TAIEX Worskshop on Agricultural Extension Services in EU Organisational structure and practice activities of agricultural advisory services in EU Member States - Italy 25-26 February 2016 Kiev-Ukraine Sonia Marongiu CREA – Council for Agricultural Research and Agricultural Economics Analysis Rome Unit: Politics and Bioeconomy THE ORGANIZATION OF FARM ADVISORY SYSTEM IN ITALY The Italian FAS is characterized by three components: • Private: consists of private experts, private firms producing input for agriculture (fertilizers, crop protection systems, etc.), animal feeding, etc. • Public: connected with national and regional institutions for agriculture, having more general economic policy aims. Objective: keep/expand their market share Medium-large farms Objective: promote the development of agriculture in rural territories Medium-small farms • Farmer based organizations Historically, the development of Italian agriculture has been determined mainly by the private producer of inputs thanks to which the agricultural farms have experienced the modern mechanization, the innovation and the most advanced agronomic techniques (since the postwar period until now). The advisory service coming from the public sector contributes more to the promotion of the technic and economic knowledge in the small and medium farms and helps farmers in the implementation of the new European agricultural policies. THE ORGANIZATION OF FARM ADVISORY SYSTEM IN ITALY Delivering of advisory services in Italy Methods: • Information activities (informative materials, conferences, seminars) • Technical meetings, laboratory tests, field visits • Advice for small groups or individual advices THE PRIVATE FARM ADVISORY SYSTEM IN ITALY The private Farm Advisory Services are provided by: 1. Upstream industries 2. Downstream industries 3. Experts and professional advisors 4. Information system 1. Varietal innovations, fertilizers and crop protection sytems, mechanic innovations, management of livestock systems, etc.. The AS is carried out by agronomists, biologists, engineers and veterinaries that offer their technical assistence and training in agricultural farms and for retailers 2. The food industries sign commercial agreements with farms (contract farming) defining quantity and quality of the production. The farmer receives training, advisory services and technical assistence from the food industry (i.e. in Italy: granivore farms-meat industry; beet producerssugar industry, etc.). 3. Mainly agronomists and veterinaries: they offer their assistence in the preparation of specific projects (irrigations, greenhouses, etc) or administrative documents to apply for European or National aids. Many of them are involved in the contract farming and operate on behalf of food industries. 4. Farmers are informed by magazines (edited by private companies or research bodies, professional organizations, etc.) or by national and international fairs and exhibitions (mechanical sector, irrigation, fruit, vineyards, etc.). THE PRIVATE FARM ADVISORY SYSTEM IN ITALY: UPSTREAM INDUSTRY The upstream industry includes the producers of seed, fertiliser, pesticide, veterinary medicines, machinery, irrigation and animal feed. They have an important role in the diffusion on innovation to farmers and are also involved in R&D activities with high potential market returns. The upstream industries operates with a network of retail and wholesale stores and technicians working on the ground directly with farmers, giving them technical support. Almost 5,000 advisors work in upstream industries (est. 2008). In Italy the suppliers of these kind of advisory are not concentrated but geographically spread in all the Regions. SOME EXAMPLES COMPAG - National Federation of Agricultural Products Traders UNIMA - National Union of Agricultural Mechanisation Companies It is an association of private traders companies involved in the supply of pesticides, fertilizers, seeds, animal feed, cereal trade etc. Farm Machinery: the advisory services are provided by the sellers and the companies processing under contract (i.e. UNIMA the, represent more than 85% of agro-mechanical companies). Advisory activities: support the companies in the organization of training for farmers, in the realization of information system on the sustainable use of pesticides, etc.. THE PRIVATE FARM ADVISORY SYSTEM IN ITALY: DOWNSTREAM INDUSTRY The downstream industry provides advisory services to the farmers under contract farming (the food industries sign commercial agreements with farms) with the aim to enable tem to meet specific quantity and quality standards set by the purchaser. • 39,249 farms unders contract farming with industrial companies • 97,980 farms under contract farming with commercial companies • 734 advisors work in the downstream industry (poultry, pig, meat, fruits and vegetable, sugar beet, etc.) The farmer benefits from technical advice, managerial expertise and access to technological advantages provided by the contractors. SOME EXAMPLES Barilla engaged a project «High quality durum wheat» promoted by Emilia Romagna and involving