BALANCE OF PRODUCTION AND USE OF AGRICULTURAL CROPS
METHODOLOGICAL NOTES
Data sources
Use of balances
Coverage
Definitions and explanations
The balance of individual products
Prepared by
Data sources
The main sources of information are:
• Crop production statistics
• Animal production statistics
• Statistics of slaughter
• Market information system for the market of eggs from the Agency for Agricultural
Markets and Rural Development (Ministry of Agriculture, Forestry and Food)
• Statistics of industrial production
• Foreign trade statistics
• Eurostat lists of codes of the Combined Nomenclature and the technical coefficients
for the conversion
• Statistical estimates
• Expert estimates of the Agricultural Institute
Use of balances
The balance of production and consumption of agricultural products is used:
• for monitoring of market trends
• for the production of economic accounts for agriculture
• to calculate the weights for monitoring the movement of prices in agriculture
• in the EU to regulate the commercial relations of individual agricultural markets
• to monitor the structure and development of individual markets
• to provide information for agroeconomic decisions
Coverage
Balances can only relate to the basic products or to the primary and processed
products together. If the balance relates to basic and processed products together,
all products must be converted to the same unit (usually the base product). The
balances of production and consumption of agricultural products are prepared on the
basis of Eurostat’s lists of codes of the Combined Nomenclature with regard to the
technical coefficients for the conversion of the processed products into equivalents.
Definitions and explanations
The balance of production and consumption of agricultural products is for a
specified period the standardized information on supply and demand for a particular
agricultural crop or group of products that relate to the country as a whole. According
to which data they are prepared from, balances are divided into provisional and final.
Balances represent the synthesis of a wide variety of statistical and other data in the
field of agriculture and food industry. Manufacture of balances according to a uniform
methodology is included in regular statistics in all European Union Member States.
The balances for Slovenia are prepared according to Eurostat’s methodological
recommendations (except for the balance of wine for which there is a legal basis).
Balance according to the degree of processing can be based only on the basic
products or on the primary and processed products together. If the balance relates to
basic and processed products together, all products must be converted to the same
unit (usually the base product). For the conversion of processed products into the
base product (and vice versa) the technical coefficients exist.
The primary product is the product in its initial state (e.g. cereal, potatoes, eggs,
etc.). They are defined by the NACE nomenclature and described in the context of
methodological explanations for the specific areas of statistics (e.g. crop production
statistics). The quantities of basic products are reflected in the weight of a standard
product.
Processed product is the result of processing one of the basic products. There may
be several stages of processing (the basic product - corn, the first stage of
processing - starch, the second stage of processing - glucose, the third the rate of
processing - isoglucose). By-products arising from the processing of primary products
(e.g. bran) are not taken into account in the balance.
The reference period for making the balance of production and consumption of
agricultural products covers 12 consecutive months: for animal products, this period
coincides with the calendar year, while for plant products, except for vegetable fat,
this period coincides with the marketing year, and this is not the same for all crops.
The balance of production and consumption of agricultural products is divided
according to the reference period into the calendar and the market.
The reference periods for the balance of production and consumption of
various agricultural crops
1. 4.-31. 3.
1. 7.-30. 6.
1. 8.-31. 7.
1. 9.-31. 8.
1. 1.-31. 12.
Vegetables by type
Fruit by type
Cereals
Dried legumes
Potatoes, potato starch
Vegetables
Fruit
Sugar beet, sugar, honey
Oil, vegetable fat, oil cake
Feed
Wine
Rice
Vegetable fats, processed fats
Meat
Milk and milk products
Eggs
The general scheme of the balance
The balance sheets are prepared by comparing the available balance product or
group of products spent in a given area and a given reference period.
available = consumed
available = production + imports + stocks at the beginning
consumed = domestic consumption + exports + stocks at the end
In the simplified scheme of balance, which is used in the context of Eurostat, for the
majority of products (an exception is the balance of wine) instead of stocks at the
beginning and end of the reference period the item "change in stocks” is used. This
simplified scheme is capable of producing a balance sheet even if there are no
separate data on stocks at the beginning and end of the reference period.
Publication of the current balance is updated with the details of previous balances.
The content of individual items in the balance
Production includes all the useful quantities produced in the country in a given
reference period, regardless of type of consumption. The plant production means the
production of crops harvested in the calendar year of the start of the reference
period. Unharvested crop and losses at harvesting and transporting are not
considered as production.
Foreign trade includes import and export of products under the Combined
Nomenclature (CN), and separately for circulation among the EU Member States and
the market with other countries (outside the EU). A list of CN codes and the technical
coefficients for conversion to appropriate units (equivalents) was determined
separately for each balance.
