Economic sustainability of suckler cow herds; a farm modelling approach

Le résumé fourni par la source

Across all farm types, suckler cow production in Slovenia remains largely extensive, relying heavily on permanent grassland of varying quality. Labour requirements per livestock unit are relatively low, while land-use efficiency and forage productivity are constrained by terrain, land fragmentation, and low land fertility. These factors collectively shape the economic sustainability and competitiveness of suckler cow systems within less favoured areas (LFA). An analysis of seven typical agricultural holdings (TAHs) reveals substantial variability in production systems, cost structures, and gross margin. Smaller farms with limited land resources generate modest gross margin and depend strongly on budgetary support, which may account for more than 60% of total gross margin. In contrast, larger and more consolidated farms from land perspective, achieve higher labour productivity and better economic returns, mainly due to scale of economies and better management. Despite recent improvements in market conditions driven by higher calf prices the sector remains economically fragile and highly dependent on budgetary transfers. Strengthening structural adjustment, improving forage quality, and enhancing market orientation are key to increasing the long-term resilience and sustainability of Slovenia’s suckler cow sector.

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