The Income of Small Family Farms in South Banat Area Focused on Agricultural Production
2023
Munćan, Mihajlo | Đoković, Jelena | Paunović, Tamara
Most of agricultural production in Republic of Serbia is organized on family farms. However, their number is decreasing. Based on data collected on 15 family farms located in the South Banat area, focused exclusively on crop production, income was examined as farm owner’s basic motivation for further development of agricultural production on small farms. Using a method of calculations of the gross margin, as well as fixed costs and subsidy amounts that the farms received in the observed ten-year period, it was determined that the income alone does not provide sufficient motivation. In fact, the average income realized on family farms is almost 30% lower than the average income realized in the observed area. Also, due to low realized incomes, family farms will not be able to secure funds for investments in digitalizing and automating of sustainable production, which represent the basic principles of Agenda 4.0.
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Editeur Faculty of Agriculture, Belgrade, Serbia
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