Economic Efficiency of the Agricultural Farms

Nina Koteva

Abstract: The article’s aim is to make an assessment of the economic efficiency of the farms, according their production specialization, applying the comparative analysis. For the analysis we use the indicators for labor and land productivity, income per utilized land and livestock, and profitability included in the System of Agriculture and Accountancy Information. The results of the investigation show that:• In the plant growing farms, with a highest efficiency rate are these with vegetable crops. In spite of their small production areas they obtain high incomes, and productivity and profitability, which makes their production most efficient. The second place belongs to farms with field crops production. The larger land areas tilled and the high mechanization grade contribute for a higher productivity rate and the put subsidies to use benefit considerably their productivity, incomes and profitability rates. Lowest is the efficiency of the farms with perennial crops. Their extremely low economic indicators show that the sector is in a deepening crisis, especially in the fruit production. • For the livestock breeding farms the higher efficiency rate is achieved in the swine breeding and poultry. Although these farms have achieved a higher intensification and productivity rate, the extremely high production costs levels determine a low profitability rate of their economic activity. For the farms breeding ruminant animals, even with prevailing extensive type of production and a rather low productivity rate but a high profitability rate, have neared the indicator’s levels for land and livestock productivity of the swine breeding and poultry farms.

Keywords: agricultural farm specialization; efficiency; income per utilized land and livestock; labor productivity; land and livestock productivity; profitability

Date published: 2018-01-29