other activities Province Bergamo 35.2 624 - 89.8 4,542 2.3 39.8 Brescia 62.1 3,660 100 78.3 8,436 7.9 43.8 Como 47.9 506 26 78.1 2,213 8.3 33.3 Cremona 61.8 647 7 80.9 2,166 14.7 73.5 Lecco 37.7 227 41 83.6 2,188 6.6 34.4 Lodi 29.6 147 - 37.0 410 18.5 66.7 Mantua 62.6 1,812 115 67.8 5,490 7.9 62.6 Milan 37.6 599 30 53.8 3,011 2.2 62.4 Monza and Brianza 36.4 74 - 81.8 447 0.0 63.6 Pavia 57.7 1,563 26 50.2 4,518 5.2 38.5 Sondrio 59.8 578 15 88.5 2,715 6.9 29.9 Varese 34.7 282 13 87.5 2,384 15.3 69.4 Altitude zone Mountains 56.7 2,613 157 81.8 9,967 5.6 34.5 Hills 60.4 4,749 100 70.7 13,375 9.9 42.3 Lowlands 43.7 3,357 116 67.2 15,178 6.5 62.5 Rural areas Rural areas with overall problems of development 66.4 947 17 74.8 3,132 5.0 26.9 Intermediate rural areas 61.2 3,354 196 73.7 10,551 7.9 38.6 Rural areas with specialised intensive agriculture 50.8 4,810 110 72.1 15,533 7.5 56.0 Urban centres 38.8 1,608 50 69.9 9,304 7.3 56.1 Total Lombardy 52.7 10,719 373 72.4 38,520 7.4 48.2 * A farm may be licenced for more than one type of activity. Source: Lombardy Region Agriculture. 101 direct sales
Direct sales to consumers in Lom- Farms with direct sales to consumers in Lombardy, 2010 bardy, according to the 6th Agricul- ture Census, are practised by over Farms with % farms with direct sales direct sales to total farms with sales 12,000 farms, or 27.8% of the region’s Province total farms that sell, as against 26.1% Bergamo 1,847 44.5 of the national figure. Brescia 2,896 28.4 In the provinces of Como, Lecco and Como 1,173 72.6 Varese, direct sales are practised by Cremona 369 8.8 Lecco 782 75.6 over 70% of farms that sell, while on Lodi 129 10.0 the opposite end are the provinces of Mantua 894 10.7 Lodi, Cremona and Mantua, with 10%. Milan 558 27.2 Population density and, consequently, Monza and Brianza 316 49.0 Pavia 1,399 21.8 market breadth, are determining fac- Sondrio 952 35.7 tors in the diffusion of direct sales; in Varese 871 74.7 urban hub municipalities, this activ- Altitude zone ity is practised by 50% of farms, with Mountains 4,240 59.9 Hills 3,988 45.4 the exception of the province of Mi- Lowlands 3,958 14.2 lan (27.2%). A similar development to Rural areas that of urban areas can be observed in Rural areas with overall development problems 1,055 35.8 hills and mountains with the greatest Intermediate rural areas 4,176 55.7 Rural areas with specialised intensive agriculture 3,711 13.9 tourist flows. Urban hubs 3,244 49.4 Direct sales off the farm affect 31% Total Lombardy 12,186 27.8 of farms, with peaks of over 40% in Total Italy 270,579 26.1 the provinces of Cremona, Pavia and Source: ISTAT, 6th General Agriculture Census. 102 Type of farms with direct sales to consumers in Lombardy, 2010 % with direct sales % with direct sales % with direct sales % with direct sales % with direct sales Province on the farm off the farm of plant products of animal products of processed products Bergamo 86.2 26.7 31.8 46.2 36.1 Brescia 88.3 23.4 35.0 31.0 48.0 Como 82.0 34.5 41.9 48.4 23.2 Cremona 72.1 46.9 67.5 22.5 15.2 Lecco 88.2 24.3 38.7 53.1 24.7 Lodi 78.3 31.0 46.5 30.2 29.5 Mantua 78.9 36.2 70.4 18.2 19.5 Milan 80.5 38.0 56.6 34.4 19.9 Monza and Brianza 75.0 45.3 70.9 23.4 13.0 Pavia 84.2 43.4 41.7 9.9 54.2 Sondrio 88.9 23.3 25.9 41.6 46.3 Varese 86.2 32.3 50.2 41.6 19.3 Altitude zone Mountains 90.5 21.2 23.8 49.8 44.6 Hills 85.0 34.8 44.1 23.4 42.0 Lowlands 78.4 37.5 60.1 28.8 18.7 Rural areas Rural areas with overall development problems 88.1 24.5 29.6 38.5 43.3 Intermediate rural areas 89.8 26.5 24.8 41.8 50.7 Rural areas with specialised intensive agriculture 80.9 33.7 53.8 25.2 28.5 Urban hubs 81.8 35.5 55.4 33.8 20.8 Lombardy 84.8 30.9 42.2 34.3 35.4 Source: ISTAT, 6th General Agriculture Census. 103 Monza, and a greater share in lowland Farms with direct sales to final consumers and use of e-commerce, 2010 areas and urban hubs. As for product types offered to consumers, there is Farms with direct sales E-commerce for E-commerce a prevalence of farms offering plant to final consumers product sales and /direct sales farm services (%) (%) products (42.2%), followed by pro- n. % cessed products (35.4%) and animal Italy 270,579 100.0 100.00 2.4 products. E-commerce in Lombardy North-west 31,924 11.8 19.80 4.1 Lombardy 12,186 4.5 8.04 4.4 is used on 4.4% of farms with direct North-east 28,220 10.4 21.13 5.0 sales. This share is in line with geo- Centre 45,539 16.8 31.06 4.5 graphical areas in the North and Cen- South 120,767 44.6 17.12 0.9 tre of Italy, but above the national Islands 44,129 16.3 10.90 1.6 average (2.4%), which is affected by Source: ISTAT, 6th General Agriculture Census. the low use in the South (0.9%) and Islands (1.6%). In lowland areas with intensive agri- in the provinces of Monza and Man- In Lombardy, in addition to the of- culture and in urban hubs, direct sales tua, sold on over 70% of farms. ficial list of farmers’ markets, based affect mostly plant production, while As for operators that sell directly to on reports from municipalities in the in mountain areas there is a preva- the public, the most numerous are region, there are similar numbers of lence of direct marketing of processed nurseries, with nearly 2,000 business- initiatives mainly coordinated by pro- products and those of animal origin. es in Lombardy, followed by wine cel- fessional farmers’ associations. Ac- Pavia is the province with the high- lars (1,511), dairy producers and pro- cording to an estimate obtained by est share of marketing of processed ducers of meat and prepared meats. comparing municipal licenses with products, driven by the wine category, Direct sales from market gardens are the list of merchants enrolled in the whereas plant products predominate practised on over 1,000 farms. Amica-Coldiretti Campaign and with 104 those organised by the Agritourism concentrated in the provinces of Mi- a region with such a strong livestock Consortium of Mantua, there are 142 lan and Mantua. emphasis as Lombardy’s is the sale of farmers’ markets in the region, mainly A significant form of direct sales in raw milk to final consumers using au-