the entire supply chain. Producer Organizations and Consorzi Agrari sign contractual agreement with farmers providing technical assistance and advisory services for the enhancement of durum wheat quality, following the plan of Barilla. Aim: improving the quality of production THE PRIVATE FARM ADVISORY SYSTEM IN ITALY: PRIVATE PROFESSIONAL ADVISERS In Italy, the system of private consultants and advisors includes agronomists and veterinarians that must be registered with a professional order. In Italy (2010) • 53,379 people enrolled in the agricultural professional order (agronomy and agro-technics) • 27,891 in the Veterinary professional order Usually medium and large farms have a private advisor to rely for specific activities: soil preparation, sowing, fertilising, disease and pest control. In some sectors, such as wine production, even the smallest companies has an enologist. In recent years the demands of advisory concerning the application procedure to obtain EU funds is increasing. The private advisors work individually or in companies. In the last programming period, the participation to RD calls for advisory services has been extended to entities and not individidual people. Because of this, the number of professional associations are increased in Italy. One of them is FONDAGRI (Foundation for agricultural advisory services), a network of advisors working in all the Regions with the main objective of partecipating in the FAS measures of RDPs. THE PUBLIC FARM ADVISORY SYSTEM IN ITALY (1) In Italy, the only public institution involved in the promotion and management of the Farm Advisory Services is the Region. Every Italian Region: • has its specific law • decides about competences, roles and involved subjects • defines the procedure to assign public funds • has its production sector and territorial farm typologies Italy does not have a «national» system but it is possible to highlight some common points among the 21 Regions. • Every Region regulates the FAS inside a wider system that include also research and training (Extension Services: Agricultural Knowledge and Information System – AKIS) • Every Region adopts a decentralized organizative model, entrusting the advisory services to third parties (publics and privates) Role of direction and coordination (Management Authoriti of RDP) Regions THE PUBLIC FARM ADVISORY SYSTEM IN ITALY (2) Public bodies (direct) Private advisors (selection) • Province or other local government structures • Agencies of agricultural services: metereological networks, chemical laboratories, multimedia initiatives, etc. • Often they manage public funds to realize the call for tender and choose the advisors to supply the service to the farmers • Farmers professional associations (trade unions or agricultural producers associations): the most actives are fruit/vegetables and breeder associations The Regional Department of Agriculture emanates a call or an assignment of funds and the private advisors must submit a project to • obtain public funds. • Agronomists, specialists veterinaries and Public resources: 33% technical services; 32% basic services; 14% specialistic services; 6% information FARMER BASED ORGANISATIONS Three types: farmers’ unions, farmers’ cooperatives and producers organizations Farmers unions: Coldiretti, CIA and Confagricolura represent the economic, social and civil interests of farmers. Historically the adhesion reflected a specific political affiliation but actually this is not relevant. Coldiretti and CIA: small and medium size farms Confagricoltura: largest farms The Farmers Unions provide several services to the farmers: • Fiscal assistance (CAFs, tax assistance centers) • Technical assistance (CAA, agricultural service centers): management of EU subsidies, legal services, administrations They are partly funded by public money and partly by the farmers through their annual fee and paying the cost for services. Sometimes they offer services free of charge. FARMER BASED ORGANISATIONS Farmers Cooperatives: in Italy there is an important farmers’ cooperative tradition, especially in north and centre of the country. In Italy there are almost 5,900 agricultural cooperatives including 993,400 farmer members with approximately 94,000 employees and more than 35 billion of revenues. The service cooperatives are 1,827 with 246,500 members generating about 6 billions of revenues. Farmers Cooperatives provide various services to their members: supply of farm inputs, storage, selling products, research (analysis, experimentation, etc), technical advisory, etc.. Historically a special kind of farmers Cooperatives, Consorzi Agrari, played a very important role as consultants, especially as regard chemical fertilizers and agricultural machinery. Actually they are federated in ASSOCAP which provided agricultural advice through a network of 1,200 agencies spread all around Italy. FARMER BASED ORGANISATIONS Producer Organisations: in Italy there are 195 non-fruit and vegetable producers organisations and 297 fruit and vegetables producer organisations. Often they are farmers’ cooperatives. They adopt