Dossier

International comparison of production systems

Yelto Zimmer (agri benchmark), Thomas de Witte | 11.05.2023

BW Institute of Farm Economics

How competitive the different growing regions and production systems are worldwide, depends on numerous factors. An international network of experts compares the different systems using standardised methods to assess their strengths and weaknesses.

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Due to world trade, arable farming regions compete globally. The level of yields is primarily defined by natural site conditions such as water availability, soil quality and climate conditions. However, the production costs per tonne of output and thus the competitiveness of locations are independent of the level of yields. The decisive factors are the know-how of the farmers, the available agricultural technology, the agricultural structures and the access to inputs. In addition, the political framework conditions and access to markets also influence the profitability of agricultural production.

To remain competitive, production systems in different locations around the world are constantly evolving. Trends in global crop production can be identified if information on production systems and their efficiency, cost structures and environmental impacts is continuously collected and their strengths and weaknesses are assessed on this basis.

For this reason, the Thünen Institute of farm economics coordinates the agri benchmark network together with the non-profit organisation global networks. There, production systems in arable and horticulture are compared worldwide based on internationally standardised methods. In the network, agricultural economists work together with advisors and producers to better understand how changing technical and political conditions affect production in different locations around the world by analysing production systems.

Expertise

Replace imports with domestic soybean cultivation and loosen crop rotations?

The large import volumes of soy are viewed critically for various reasons. In Germany, soy cultivation has risen sharply in recent years, but is still at a fairly modest level. Current obstacles and perspectives are described below.

Understanding agriculture worldwide

Due to globally connected agricultural markets, it is important to understand how arable farming is practiced in other locations around the world and how competitive local cultivation of agricultural commodities is in international comparison. The agri benchmark network collects the data required for this.

Forecasting land use changes in emerging and developing countries

In developing countries, it is difficult to predict how land use will develop in the future due to a lack of data on production costs. For Brazil, this has been achieved through a model based on data from typical farms in the agri benchmark network.

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