Number of farms with direct product sales to consumers in Lombardy, Distribution of farmers’ markets in 2010 Lombardy
2,000 1,949
1,511 1,500 1,329
1,046 1,146 1,000
572 500 427 430
0 Cereals Horticulture Nursery Milk Wine Olive oil Milk der. Meats and products prepared meats Source: DG Lombardy Region Agriculture and Coldiretti - Campagna Source: ISTAT, 6th General Agriculture Census. Amica, July 2012. 105 Raw milk distributors in Lombardy* Raw milk distributors in Lombardy
Raw milk % Breakdown by % Change distributors geographical area 2012/2011 Province Bergamo 77 16.5 4.1 Brescia 61 13.1 -10.3 Como 49 10.5 4.3 Cremona 3 0.6 -66.7 Lecco 45 9.7 7.1 Lodi 3 0.6 -40.0 Mantua 18 3.9 -30.8 Milan 83 17.8 1.2 Monza and Brianza 37 7.9 -7.5 Pavia 8 1.7 -42.9 Sondrio 15 3.2 25.0 Varese 67 14.4 3.1 Altitude zone Mountains 62 13.3 8.8 Hills 166 35.6 0.0 Source: DG Lombardy Region Health, July 2012. Lowlands 238 51.1 -8.8 Rural areas Rural areas with overall development problems 13 2.8 18.2 Intermediate rural areas 50 10.7 2.0 Rural areas with specialised intensive agriculture 115 24.7 -18.4 Urban hubs 288 61.8 1.8 Total Lombardy 466 100.0 -3.7 *As of 5 June, 2012. Source: DG Lombardy Region Health. 106 tomatic dispensers. In July 2012, ac- same period in 2011. In areas with centrated. The provinces in southern cording to the DG Lombardy Region specialised intensive agriculture, dis- Lombardy experienced drops of 30 Health, the region had 466 dispens- pensers dropped by more than 18%; to 60% for the year, confirming that ers, or a third of the national total. this drop was compensated, however, population density is the main factor The number of dispensers in the re- by a slight increase in urban hubs in explaining the widespread use and gion dropped 3.7% compared to the where the dispensers are mainly con- the survival of dispensers over time.
107 educational farms
Educational farms are a form of diver- Educational farms in Lombardy, Distribution of educational farms sification of agricultural activity that 2011 in Lombardy, 2011. has met with great success in Lom- Educational % Change bardy, where since 2002 a registry has Province farms 2011/2010 been established and a Charter drawn Bergamo 46 7.0 up with requisites of quality required Brescia 21 0.0 for farm recognition. Como 8 0.0 Cremona 13 0.0 The development of educational farms Lecco 7 16.7 has been on an upward trend in past Lodi 12 -7.7 years, with an increase of 3.4% in ac- Mantua 16 -5.9 credited structures between 2010 and Milan 14 7.7 Monza and Brianza 4 100.0 2011, to a total of 184. 80% of accred- Pavia 26 0.0 ited educational farms in the region, Sondrio 6 20.0 or 147 structures, also have farm-stay Varese 11 0.0 certification. Altitude zone Mountains 37 5.7 As regards territorial distribution of Hills 54 5.9 structures, the province of Bergamo Lowlands 93 1.1 Source: DG Lombardy Region Agriculture. has the most, with 25% of the re- Rural areas Rural areas with overall gion’s educational farms, followed by problems of development 10 11.1 the provinces of Pavia (14.1%) and Intermediate rural areas 35 2.9 Brescia (11.4%). Rural areas with specialised intensive agriculture 80 0.0 Urban hubs 59 7.3 Total Lombardy 184 3.4 Source: DG Lombardy Region Agriculture. 108 AGRICULTURAL POLICY regional legislation
The key piece of legislation is Region- in application of Community Regula- and employment (Art. 13, 14, 15, al Law of 5 December 2008, n. 31 - tion guidelines on CMOs, in particular 60, 61, 63); Consolidated regional laws relating to wine. • Regional Law of 15 March 2012, n. 5 agriculture, forestry, fishing and rural TITLE VIII ter - Provisions relating to - Provisions for the reduction of the development, which consist of the fol- the monitoring of wine production costs of administrative apparatuses. lowing titles: potential. Implementation of Article 6, para- TITLE I - Purpose of the consolidated TITLE VIII quater - Provisions on the graphs 2 and 5 of the Decree-Law of act. agronomic use of nitrogen-based fer- 31 May 2010, n. 78 (Urgent meas- TITLE II - Interventions in rural, for- tilisers including animal effluents, wa- ures for financial stabilisation and estry-grazing, agri-food and fishing ter from olive mills and waste water economic competitiveness), ratified sectors. from farms and small agri-food busi- with amendments by Law of 30 July TITLE III - Articulation of jurisdiction. nesses. 