actions to improve the production quality and safety (such as disciplinary, traceability, certifications, etc.) and offer expert advice to farmers. The POs role in innovation and knowledge transfer process could be crucial but it is highly variable depending on the sector and geographical area. ITALY: EXTENSION SERVICES CLASSIFICATION First level services (target: farms and local territories) Information a. Technical magazines b. Fairs and exhibitions c. Conferences and seminars d. Others Basic and local services a. Cultural services b. Basic farm advice c. Technical advice d. Marketing advice e. Customer advice f. Other Advanced level support services a. Network of environmental monitoring b. Specialized supports c. Marketing promotions d. Networks, database and multimedia e. Other Product specialized services a. Test b. Technical advice c. Marketing advice d. Farm advice e. Other Managerial services a. Accounting b. Managerial and financial advices c. Support to implement policy d. Other Second level services (target: technical organizations) a. b. c. Planning and management advices Analysis of innovation demand Other CASE STUDY: FARM ADVISORY SYSTEM IN TRENTINO The Autonomous Province of Trento is located in the North of Italy. It is a mountainous area. The agricultural economy is based on permanent cultivations (apples and wine), berries and livestock. 60% of territory is occupied by forests: wood is another important source of income. Characteristic: a strong cooperative system in every productive sector. CASE STUDY: FARM ADVISORY SYSTEM IN TRENTINO The FAS in Trentino is based on • Chain approach • Integration between advisory and training services • Sustainable management of the territory Research and innovation system Agricultural system The model of Agricultural Knowledge and Information System in Trentino gives an important role to the research and innovation, considered as instruments for the development of farm and territorial competitiveness. The research and innovation system is closely integrated with the agricultural productive system with the aim to foster the innovation and technology transfer process. CASE STUDY: FARM ADVISORY SYSTEM IN TRENTINO The Provincial Law 14/2005 regulates all the system of advisory and training development. The Edmund Mach Foundation is the most important institution in the field of research and testing in agriculture, training, farm technical assistance and advisory services. Activities National Park of Stelvio • Second level • High vocational training in agriculture, environment and forestry (graduate and postgraduate) • Dissemination activities • Advisory services Funded by the Province + RDP Funds (in 2007-2013) + other funds (collaborations with companies and other institutions) EDMUND MACH FOUNDATION The Edmund Mach Foundation was an agricultural institute. It is located in San Michele all’Adige, 20 km far from Trento. The Autonomous Province of Trento carried out its advisory service system entrusting the management of all the activities to the EMF. It is divided in three Centre • Education and training • Research and innovation • Technological transfer Farm Advisory Services Testing activities in agriculture, environment and forest The Centre of Technological Transfer fosters the knowledge dissemination and the technological transfer with the aim to improve the agricultural and forestry system following a sustainable management of the territory. The Advisory activity is carried out following a chain approach=involving all the actors on cross-cutting issues involving all the productive sectors: • Integrated production and certifications • Soil analysis • Effects of agriculture on the environment • Sustainable management of the territory (agriculture in mountain areas) EDMUND MACH FOUNDATION In this system, the link between education and training and advisory services is considered crucial, and very important for the development of knowledge and human capital. FAS is realized mainly through the EMF with two kind of activities: Vocational training: Information • Vocational training for young farmers • • Training for operators in agriculture and forestry sector Information activites for operators in agriculture and forestry sector • Workshop for operators in agriculture and forestry sector Training activities for operators of agrifood and environmental sector • At the beginning of RD programming period 2007-2013 the Education and Training Centre, in collaboration with the Technological Tranfers Centre has concentrated its activities mostly on the cross compliance and safety conditions at work. Training and information activities financed by RD funds (Measure 111: vocational training and information). Measure 114 and 115 have been not applied in Trentino. • Cross compliance: advisors and consultants in all the province were the beneficiaries • Safety at work: in a first time only for technicians, then for all the farms (5,500 farms were involved (27% of the total) THE LOCAL APPLE CHAIN AND THE ROLE OF CONSULTANTS Thanks for your attention Sonia Marongiu – CREA sonia.marongiu@crea.gov.it