RESEARCH PAPER
PRODUCTION DIVESTMENTS IN COMMERCIAL FARMS – AN ATTEMPT AT IDENTIFYING THE SCALE OF THE PHENOMENON
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Uniwersytet Rolniczy w Krakowie
Acceptance date: 2011-12-19
Publication date: 2011-12-19
Zagadnienia Ekonomiki Rolnej / Problems of Agricultural Economics 2011;329(4):76-87
ABSTRACT
This study raises the issue of divestments in agricultural holdings, which is now becoming topical. The processes of limiting or abandoning certain agricultural activities constitute an intrinsic element in evolution in agricultural holdings. However, in such turbulent circumstances, the dynamics of this phenomenon is gaining speed, which may reflect a decline in or the development of economic entities.
This study attempts to estimate the scale and structure of production divestments in individual commercial farms. The theoretic considerations are supplemented with analysis results, taking into account the production type of the holding. The most numerous group out of the 6881 holdings surveyed was formed by the holdings which had abandoned potato production (1086 entities) and pig breeding (1177 entities). Most of the observed instances of retreating from agricultural activity should be viewed as measures to streamline the organisation of the holding: the production concentration (re-concentration), resulting from a specialisation and/or simplification in the activities conducted.