2010, n. 122; TITLE IV - Provisions on forest surfac- TITLE IX - Provisions to expand and • Regional Law of 28 December 2011, es and economy. protect fish stocks and the operation n. 25 - Changes to the Regional Law TITLE V - Regional agency for services of fishing in regional waters. of 5 December 2008, n. 31 (Consoli- to agriculture and forests (ERSAF). TITLE X - Disciplines regional agri- dated act of regional laws on agri- TITLE VI - Monitoring of plant protec- tourism (farm stays). culture, forestry, fishing and rural tion products. TITLE XI - Provisions on civic uses. development) and provisions for TITLE VII - Provisions for reclamation TITLE XII - Final Provisions. reorganisation of reclamation con- and irrigation. sortia; TITLE VIII - Provisions on harvest, cul- The Consolidated Act has recently • Regional Law of 21 February 2011, tivation and marketing of epigeal and been amended by the following laws: n. 3 - Regulatory actions for the im- subterranean fungi (truffles). • Regional Law of 18 April 2012, n. 7 plementation of regional program- TITLE VIII bis - Provisions for approval - Measures for growth, development ming and amendments to legislative 110 provisions - “Collegato ordinamen- n. 4 “Regulations implementing Ti- July 2001, n. 12 (Regulations for tale 2011 (art.20)”. tle X of Regional Law of 5 December the growth and protection of fish 2008, no. 31 (Consolidated regional stocks and the exercise of fishing RECENT ACTS laws on agriculture, forestry, fishing in the waters of the Lombardy Re- OF STANDARDISATION and rural development)”; gion)”; • Regional Regulation of 8 June 2012, • Regional Regulation of 19 January • Regional Regulation of 27 Septem- n. 1 - Disciplines the electoral pro- 2010, no. 1 - Amendments to Re- ber 2010, no. 8 - Regulations for cedure of reclamation consortia gional Regulation of 20 July 2007, the identification, in implementa- under Article 82 of Regional Law n. 5 “Forestry rules, in implementa- tion of Article 54, paragraph 9, of 31/2008 and Article 2 of Regional tion of Article 11 of Regional Law of Regional Law No 5 December 2008, Law 25/2011; 28 October 2004, n. 27 (Protection n. 31 (Consolidated regional laws • Regional Regulation of 14 February and exploitation of surfaces, land- on agriculture, forestry, fishing and 2011, no. 1 - Amendments to Re- scape and forestry economy)”; rural development) of works of sim- gional Regulation of 20 July 2007, • Regional Regulation of 8 February ple forest maintenance, which did n. 5 “Regional forestry regulations, 2010, no. 3 - Regulation of water not result in a change in natural in implementation of Article 50, inspection under Article 85, para- situations, and cannot be consid- paragraph 4, of Regional Law of 5 graph 5 of the Regional Law of 5 ered plants or building works in December 2008, no. 31 (Consoli- December 2008, n. 31 (Consolida- the strict sense within the scope of dated regional laws on agriculture, tion of regional laws on agriculture, legislation on public works, and the forestry, fishing and rural develop- forestry, fishing and development); setting of spending limits. ment)”; • Regional Regulation of 8 February • Regional Regulation of 19 December 2010, no. 4 - Amendments to Re- 2011, no. 7 – Amendments to the gional Regulation of 22 May 2003, Regional Regulation of 6 May 2008, n. 9 “Implementation of R.L. of 30 111 regional spending
According to INEA methodology, the dominate (9.1%), followed by social ly, rising from 9.8% (2007) to 11.3% trend of public spending in agriculture security contributions (5.4%). in 2009, whereas nationally the share is analysed annually to assess the im- The total amount of payments for the declined from 12.9% to 12%. pact of policies on the territory. agricultural sector in Lombardy, ap- The analysis of expenditure by type Expenditure items that make up re- proximately 318 million euro, is in of agricultural policy measure shows gional public support are quantified line with previous years (284 million that, for 2009, the largest payment and qualified directly or indirectly. In euro in 2008 and 304 million in 2007). was for “technical assistance and re- 2009, the total amount of public sup- The percentage share of payments to search”, amounting to about 50%; port to agriculture in Lombardy was the sector to value added from agri- with “business management” (32%), 1,574 billion euro, 78% of which is culture in the region increased slight- these cover 80% of expenditure. represented by monetary payments for agricultural policy, while the re- Payments for agriculture and % share of regional value added from agricul- maining 22% come from social secu- ture (million euro) rity and tax relief. With regard to agricultural policy pay- 2007 % 2008 % 2009 % ments, the region contributed with Lombardy 304.40 9.76 284.76 8.90 317.91 11.28 20% of its budget, amounting to 316 billion euro; AGEA and regional pay- North-West 572.17 10.52 537.67 9.73 579.02 11.80 ing agencies (both EAGF funding for North-East 598.92 8.57 515.91 7.49 534.24 8.49 CAP and EAFRD funding for rural de- Centre 307.24 6.60 290.54 6.11 251.52 5.83 South 1,258.07 17.08 1,161.88 16.08 1,078.53 16.24 velopment) contributed 53.8% (846 Islands 916.83 23.55 1,070.29 27.21 668.11 17.93 million euro); and MIPAAF contrib- uted 4.5% (71 million euro). Italy 3,653.22 12.89 3,576.28 12.62 3,111.41 12.02 Among benefits, those for fuels pre- Source: INEA, data bank on public spending in agriculture. 112 Next, in order of magnitude, come from the budget of the regional paying expenditure items “forestry” (8%), agency. Thus it can be stated that, if “infrastructure” (4.2%) and “farm in- we take account of both expenditure vestments” (3.2%). For some of these flows, those that pass through the re- measures, there was an apparent drop gional budget and those contained in in resources used, but in reality these the budget of the paying agency, the funds must be added to those from level of agricultural expenditure is in the Rural Development Programme line with the share of expenditure that (RDP), which no longer pass through many regions allocate for such meas- the regional budget but come directly ures (RDP).
