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Germany

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Study on Milk Production Costs in Germany

The study, commissioned in late 2011 by the European Milk Board (EMB) and the MEG Milch Board from the Farm Economics and Rural Studies Office (BAL), calculated the production costs nationwide to satisfy these terms of reference. It is based firstly on data provided by the European Commission’s Farm Accountancy Data Network (FADN). This is a reliable, representative and comprehensive basis for the study. Secondly, it also draws on price indices for agricultural means of production like feed, fertilisers, seed and energy, from the German Federal Statistical Office to update the EU data available. A third important basis for the calculation is the wage variable, which incorporates the working hours of the farm managers and their family members. The results for Germany are currently available and are to be updated on a quarterly basis. For other EU countries, the costs will be calculated along the same lines in the next few months and years. This means that figures throughout the EU can be compared with each other – an important point in a market with an international dimension.