CSP: agricultural holdings manage nearly one-third of Latvia’s territory

In 2020, there were 69 thousand economically active agricultural holdings in Latvia, managing 1.97 million ha of utilised agricultural area (UAA), or 30.5 % of the territory of Latvia.
The number of economically active agricultural holdings has decreased more than twice in the last 20 years. The most rapid change occurred between 2001 and 2010, when the number of agricultural holdings decreased by 40.8 %. During this period, the UAA increased by 8 %. In the last four years, this area has increased by only 38.3 thousand ha or 2 %, while the number of agricultural holdings has decreased by 950 or 1.4 %, according to final results of the Agricultural Census 2020 carried out by the Central Statistical Bureau of Latvia.
In 2020, 1.21 million ha of owned land or 61.7 % of the total UAA was managed by agricultural holdings, the remaining cultivated area was rented from other farmers.
Since 2001, when the first post-independence agricultural census was carried out, holdings have become larger, both in terms of the area of land used and in terms of economic size – standard output. In 2020, on average, 28.5 ha of UAA were managed per holding, 16.7 ha or 2.4 times more than in 2001 and 7 ha more than in 2010.
The distribution of holdings by economic size groups – standard output – SO1 has changed over the last 10 years. In 2020, small holdings represented 85.2 % of the total number of holdings, 6.3 percentage points less than in 2010. Small holdings accounted for only 22.7 % of the total agricultural area, 20.4 percentage points less than in 2010. In turn, more than half (51 %) of the UAA in 2020 was managed by large holdings, 18.7 percentage points more than 10 years ago.
Large agricultural holdings accounted for 870.7 thousand ha or 68.2 % of the sown area and 91.8 thousand ha or 16.3 % of the area used for meadows and pastures. These holdings kept the largest number of livestock – 205.2 thousand or 49.5 % cattle, 85.7 thousand or 61.5 % dairy cows, 308.3 thousand or 94.3 % pigs, 5.5 million or 94.2 % poultry and almost all broilers – 99.3% or 2.4 million.
In the 246.3 thousand ha or 60.8 % of natural pastures and meadows, 57.6 thousand or 47.6% of sheep and 8.1 thousand or 61.9 % of goats, as well as 48.1 % of rabbits and 48.5 % of bee colonies were kept on small holdings.
Agricultural holdings in Latvia are mainly family businesses, run by the owners themselves or their family members. In 2020, 92.7 % of holdings were managed by the owners themselves and 4.1 % by another member of the owner’s family. 133.8 thousand or 86.1 % of those permanently employed were owners and their family members.
The average age of holding managers was 57.3 years in 2020 and 55.7 years in 2010. Changes in the age structure of managers show that the share of managers aged 45-64 has increased by 10.8 percentage points since 2001. The share of young managers has decreased by 15 percentage points.
The level of agricultural education of holding managers has increased over the last 20 years. In 2020, 50.5 % of agricultural holding managers had an agricultural education, an increase of 20.5 percentage points since 2001. Agricultural holding managers regularly update their knowledge of the sector through additional training. In 2020, 9.2 % of agricultural holding managers have received training. 16.5 % of agricultural holding managers had other higher education.
In 2001, 50.3 % of the total labour force was female, but the share of females in agricultural employment declined in subsequent years. In 2020, 60.4 % of the total employees was male. 46.1 % of the family members in permanent employment were female.
In 2020, 36.7% of those employed in agriculture were paid employees, mainly holding managers, permanent employees not related to the owner’s family, as well as temporary employees.
In 2020, there were 4 thousand agricultural holdings that used organic farming management methods and managed 285.5 thousand ha or 14.5 % of the total UAA. 259.9 thousand ha or 91 % of the area was certified and 25.6 thousand. ha or 9 % was under conversation.
Compared to 2010, the number of organic holdings has increased by 11.1 %, and the area of ​​managed agricultural land has doubled. In 2010, 3.6 thousand organic farms managed 142.5 thousand ha or 7.3% of the total UAA.
Latgale and Vidzeme regions have the most organically managed agricultural land area. 49.8 % of agricultural land was organically managed in Jaunpiebalga municipality and 34.1 % in Lubāna municipality.