Breakdown of support for agriculture by type of measure and by region (%), 2009 Policy payments Tax and social Total community national regional security relief Lombardy 53.8 4.5 20.1 21.6 100.0
North-West 54.4 5.5 20.8 19.3 100.0 North-East 56.6 6.8 15.2 21.4 100.0 Centre 56.4 7.1 11.7 24.9 100.0 South 50.5 4.8 23.3 21.3 100.0 Islands 44.5 3.3 29.4 22.9 100.0
Italy 52.5 5.5 20.3 21.7 100.0 Source: INEA, data bank on public spending in agriculture. 113 cap – pillar 1
In 2011, Lombardy disbursed 507 approximately 12,400 euro per farm, is highly skewed geographically. The million euro in direct aid, amounts but 57% of beneficiaries of the single provinces of Pavia, Mantua, Brescia already deducted by the cut for mod- payment receive 5,000 euro or less in and Cremona absorb three-quarters ulation, equivalent to 12.3% of the aid. of direct payments granted in the net ceiling available to Italy for that As regards payments under art. 68, region; at the other extreme, Como, year. Overall, there were 35,588 aid the most important are those for qual- Monza and Brianza, Varese and Lecco recipients, and of these 21.8% (just ity of milk, which have been granted receive less than 3% combined. The over 7,700) are corporate. 1.2% of on 3.5 million tonnes of milk, half the SFP scheme guarantees most of the farms (470) do not appear to have re- volume eligible for aid at the national aid, exceeding 90% of the total in 9 ceived the single payment (SFP) but level, for a total of 17 million euro; provinces. Notable exceptions are only direct payments through Title also in this case, amounts are net of the province of Pavia, where specific IV and Article. 68 of Regulation (EC) the cut for modulation. Next come aid payments for rice accounted for 30% n. 73/2009. 0.7% of the beneficiaries to cover insurance premiums (circa of the direct payments to the prov- and 1.1% of the payments went to 12 million euro) and payments in fa- ince (which concentrates 78% of this farms outside the region. vour of improving the quality of cat- type of aid), and those of Milan and Over 430 million euro, or 85% of the tle. In particular, over 100,000 head Sondrio, where between 15% and 20% total, are represented by the value of of cattle in the region were entitled to of aid comes from the measures pro- SFPs, both ordinary and special. Next aid, about 12% of the total authorised vided for by art. 68 and specific pay- come specific crop payments for rice at the national level, and of these, al- ments under Title IV of Reg. (EC) no. provided for in Title IV, which com- most all (96.6%) were animals slaugh- 73/2009. mits a further 39 million euro (7.7%), tered in accordance with a specifica- Regarding the milk quota scheme, and aid through art. 68, which ac- tion of voluntary labelling approved which falls under the rules of the sin- counted for 5% of the total. by MIPAAF. gle CMO, in 2010/11 and 2011/12, The average value of entitlements is The distribution of direct payments as well as the previous year, Italy 114 did not exceed its national limit. In of the next farm year amounted to and Cremona). However, for the third 2010/11 production in Lombardy 4,457,935 tons, (41.1% of the national consecutive farm year, feared quota was 4,379,573 tonnes, 41.3% of the total), of which more than half were overruns were avoided; there were in- national total. Deliveries at the end made in only two provinces (Brescia dividual excesses, which in the region
Payments disbursed in 2011 in Lombardy (net of modulation) - euro
SPS payments Article 68 reg. EC n. 73/2009 Title IV Total Total of which of which of which Total of which direct Article 68 insurance Aid to quality Aid to quality Title IV Rice payments Subsidies* of milk of beef Bergamo 25,305,430 2,013,145 282,959 1,307,262 333,761 109,823 107,187 27,402,783 Brescia 89,238,562 6,582,962 724,159 4,427,341 1,310,511 23,989 23,193 95,818,296 Como 4,242,025 237,458 28,396 137,386 38,461 13,008 12,984 4,490,685 Cremona 79,400,960 6,739,193 1,824,208 4,591,406 115,501 92,511 91,502 86,202,660 Lecco 2,034,057 157,574 5,176 96,114 42,685 0 0 2,186,867 Lodi 28,668,104 2,384,249 544,556 1,659,318 115,571 867,798 865,339 31,886,574 Mantua 88,573,369 8,184,542 2,891,527 2,976,043 1,667,904 455,950 451,544 97,101,716 Milan 34,671,002 2,579,084 1,246,296 1,127,032 154,153 6,272,524 6,257,547 43,513,255 Monza and Brianza 3,684,680 108,512 29,762 56,232 21,989 134,014 133,017 3,927,403 Pavia 67,063,468 4,342,318 3,731,195 352,390 195,900 30,588,736 30,560,025 101,966,153 Sondrio 3,503,172 618,246 343,121 179,204 7,079 0 0 4,099,802 Varese 2,786,679 186,684 17,137 144,660 22,474 24,332 23,141 2,995,072 Outside the region 4,720,343 394,494 359,370 6,281 7,905 717,510 716,737 5,832,347 Total 433,891,850 34,528,462 12,027,860 17,060,668 4,033,894 39,300,194.80 39,242,215.81 507,423,612.66 * Including national funds and the national co-financing quota. Source: processing of DG Lombardy Region Agriculture figures. 115 reached 168,605 tonnes (40% of the markets, crop insurance and distilla- of the national total). The remaining national total). 40% of these overruns tion. Of the remaining 276 million, 10% is equally distributed between occurred in the province of Brescia the budget for Lombardy amounted measures of green harvesting and en- alone. to 10.8 million euro (4%). Of this richment of musts (with shares, re- The other major CMO of regional in- amount, nearly 5 million euro (46% spectively, of 6 and 2% of the national terest is wine. Funding for the imple- of the regional total) is earmarked total for these items). With regard to mentation of the 2012 national sup- for restructuring and conversion of the measure of potable alcohol distil- port plan amounted to 341 million vineyards (3% of national funds for lation, aid of 14,700 euro has been ap- euro. Of this amount, about 65 mil- the same measure), 3.3 million euro plied for (0.2% of the national total), lion euro cannot be pre-allocated to for investments (10% of national fund- compared with an initial allocation of the regions, as they are national funds ing) and 1.5 million for promotion on 74,429 euro, affecting 42 hectares of for measures of promotion on foreign the markets of non-EU countries (4% vineyards.
