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Cattle Receive Half of Farm Subsidies

29 November 2012

SWEDEN - Data from the Agricultural Department shows that half of the government's farm subsidies goes into dairy and beef farms, according to Swedish Milk.

The study has shown that 71 per cent of subsidy payments from 2007 to 2009 went into agriculture, 8.4 per cent went into processing, and the remaining 20.6 percent for other investments. Of the agricultural budget 48.3 per cent is received by dairies and 18.9 per cent by beef producers.

Swedish Milk justify this spending due to the costs of milk production. Self cleaning buildings cost, on average, 9 million Swedish Krona per installation. Huge investment is also needed for milking mahcines and installing milk tankers. Automatic milking machines accounted for around half of subsidy spending.

The government hope the report will evaluate the current spending structure in Swedish agriculture and inform future funding.



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