Development of the collateral production average for wheat and corn in the Hungarian regions

Hollósy, Zsolt

Keywords: EU, region, wheat, corn, collateral production average

Hungary can be said to play a significant role in Europe’s corn production, despite the fact that since the mid-1980s, increases in domestic production averages cannot be said to have kept pace with the EU-15 member states’ average. Wheat is less significant and its collapse began at the start of the 1990s. Production averages fluctuate significantly. The regions that determine production are the North and South Plains, and southern Transdanubia. The collateral production average has grown year on year. In the period under examination wheat was profitably cultivated in the main regions – generally on land of higher quality than 26 AK (Gold Crowns) - even without subsidies. It is true for wheat production as a whole that it can be carried out successfully in all the areas examined, taking into account that the by-products reduce costs and that the subsidies increase income.
It is characteristic of northern and central Hungary that only subsidised corn cultivation is profitable. Subsidies significantly improve the income situation, but in areas of below-average quality in western Hungary and those of poor quality in central Hungary, even this cannot be expected to result in successful farming.

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