116 rural development programme (cap – pillar 2)
Total public funding made available value includes additional resources CAP reform (Health Check). 37% of through the RDP during the 2007- amounting to 106,073,334 euro, these funds have been allocated for 2013 programming period amounts to which the Region has introduced to measure 214 “agri-environmental 1,026,027,304 euro (of which approx- strengthen RDP strategy in relation payments”, 55.5% for measure 121 imately 46% comes from EAFRD); the to priorities dictated by the 2009 “modernisation of agricultural hold-
Financial fulfilment of RDPs in the Lombardy Region (euro)
Axis/measure Payments 2011 Spending progress as of 31/12/2011 % progress Public spending of which EAFRD Public spending of which EAFRD 31/12/11 (EAFRD) Axis 1 Meas. 111 - Training, information and raising awareness 676,401 302,486 1,959,326 863,301 34.2 Meas. 112 - Setting up of young farmers 6,826,020 3,053,340 18,237,307 8,070,574 70.7 Meas. 113 - Early pensions - - 32,762 14,022 26.7 Meas. 114 - Consulting services 9,000 4,023 9,000 4,023 0.1 Meas. 115 - Setting up management, aid and consulting services 14,568 6,522 187,593 82,241 66.7 Meas. 121 - Modernising on farms 37,653,308 17,535,533 81,287,102 36,855,242 36.4 Meas. 122 - Making best economic use of forests 2,035,891 910,716 5,296,811 2,370,630 60.6 Meas. 123 - Increasing value added of farm products 6,503,210 2,908,332 17,480,483 7,747,573 27 Meas. 124 - Cooperation 287,631 128,571 376,606 168,405 22.1 Meas. 125 - Improvement and development of infrastructures 5,324,270 2,587,009 6,465,965 3,088,242 9.5 Meas. 126 - Restoring potential of farm output - - 13,221 5,659 99.2 Meas. 132 - Support for farmers participating in quality systems 395,857 176,948 607,991 271,026 26.9 Meas. 133 - Information and promotion of quality products 1,038,808 464,748 1,521,451 680,827 69.7 TOTAL AXIS 1 60,764,964 28,078,228 133,475,618 60,221,765 32.2 >>>>> continued
117 Financial fulfilment of RDPs in the Lombardy Region (euro) continued
Axis/measure Payments 2011 Spending progress as of 31/12/2011 % progress Public spending of which EAFRD Public spending of which EAFRD 31/12/11 (EAFRD) Axis 2 Meas. 211 - Indemnity favouring farmers in mountain areas 13,462,430 5,923,564 47,923,102 21,086,285 67.4 Meas. 214 - Agri-environmental payments 29,622,465 13,810,627 156,015,068 69,607,628 56.2 Meas. 216 - Non-productive investments 924,754 406,892 924,754 406,892 2.7 Meas. 221 - Forestation of farm land 10,399,014 4,576,790 48,920,805 21,525,616 66.9 Meas. 223 - Forestation of non-agricultural land 3,824 1,683 3,824 1,683 0.6 Meas. 226 - Reconstitution of forest potential 2,493,600 1,097,184 3,405,789 1,498,547 16.6 TOTAL AXIS 2 56,906,087 25,816,740 257,193,342 114,126,651 53.9
Axis 3 Meas. 311 - Diversification into non-agricultural activities 7,257,997 3,247,318 14,633,957 6,542,585 25.7 Meas. 312 - Support to set up and develop micro-businesses 475,269 212,561 475,269 212,561 19.8 Meas. 313 - Incentives for tourist activities 553,218 247,424 820,309 367,001 13.9 Meas. 321 - Essential services for economy and rural population 1,730,451 773,971 3,382,839 1,511,038 20.9 Meas. 323 - Protection and requalification of rural patrimony 3,192,648 1,428,715 5,087,073 2,276,849 22.2 Meas. 331 - Training and information 158,993 71,102 158,993 71,102 9.9 TOTAL AXIS 3 13,368,576 5,981,091 24,558,440 10,981,136 23.2
TOTAL AXIS 4 1,795,691 790,104 2,943,812 1,295,277 6.3
Technical assistance 773,481 340,332 2,240,558 972,707 19.4
TOTAL 133,608,798 61,006,494 420,411,769 187,597,535 39.8 Source: processing of DG Lombardy Region Agriculture figures.
118 ings” and measure 125 A “water man- Spending progress of RDPs in Italian regions (euro) agement and land conservation”, and Area Programme RDP* payments RDP payments Spending 7.5% for measure 321 “basic services programmed 2007-2013 progress (%)* for rural populations”. Abruzzo 142,434,242 412,776,678 34.5 As of 31/12/2011 Lombardy, with 41% Bolzano 228,921,957 332,334,695 68.9 Emilia-Romagna 431,654,777 1,058,637,014 40.8 spending progress of programmed Friuli-Venezia Giulia 100,763,109 267,448,847 37.7 payments (420 million euro), stands Lazio 239,896,724 705,548,684 34.0 above the average of the regions in Liguria 106,980,531 292,024,136 36.6 the area of competitiveness (39.4%) Lombardy 420,411,769 1,030,976,570 40.8 Marche 213,013,488 485,140,566 43.9 and in third place in progress after Molise 72,925,125 207,870,961 35.1
Valle d’Aosta (63.8%) and the prov- Competitiveness Piedmont 365,704,278 980,462,994 37.3 inces of Trento (50.8%) and Bolzano Sardinia 478,064,209 1,292,253,805 37.0 Tuscany 307,430,540 876,140,965 35.1 (68.9%). Trento 142,439,685 280,633,361 50.8 In 2011, Axis 2 measures showed the Umbria 314,044,606 792,389,363 39.6 most advanced spending progress Valle d’Aosta 79,377,931 124,429,303 63.8 Veneto 369,181,012 1,050,817,665 35.1 (53.9%) compared to the average of Total 4,013,243,983 10,189,885,607 39.4 the program, followed by actions pro- Basilicata 241,755,614 671,763,196 36.0 posed under Axis 1 of the RDP with Calabria 393,480,761 1,089,901,667 36.1 32.2%, the measures of Axis 3 of 23.2% Campania 556,658,077 1,813,586,204 30.7 Puglia 569,246,513 1,617,660,218 35.2 and, finally, those of Axis 4 with 6.3%. Convergence Sicily 772,387,471 2,185,429,544 35.3 As regards payments for the year Total 2,533,528,436 7,378,340,829 34.3 2011, public expenditure disbursed National Rural Network 30,687,985 82,919,766 37.0 TOTAL ITALY 6,577,460,404 17,651,146,202 37.3 amounted to 133.6 million euro; the * As of 31 December 2011. highest disbursement was for meas- Source: processing of National Rural Network figures. - 119 ure 121 (37 million euro, which 18.3% to 32.2%, followed by measure penditure on Axis 4 is still modest. brings spending progress to 36.4%), 214 (29.6 million euro and spending 2011 was the year in which Local Ac- with performance improvement for progress of 56.2%). Implementation tion Groups (LAGs) began making Axis 1 compared to 2010, rising from of Axis 3 clearly improved, while ex- an active contribution to spending
Lombardy - Percentage distribution of public spending of RDPs disbursed by measure, 2007-2011
6.2% 4.4% 3.6% Agri-environmental 4.3% Forestation Compensatory indemnity 38.1% Modernisation Increase in VA 19.8% Diversification Young farmers Other 11.9% 11.7%
Source: processing of DG Lombardy Region Agriculture figures. 120 progress for Axis 4. Under measure In 2011 a proposal was approved to and from 223 and 221 to 121, 122, 41 “local development plans” 384 bid amend the Lombardy RDP, among 123, 125, 226, 311 and 323. calls were issued with total available other things calling for a reallocation resources of over 55.5 million euro. of resources from measure 114 to 112
Lombardy - Percentage distribution of public spending of RDPs disbursed by measure, 2011
16.4% Agri-environmental 22.2% Forestation 5.1% Compensatory indemnity Modernisation 5.4% 7.8% Increase in VA 4.9% Diversification Young farmers 10.1% Other
28.2%
Source: processing of DG Lombardy Region Agriculture figures. 121
GLOSSARY glossary
