A. Farm Production

B. Marketing and Trade

C. Environment

D. Research Policy  

Farm production, together with marketing, determines returns to farming. Analysis of farm production is of interest to policy makers, input suppliers, researchers and others who want to know the state of the industry, trends in the use of new methods, implications of changes towards new methods, etc. The main analysis of net benefits to cereal / livestock ( A1, A7, A9 and A17) and dairy (A8 and A19) farming in Australia and Scotland (A2) has been carried out through farm surveys; for developing countries through literature reviews (A12 and A13). Research results were prepared for extension purposes, and published in farm magazines (A5, A6, A15) and for other media, such as radio and tv. A summary paper on the situation in cereal-livestock farming, for established organic farmers and farmers in conversion, was presented at workshops for farmers, and has been included here (A16). More recently, an overview chapter on the economics of organic agriculture in Australia and world wide was published (A22).

Changes in production methods affect farmers, environment and also the whole industry or country. Farmers who have moved towards organic agriculture have been interviewed, their problems and possibilities highlighted, and lessons learned from their experiences (A4). The effect of a change in pesticide use due a technology change, an increased adoption of minimum tillage practices (A10), has been examined. The history of the development of organic agriculture in Australia has been described in A24.

On the international scene, we analysed problems that producers face in a general way (A18), and more specifically in developing countries (B13).

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Marketing is an important factor in farmers' returns. Developing a market for special products such as organic food involves not only coordinating the various marketing functions, but also requires a regulatory framework to assure consumers that particular standards are being met. This includes establishing a set of standards and a monitoring and compliance structure to ensure that the standards are met. Some role for government is inevitable, and negotiation with government is required before an adequately functioning market can be achieved. Before this interaction can take place, the nitty-gritty of such a scheme, with explanations about the different activities required and the cost-structure, need to be available for scrutiny ( B1).

Apart from involvement in the practical aspects of marketing, analysis of marketing policies is of interest to politicians and policy advisers, farmers' organisations, and traders of agricultural products, both wholesale and retail. Australian policies regarding the marketing of organic wheat were analysed in the late 1980s and found at the time to adversely affect the marketing of the product (B2).

Producers in Australia are rather dependent on export markets. In the setting-up period of marketing a new product marketing, as marketing of organic products is (B3), there is a need for producers to inform themselves about the practical side of where to sell produce and the rules and regulations concerning other countries' imports (B4 and B5).

Policies regarding organic agriculture are best made on the basis of knowledge about marketing. Eco Landuse Systems was part of a team which mapped marketing arrangements of organic agricultural products in the European Union and some other European countries (B7).

Organic agriculture is a topic of increasing interest to the UN. For the UN's Food and Agricultual Organization (FAO), past, present and future trends in certified organic production and trade flows are analysed in a chapter that is part of a comprehensive report on organic agriculture (B12). For UN Conference on Trade and Development (UNCTAD) we edited a book on trade between developing and developed countries in organically-grown products (B13). Another report for UNCTAD/FAO and the International Federation for Organic Movements (IFOAM) analyses the potential gains from harmonising organic standards across countries. A quantitative analysis is applied to wheat and coffee (B14 and B15), and a paper phocussing on Australia's part in these issues published (B17).

The production of genetically modified crops has implications for both trade and environment. Producers need to decide whether the perceived competitive advantages of producing crops more efficiently is real, and if so, whether it outweighs the potential negative environmental effects and possible lack of acceptance by consumers in some countries. Both issues, implications for international trade and uncertainties regarding the environmental effects, should make policy makers cautious in adopting the new technologies (B8).

Multi-functionality is a concept used to justify subsidies to farmers for functions of farming other than agricultural production, such as landscape management. Two papers explore issues relevant to international trade and environment (B10-B11).

International trade is seen by many to be in conflict with the environment, but this need not be the case. By lowering the global costs of production, international trade can reduce the use of resources. However, an aversion for international trade is discernable in some quarters of those involved in organic agriculture. Consumers of organic products commonly espouse the consumption of locally produced goods, based on environmental and energy concerns. The positive effect on the environment of international trade is explored (B9), as well as the negative effects of the fashionable 'food-miles' concept (B19).

Certification of organic products is needed to ensure trust in the nature of the product. The process in Australia related to standards, certification and auditing of organic products is described and analysed for the past, present and future in (B18).

Data are always in short supply in organic agriculture. The International Trade Centre (ITC) in Geneva wanted an appraisal of what kind of data are needed to assist trade by developing countries in organic products (B16). Internationally, efforts are made to publish statistics on organic agriculture world-wide annually (B20-B21).

The production of genetically modified crops has implications for both trade and environment. Producers need to decide whether the perceived competitive advantages of producing crops more efficiently is real, and if so, whether it outweighs the potential negative environmental effects and possible lack of acceptance by consumers in some countries. Both issues, implications for international trade and uncertainties regarding the environmental effects should make policy makers cautious in adopting the new technologies (C10). The Organic Federation of Australia published a Position Paper on how genetic engineering is treated in organic standards (C13)

Multi-functionality is a concept used to justify subsidies to farmers for functions of farming other than agricultural production, such as the environment or landscape management. Two papers explore issues related to this concept (B10 and B11).

Soil degradation is threatening an important input for farmers all over the world. Many feel that there is a need for creating an international focus on soil problems. There has been a prolonged public debate concerning the establishment of a UN Soil Convention. A report, commissioned by the Danish National Association for Organic Agriculture (LØJ), explores the feasibility and advisability of such an institution, and concludes that a UN Convention is not the right vehicle for progress (C11). 

International trade is seen by many to be in conflict with the environment, but this need not be the case. By lowering the global costs of production, trade can reduce the use of resources. However, trade barriers remain a means of limiting environmentally degrading production processes occuring in other countries. An aversion for international trade is discernable in some quarters of those involved in organic agriculture. Consumers of organic products commonly espouse the consumption of locally produced goods, based on environmental and energy concerns. However, buying locally produced goods may be detrimental to the environment. The positive effect on the environment of international trade is explored (C12).