Stocks
Changes in stocks are based on all stocks, regardless of where they are located.
They represent the difference between stocks at the end and stocks at the beginning
of the reference period. Initial stocks are defined as the quantity of unused product
from the previous reference period, which are held on the first day of the reference
period. Closing stocks are stocks on the last day of the reference period. As a rule, in
the balance all the stocks of those products should be taken into account which are
also taken into account in foreign trade. Stocks at the level of retail trade and end
user (households) are not included (they are included in the various forms of
domestic consumption).
Domestic consumption
Domestic consumption consists of:
• Seeds and hatching eggs used for the next production cycle;
• Losses incurred in the course of storage, during transport, processing and market
preparation, including the amounts that were withdrawn from the market;
• Feed directly to the animal or for the production of feed material;
• Industrial consumption, which represents the quantity consumed in manufacturing
for the production of products for non-food purposes; under the agreement this
category includes alcohol, beer and vinegar;
• Processing; this includes the quantity of basic product used for further processing
into products for which there is a special balance;
• Consumption of food: all the quantities that are available for human consumption in
the unprocessed or processed form; losses and changes in stocks at the level of
retail trade and end user are also covered.
Derivative accounts
The degree of self-sufficiency shows the extent to which domestic production
(from basic domestic product) meets domestic consumption (consumption of feed
and food consumption in the industry).
degree of self-sufficiency = production * 100 / domestic consumption
The degree of self-sufficiency below 100 means deficit while the degree above 100
means surplus in the supply (domestic production).
Consumption per capita in the balance indicates the quantity of products available
to the population in the country during the reference period. It is necessary to note
that this consumption also includes losses and changes in stocks at the level of retail
trade and end user. Consumption per capita is calculated by dividing food
consumption and the number of the population.
consumption of food per capita = consumption of food / population
To calculate the per capita consumption the data on the number of population in the
official statistical sources are needed. In the balance of the calendar year the number
of population on 30 June (in the balance for the marketing year on 31 December) is
taken into account.
The balance of individual products
1. Balance of cereals
The basic methodological explanations
The balance of production and consumption of cereals (in short: cereal balance)
refers to all cereals grown for grain. The balance consists of: the balance of common
wheat, durum wheat, rye and meslin, barley, oats and a mixture of summer cereals,
grain maize, triticale and other cereals (e.g. buckwheat, millet). Balances of total
cereals, cereals without wheat and wheat represent the sum of the separate
balances.
The balance of cereals includes basic product (grain) and processed products (first
and second stage of processing), all expressed in grain equivalent. Basic product
represents grains, including seed, which is of adequate quality (moisture, impurities),
as provided in regulations.
Reference period: Calendar year: 1 January to 31 December.
Production: Includes crop harvested in the calendar year of the start of the
reference period. Data source: statistics of plant production (SORS).
Foreign trade: Includes grains and processed products under the attached list of
codes of the Combined Nomenclature with regard to the technical coefficients for the
conversion of the processed products to the equivalent of grains (see the list of codes
for cereals). Data source: external trade statistics (SORS) and the list of Eurostat.
Stocks: These include stocks in the holdings and stocks in the mill-processing
industry. Stocks in the holdings are estimated, while the source of data for the stocks
in the mill-processing industry is the statistics of industrial production (SORS). Stocks
in the wholesale and strategic reserves are not included.
Domestic consumption:
- Seeds: The consumption is estimated on the basis of areas sown and average
consumption of seed per hectare.
- Losses: Includes losses on holdings (4% of harvested crop that remained on
holdings: harvested crop - sales) and losses in the market (3% of the available
commercial quantities of grain: the purchase of grain + imports - exports of grain).
- Feed: Includes consumption of grain for direct consumption or for animal feed
production, which is assessed through the balance of feed.
- Industrial consumption: Includes the use of barley for beer production (purchase +
brewery barley malt balance of external trade in grain equivalent); however, for maize
available starch (balance of foreign trade of corn starch in grain equivalent). Data
source: industrial production and external trade statistics (SORS).
- Processed: No information.
- Food consumption: Includes consumption of cereals for food in all its forms. It is
calculated as a balancing item in the balance. Net food consumption means
consumption expressed in equivalent of flour. The coefficient for conversion of grain
into flour is summarized from the balance of the EU Member States.
