Factor income at current market prices went up by 11.9 per cent in 2010 when compared to the previous year, to stand at €77.2 million, the National Statistics Office said this morning. This income is defined as the market value of agricultural output as perceived by producers, plus subsidies received by the sector and netted of production costs, capital consumption and production losses. The main contributor to this increase was a sharp rise in the subsidies not directly linked with production. In 2010, entrepreneurial income (+12.6 per cent) absorbed 94.3 per cent of the total factor income. Dependence on subsidies increased by 10.7 percentage points, from 25.9 per cent in 2009 to 36.6 per cent in 2010.

A €3.7 million decline (-2.8 per cent) in the market value of gross agricultural production was registered in 2010. Characterising this result were drops of 4.9 per cent and 4.7 per cent in the market value of animal and crop products respectively. On the other hand, the value of livestock products retained the same levels of 2009.

Total intermediate consumption, which indicates the value of operational costs, decreased by 2.3 per cent to €68.1 million in 2010. This was due to a decline in the costs of animal feed.

Total subsidies absorbed by the industry in 2010 amounted to €28.2 million, an increase of 58.2 per cent from €17.8. million in 2009. Subsidies not directly linked with production rose by €11.6 million in 2010. On the other hand, subsidies on production declined by €1.2 million, mainly due to lower amounts received in respect of livestock and animal products.

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