Agritourism (farm stays) paid for electricity actually sold to Pannonian, Steppic and the Black Sea The most common multifunctional the grid, net of internal consumption. region. Italian territory is affected by activity for Italian farms. In addition The producer who benefits from the Alpine, Continental and Mediterra- to lodgings and hospitality services, all-inclusive tariff does not have the nean regions. The effectiveness of the agritourism includes, in accordance right to sell the energy produced, and Natura 2000 network for the conser- with Law 96/06, recreational, cultural thus waives any further economic vation of habitats and species is as- and educational activities, sports, hik- consideration, as opposed to the eco- sessed at the bio-geographical level, ing, horseback riding, and the tast- nomic benefit of Green Certificates, independently from political and ad- ing of farm products, including wine. which is added to the proceeds from ministrative borders. Meals and drinks are to consist mainly the sale of electricity. of farms’ own products and products CAP - Common Agricultural Policy of farms in the area, with preference AWU - Annual Work Unit Constitutes one of the most impor- for typical, quality (PDO and PGI) and The AWU is equivalent to the contri- tant policies of the European Union traditional products. bution of at least 2,200 hours/year for and aims to increase the productivity a family worker and 1,800 hours/year of agriculture, ensure a fair standard All-inclusive tariff for a wage-earner. of living for the agricultural com- Disbursement of a monetary ben- munity, stabilise markets, guarantee efit, differentiated by source, paid Bio-geographical regions the safety of supplies and ensure per net kWh of electricity fed into The European Union is divided into reasonable prices for consumers. In- the network. Unlike the tariff for the following nine bio-geographical cludes measures of market support, photovoltaic energy and Green Cer- regions, or geographical areas with direct aid to producers and support tificates, which provide incentives homogeneous ecological character- measures for the development of ru- for all energy produced (including istics: Atlantic, Continental, Alpine, ral areas. own-consumption), the tariff is only Mediterranean, Boreal, Macaronesian, 124 Chain indexes of over 400 sq. m. and a minimum of such as: mail order (by catalogue); e- The chain index is the system of 5 distinct departments (as well as any commerce (selling via the Internet); evaluating production and prices in adjoining food department), each for delivery to individuals or organised real terms. The chain index consid- the sale of items belonging to different groups of consumers, such as collec- ers changes in price or volume, not product sectors and mostly for broad tive buyer groups; sale through public only in the values of the variables in consumption. spaces provided by local government, the current and base years, but also so-called farmers’ markets; vending with respect to the overall trend in the Depreciation and amortisation machines in urban areas selling raw whole time interval examined. Through amortisation, the long-term milk, fresh orange juice, portions of cost of assets and breeding are spread fresh fruit and vegetables. COM - Common Market Organisation over several years in terms of their Designed to achieve the objectives of economic lifetime. Calculated ac- Discount the CAP, a set of measures to man- cording to the criterion of replace- Point of sale that contains a limited age the market of a given agricultural ment value for plantations (including assortment of foodstuffs and house- product (production and trade), based forestry plantations), buildings, fixed hold items at very affordable prices. on respect for principles of unique- plants, land improvements, machines Size varies between 300 and 1,000 ness of agricultural markets, financial and tools. square metres and the basic layout of- solidarity and Community preference. fers minimum service. Reg (EC) No. 1234/2007 on organising Direct Sales the so-called Single CMO has integrat- Sale to the final consumer on the farm, DOC - Controlled Designation of ed the twenty-one previous CMOs. with stands - or allowing the gather- Origin ing of produce from trees and gardens Awarded to wines produced in limited Department store (“pick your own”) - and at outside areas (small and medium-size), which Retail business that has a sales area points or through innovative forms, carry their geographical name. 125 DOCG - Controlled and Guaranteed EBITDA - Earnings before interest, nomic data. The field of observation Designation of Origin taxes, depreciation and amortisation of the FADN survey does not coin- Awarded to wines of special quality, Indicator of profitability of a farm cide with the universe of farms, but nationally and internationally known, based on its type of management, ie includes only those defined as com- produced in areas of limited size (few before interest (financial manage- mercial by economic size. For sample municipalities). ment), taxes (fiscal management), de- designs, through 2009, the following preciation of assets and amortisation. are referred to as strategic variables: EAFRD - European Agricultural Standard Gross Margin (SGM), gross Fund for Rural Development External and State factors output at basic prices and costs; from Replaced the EAGGF along with This item represents the costs in- 2010 onward, strategic variables are: FEAGA; it supports European policy curred by the farm for salaries and the Standard Output (SO), the value on rural development, by funding social security, rents, passive in- of output at basic prices and the value programs of the Member States and terest expense and taxes and VAT of intermediate production costs. For regions of the European Union. (both on current operations and on each strategic variable, calculation investments). is made of: mean and variance as a EAGF - European Agricultural weighted average. The methodology Guarantee Fund. FADN - Farm Accountancy Data allows results to be shown, according Operating since 2007, it replaced the Network to geographic region, for economic “guarantee” section of the former Eu- Information tool aimed at revealing size - which since 2010 has gone ropean Agricultural Fund (EAGGF), the economic condition of European from the conventional measurement and co-finances, among other things, farms. In Italy, INEA has responsibil- (ESU = 1200 euro) to euro - and FT. measures to regularise agricultural ity for the organisation and function- markets and direct payments to ing of the national FADN, which is the FADN-REA farmers. only harmonised source of microeco- Survey conducted jointly by ISTAT 126 and INEA in collaboration with the FC - Fixed costs based on the determination of the eco- Regions and Autonomous Provinces. Includes costs incurred for the use of nomic importance of different produc- It surveys, at the level of each indi- inputs (depreciation, salaries, social tions on the farm and combinations vidual farm, the economic results for security contributions, quotas for sev- thereof. To this end, using the SGM of the year of reference: costs, stocks erance allowances - TFR, land rents, the area where the farm is located, the and surpluses, purchases and sales interest on capital loans, tariffs and number of hectares or animals raised of fixed capital, redeployments, rev- taxes, other overheads and land ex- is multiplied by the corresponding enues, own consumption, farm subsi- penses, withheld VAT taxes) that are SGM. The combination obtained is dies, labour costs and incomes of farm used for more than one year in the compared with a typological scheme households. production process, as well as wind- that is used to identify the FT accord- fall losses (arising from loans, portfo- ing to criteria established at the Com- Family labour lio, debt). munity level and valid for all official Persons aged 15 and over, members of statistics. A farm is called specialised the holder’s family who perform agri- FS - Farm size when the SGM of one or more produc- cultural work on the farm. Since 2010, with the new system of tive activities exceeds 2/3 of the farm’s farm classification, the ESU (Europe- total SGM. Since 2001, the typology Farmers’ markets an Size Unit) acquired a new distribu- used comes from reg. (EC) n.1555/01. Public spaces provided by regions and tion of economic size in euro; FADN municipalities to provide farmers with (RICA) Italy adopts 8 economic size FWU - Family Work Unit direct sales of local and organic pro- classes to identify farms, adding to the Persons working on the farm who do duce, in accordance with Ministerial classes proposed by FADN EC. not receive wages or salary but are Decree of 20 November 2007. paid through the income remaining in FT - Farm type the household derived from agricul- The classification of farms by FT is tural activity. 