2. Balance of rice
The basic methodological explanations
The balance of production and consumption of rice consists of four separate
balances: for paddy rice (with seed), husked rice (brown rice), milled and broken
(milled) rice. The cumulative balance of rice is calculated from the individual
balances, and includes all types of rice. The balance of paddy rice includes only the
basic product. Balances of husked rice, milled rice and broken (milled) rise are the
balances of processed rice products. The balance of husked rice applies only to the
primary processed product (husked rice), while the balances of milled rice and
broken (milled) rice also include other products (flour, flakes, etc.) expressed in milled
rice equivalent.
Paddy rice may be used for the processing of husked rice or milled rice. Processed
from the balance of paddy rice contributes all production in the balance of husked
rice and part of the balance of milled rice. The second part of the balance of milled
rice is contributed by processed in the balance of husked rice. Broken rice represents
a by-product in the processing of paddy and husked rice, and is included in
processing in these two balances. For the conversion of the quantities of one type of
rice in the production of another type of rice and for determining the proportion of
broken rice, the following technical coefficients are used:
Paddy rice
Round-milled rice
Long- and medium-milled rice
Round semi-milled rice
Long- and medium grain rice semi-milled rice
Broken rice
1.25 * husked rice
0.775 * husked rice
0.69 * husked rice
1.065 * milled rice
1.072 * milled rice
0.03 * husked rice
Reference period: Calendar year: 1 January to 31 December
Production: There is no domestic production. In accordance with the Eurostat
methodology, the production of various types of husked rice is calculated from the
items processed in the paddy rice with regard to the technical coefficients.
Foreign trade: Includes rice and processed products by the attached list of codes of
the Combined Nomenclature with regard to the technical coefficients for the
conversion of the processed products to the equivalent of grains (see the list of rice
codes). Data source: external trade statistics (SORS) and the list of Eurostat.
Stocks: No information.
Domestic consumption:
- Losses: These include losses in the marketing chain (1% of domestic consumption).
- Feed: No information.
- Industrial use: No information.
- Processed: Includes consumption of paddy or husked rice for the production of
other types of rice.
- Food consumption: Includes consumption of certain types of rice for food. It is
calculated as a balancing item in the balance.
3. Balance of potato and potato starch
The basic methodological explanations
The balance of production and consumption of potatoes includes the basic product
(seed, early and late potatoes, potatoes for processing into starch) and processed
products, expressed in the equivalent of fresh potatoes.
Reference period: Calendar year: 1 January to 31 December.
Production: Includes crop harvested in the calendar year of the start of the
reference period. Data source: statistics of plant production (SORS).
Foreign trade: Includes the products of the attached list of codes of the Combined
Nomenclature with regard to the technical coefficients for the conversion of the
processed products to the equivalent of fresh potatoes (see the list of codes for
potatoes). Data source: external trade statistics (SORS) and the list of Eurostat.
Stocks: Stocks at manufacturers are estimated according to the annual production
and sales (40% of the annual harvest that remained on holdings: the total harvest the sale).
Domestic consumption:
- Seeds: The consumption is estimated on the basis of the area and the average
consumption of potatoes per hectare.
- Losses: Includes loss on holdings in the market chain (estimate: 5% of production).
- Feed: Includes consumption of potatoes for feed (estimate: 3% of production).
- Industrial use: No information.
- Processed: No processing.
- Food consumption: Includes consumption of potatoes for food in all forms, except in
the form of starch. It is calculated as a balancing item in the balance.
The balance of potato starch is the market balance of the product and if there is
domestic processing means the continuation of the balance of potatoes. In our case,
available in the balance includes only imported potato starch.
Reference period: Calendar year: 1 January to 31 December.
Foreign trade: Includes the products of the attached list of codes of the Combined
Nomenclature with regard to the technical coefficients for the conversion of the
processed products to the equivalent of fresh potatoes (see the list of codes for
potatoes). Data source: external trade statistics (SORS) and the list of Eurostat.
Domestic consumption:
- Industrial use: No information.
- Food consumption: Includes the use of starch for food in all its forms. It is calculated
as a balancing item in the balance.
4. The balance of sugar and honey
The basic methodological explanations
The balance of sugar is the market balance of the product. It includes white sugar
(not flavored and uncolored sugar, which in the dry state contains 99.5% or more by
weight - R2038/99), obtained from sugar beet, sugar cane, molasses and other
vegetable raw materials, and processed products that contain sucrose, expressed in
white sugar equivalent. Other sugars (glucose, dextrose, maltose, lactose,
isoglucose) are not included.
Reference period: Calendar year: 1 January to 31 December.
Production: In Slovenia, from 2007 onwards there is no sugar production.
Foreign trade: Includes sugar and processed products by the attached list of codes
of the Combined Nomenclature with regard to the technical coefficients for the
conversion of processed products in white sugar equivalent (see the list of codes for
sugar). Data source: external trade statistics (SORS) and the list of Eurostat.
Stocks: No information.
Domestic consumption:
- Food consumption: Includes consumption of sugar for food in all its forms. It is
calculated as a balancing item in the balance.
Open questions and problems in preparing the balance:
- Non updated list of codes of the Combined Nomenclature;
- No information on stocks;
- No data on the consumption of sugar for feeding bees, and the consumption of
sugar to produce alcohol.
The balance of honey includes only the basic product (natural honey). It is recorded
as the total balance (the balance of holdings and the market balance).
Reference period: Calendar year: 1 January to 31 December.
Production: Includes loaded honey. Data source: statistics of animal production
(SORS).
Foreign trade: Includes only honey in accordance with the list of codes of the
Combined Nomenclature as prescribed by Eurostat (see the list of codes). Data
source: external trade statistics (SORS).
Stocks: Stocks at manufacturers are estimated according to the annual quantity of
loaded and sold honey (30% of the annual output that remained on holdings: the total
output - sale)
Domestic consumption:
- Food consumption: Includes the use of honey for food in all its forms. It is calculated
as a balancing item in the balance.
5. Balance of vegetables
The basic methodological explanations
Total balance of vegetables includes the base product and all products, expressed in
the equivalent of fresh vegetables. Basic products are all fresh vegetables in the form
traditionally prepared for sale. In the context of the Eurostat the production of the
balance of vegetables together with processed products is not provided.
Reference period: Calendar year 1 January to 31 December.
Production: Includes crop harvested in the calendar year of the start of the
reference period. Data source: statistics of plant production (SORS).
Foreign trade: Includes fresh and processed vegetables by the attached list of codes
of the Combined Nomenclature with regard to the technical coefficients for the
conversion of the processed products to the equivalent of fresh vegetables (see the
list of codes for vegetables). Data source: external trade statistics (SORS), the list of
Eurostat and own estimates.
Domestic consumption:
- Seeds: Includes garlic used for the next production cycle. Consumption is estimated
on the basis of the area and the average consumption per hectare. Consumption of
seed onion is not observed, whereas the production of seed onions is not included in
the production of onions.
- Losses: Includes losses on holdings and in the market chain (10% of total
production and 5% of the imports of fresh vegetables).
- Food consumption: Includes consumption of vegetables in all forms. It is calculated
as a balancing item in the balance.
6. Balance of meat
The basic methodological explanations
The balance consists of the balance to the meat of cattle, pigs, poultry, sheep and
goats, horses, other meat and offal. Meat total includes giblets.
Reference period: Calendar year: 1 January to 31 December.
Production: Covers the production of domestic meat. Data source: statistics of
animal production and slaughter statistics (SORS).
Foreign trade: Includes the products of the attached list of codes of the Combined
Nomenclature with regard to the technical coefficients for the conversion of the
processed products to the equivalent of meat (see the list of codes for meat). Data
source: external trade statistics (SORS) and the list of Eurostat. In order to
harmonise the data on production with the data on animal production, in cattle in
2007 the number of imported and exported animals was taken from the balance of
livestock (SORS), while average weight was taken from external trade statistics.
Stocks: These include stocks of meat in the food industry. Data source: statistics of
industrial production (SORS). Stocks at wholesale are not included.
Domestic consumption:
- Losses: /
- Feed: /
- Food consumption: Includes consumption of meat and meat products for food in all
its forms. It is calculated as a balancing item in the balance.
7. Balance of eggs
The basic methodological explanations
The balance consists of the balance of hatching eggs and other eggs (mainly for
food). The total balance is the sum of individual balances.
Reference period: Calendar year: 1 January to 31 December.
Production: It covers total production of hen’s eggs. Data source: livestock
production statistics (SORS). For the conversion into kilograms the average weight of
0.06 kg per egg is taken into account.
Foreign trade: Includes the products of the attached list of codes of the Combined
Nomenclature with regard to the technical coefficients for the conversion of the
processed products to the equivalent of fresh eggs (see list of codes for eggs). Data
source: external trade statistics (SORS) and the list of Eurostat.
Domestic consumption:
- Hatching eggs: Includes consumption of eggs to the nursery. Data source: the
marketing information system for the market of eggs from the Agency for Agricultural
Markets and Rural Development (Ministry of Agriculture, Forestry and Food).
- Losses: /
- Feed: /
- Industrial use: Includes the balance of foreign trade of eggs unfit for human
consumption.
- Food consumption: Includes consumption of eggs in all forms. It is calculated as a
balancing item in the balance.
Prepared by: Špela Gale