127 GD - Large-scale retail fore measures the actual amount (food and non-food), each of which The total of companies with stores op- received by the farmer for his prod- has the characteristics of a supermar- erating in the form of supermarkets, ucts according to the criterion of ket and a department store. hypermarkets, discounts, department “basic price” indicated in the ESA95 stores, and other large-size special- methodology. IGT - Typical Geographical ised companies. Indication Health Check of the CAP Assigned to wines whose production GDP - Gross Domestic Product Assessment by the European Com- areas are generally large, accompa- The GDP is the total value of goods mission of the implementation of the nied by mentions (vine, oenological and services produced within a coun- CAP reform of 2007, which focussed type, etc.). try during a given period of time (usu- on new challenges for European ag- ally a calendar year). Does not include riculture (climate change, renewable Implicit prices (price indexes) the value of intermediate goods and energy, water resource management, The ratio between the value of an eco- services. biodiversity, restructuring of the dairy nomic aggregate at current prices and sector, broadband for rural areas). the corresponding aggregate at con- GP - Gross Production This has led, among other things, to stant prices. Production value of crops and live- the inclusion in the RDP of specific stock and other farm products. In- support for innovative operations for INEA database on public spending in cludes: sales, redeployments, own agriculture in rural areas related to agriculture consumption, changes in stocks and the new challenges. Examines public spending in agri- storage, and farm products. To this culture on the basis of budgets and value is added the amount of pub- Hypermarket final accounts of the regions through lic subsidies received by each farm; Retail business with area of over 2,500 a methodology that explores the the variable thus obtained there- square meters, divided into sections trend and amount of regional spend- 128 ing, quantifying and qualifying the ture - partly supported by the CAP - region, and Special Protection Areas items that directly or indirectly which is no longer limited to produc- (SPAs) established through Directive make up public support in the sec- ing food, but which performs other 79/409/EEC (“Birds Directive”) on the tor. Through the construction of important functions such as the pro- conservation of wild birds. “consolidated public expenditure for tection of the environment, land con- agriculture”, the database provides servation, maintenance of rural areas, NB - Normalized Balance an estimate of total public support safeguarding of typical products and The ratio between the simple balance to the primary sector, which benefits the preservation of customs and tradi- (exports - imports) and the volume regional and central governments. tions of rural life. of trade (exports + imports); varies between -100 (no exports) and +100 Intermediate consumption Natura 2000 network (no imports) and is used to compare Aggregate of current expenses of farms A network of sites that covers all 27 the trade performance of aggregates of (seeds, fertilisers, pesticides, feed, en- Member States of the EU with the aim different products and with different ergy, irrigation water and various ser- of halting the decline of biodiversity absolute value. vices). Redeployments are included. through the long-term protection of the most threatened species and habi- NI - Net family income LSU - Live Stock Unit tats, consistent with the needs of hu- Calculated as GP - (intermediate con- Unit of measure of the size of a herd man activities in the territory. Natura sumption + depreciation + external which, as the ratio to UAA, is used to 2000 network includes Sites of Com- and State factors). Represents the re- determine herd density. munity Importance (SCI), set up by muneration of fixed factors of produc- Directive 92/43/EC (“Habitats Direc- tion made by the entrepreneur and Multi-functionality tive”) for the conservation of natural his family (land, family labour and The term multi-functionality is used habitats and of wild flora and fauna, capital) and business risk. to indicate a new role of agricul- selected for each bio-geographical 129 Non-family labour and animal health, under Reg. (EC) PGI - Protected Geographical Long-term workers, special catego- no. 834/2007. It does not involve the Indication ries, employees, managers, workers use of plant protection products and Assigned to an agricultural product on temporary contracts and share- synthetic fertilisers, herbicides, phy- or a foodstuff originating in a region, croppers. toregulators, genetically modified or- a specific place or, in exceptional ganisms, or the use of livestock anti- cases, a country, in accordance with OBP – Output at basic prices biotics for prophylaxis and hormones. Regulation (EC) n. 510/2006, when With ESA 95, production includes re- “a given quality, reputation or other deployment and exchanges between PDO - Protected Designation characteristics can be attributed to farms, as well as services related to of Origin that geographical origin and whose agriculture. The valorisation of pro- Assigned to an agricultural product production, processing and prepara- duction is made at basic prices, mean- or a foodstuff originating in a region, tion take place within the determined ing the price received by the producer a specific place or, in exceptional geographical area”. per unit of product, minus taxes on cases, a country, in accordance with the product and including all pay- Regulation (EC) n. 510/2006, when Production subsidies ments linked to the product. Does not “quality or properties are significant- With the CAP reform of 2005 and the include contributions not commensu- ly or exclusively determined by the introduction of the single farm pay- rate with the products. geographical environment, including ment, the classification was revised natural and human factors, and whose for aid that previously flowed into Organic Farming production, processing and prepara- the base price. Aid is now classified Sustainable management system of tion take place within the determined as: product subsidies, other subsidies agriculture to obtain high-quality geographical area”. on production, and subsidies to other products and food, with respect for economic activities. Only the first cat- the environment and human, plant egory, product subsidies, is part of the 130 valuation of the base price. in process and product. The measures the farm, because the relative value is in Axis 2 promote support of sustain- included in the transformation of the Range IV able agricultural and forestry develop- wine; olives for oil production directly Fruits and vegetables (fresh), washed, ment in harmony with the protection by farms; the milk to feed calves on dried, cut, packed in trays or in plastic of biodiversity, the best use of land- the same farm; permanent fodder sacks ready for consumption. The ser- scape and the development of renew- crops not bought and sold between vice involves value added that trans- able energy sources. The measures farms; by-products without economic forms the agricultural product into an in Axis 3 guarantee the permanence value; and seed re-used on the same industrial product in all respects, with of rural populations in less-favoured farm. Included in the calculation of a higher price than that of a vegetable areas and promote diversification of redeployments: seeds which have sold as such. the rural economy. Measures in Axis economic value and are sold to other 4 aim to integrate agricultural aspects farms; products also used for animal RDP - Rural Development Plans in activities of local development and feed; directly marketable fodder out- Plans to be implemented at the region- to increase the effectiveness and effi- put (hay, corn silage, etc.). al level, for each Member State, for ciency of local governance. seven years, which specify, through a Related services series of measures and actions, what Redeployments Exercise for third parties and rental of can be funded by the EAFRD on a ESA 95 distinguishes between those vehicles and agricultural machinery given territory, within measures of ru- reused within the same farm and with operators; preparation (exclud- ral development (Pillar 2 of the CAP). those exchanged between farms with ing processing), preservation of agri- In particular, the actions proposed in economic compensation. The new cultural products and other service Axis 1 aim to increase the productiv- evaluation excludes from the cal- activities related to agriculture on ity and competitiveness of farms and culation the following productions: behalf of third parties; maintenance processing, by stimulating innovation grapes for the production of wine by of parks, gardens and flower beds; 131 service activities associated with live- thus determined is defined as “stand- year) is the Standard Output for the stock, except veterinary services. ard”, in that saleable output and farm. costs are calculated on a three-year Secondary activities average and with reference to specific SPS - Single Payment Scheme Activities carried out in the agricul- geographical areas (the regions and Introduced by the Fischler reform, it tural sector (farm stays, processing autonomous provinces). The SGMs includes and disciplines most of the of milk, fruit and meat, aquaculture, are expressed in euro and updated direct sector aid provided through direct sales) and those performed by by INEA during structural surveys CMOs of the CAP. Each farmer who other branches of production (trade and censuses conducted by ISTAT. accesses the SPS is the owner of a and processing) but on agricultural The amount of SGM corresponding payment entitlement per hectare in goods and products. to farm production divided by 1,200 accordance with the rules on cross- equals the farm’s economic size and compliance (see Fischler Reform). SFP - Single Farm Payment is expressed in ESU. Payment that farms receive under the Subcontracting SPS. SO - Standard Output Supply of machinery from companies Standard Output of each agricultural and/or firms specialising in farm pro- SGM - Standard gross margin production activity is determined duction activities (ploughing, sowing, A parameter determined for defined by multiplying its farm size by the harvesting, etc.). production activities as the differ- standard production unit typical for ence between saleable production the territory (region or autonomous Subsidies and the amount of certain specific province) where the farm is located. Meaning subsidies on current opera- costs (seeds, fertilisers, pesticides, The sum of standard outputs of all ac- tions related to production (not to feed, fodder, etc.) not including la- tivities carried out by the same farm investments). Payments for cessa- bour and machinery. Gross income in a given accounting period (or crop tion of agricultural activities, there- 132 fore, are not included. Subsidies are land constituting the farm. Total output also includes contingent considered on the basis of ownership assets (arising from loans, portfolio, and not on the actual receipt of a pay- Taxes debt) and other farm revenues includ- ment, in order to obtain consistent re- Mandatory charges levied by gov- ing those resulting from agritourism, sults (production/costs/subsidies) for ernment. They are of two kinds: di- rental income and the rental of farm a given fiscal year. rect taxes, which are levied periodi- machinery (if occasional), as well as cally on income and capital; indirect government grants received by the Supermarket taxes, which operate on production farm for disasters, charges, rented Retail business with self-service and and imports of goods and services, land and VAT payments. payment at the exit, with a surface labour force, ownership and use of area greater than 400 square meters land, buildings or other assets used in Traditional products and a vast assortment of consumer production. Food products whose methods of pro- food goods, mostly pre-packaged, as cessing, preservation and ageing have well as non-food items for everyday TO - Total output been inextricably linked to the cus- household use. Value of farm products sold, those toms and traditions of the territory intended for own consumption, com- for at least 25 years. They are identi- TAA - Total Agricultural Area pensation of employees, and lock- fied by the regions and listed on the The total area of land on a farm in- ing up of capital; takes into account national register established by the tended for growing herbaceous and/or the changes of stocks of warehoused Ministry of Agriculture, Forestry and tree crops, including forests and non- product. For livestock farms, total Food Policies (MIPAAF), updated by used agricultural area, as well as area output, as well as sales and purchases, annual decrees. occupied by parks and ornamental takes into account the increase in val- gardens, buildings, ponds and canals, ue of animals intended for fattening Turnover located within the perimeter of the and breeding as they change category. The amount of all invoices issued dur- 133 ing the reference period for sales on VA - Value added of the year (seeds, fertilisers, feed, en- domestic and foreign markets. The The balance between output and in- ergy, etc.), as well as for the use of oc- value of turnover is net of VAT in- termediate consumption, in which casional labour. voiced to customers, rebates and dis- output is valued at basic prices, net counts, and gross of expenses (trans- of taxes on products and inclusive of WU - Work Unit port, packaging, etc.) and expenses subsidies on products. Output valued Unit of analysis that quantifies evenly charged to customers (eg. processing at basic prices differs from that meas- the volume of work carried out by tax). Turnover also includes the sell- ured at factor cost: the latter is net of those involved, with different modes ing of products not processed by the all taxes (both on products and other and intensity of time, in the produc- business and invoices for services and taxes on production) and gross of all tion process of a country, independ- work performed for third parties on contributions (both the contributions ent of residence. The set of work units raw materials supplied by them; it ex- commensurate with the value of the is obtained from the sum of full-time cludes sales of fixed capital. goods produced, and other subsidies and part-time jobs (primary and sec- on production). ondary), expressed in full-time units. UAA - Utilised Agricultural Area Surface of all arable crops, permanent VC - Variable costs grassland and pastures, tree crops, Includes all expenses incurred, in- family garden plots and chestnut cluding the redeployment of farm stands. products, inputs used up in the course
134
“Lombard agriculture in figures - 2012” is also available in Italian. The publication can be consulted in Italian and English at the website of the Lombardy Region (http://www.agricoltura.regione.lombardia.it) and at the website of INEA (www.inea.it).
Printing CSR s.r.l. Centro Stampa e Riproduzione Via di Pietralata, 157 - 00158 Roma Printing completed in December 2012 isbn 978-88-8145-239-2 LOMBARDY AGRICULTURE IN FIGURES - 2012