Economic players and the environment2017 edition
In this previously unpublished edition of the “Insee References” collection entitled Economic Players and the Environment, Insee and the Data and Statistics Department of the ministry with responsibility for the environment present analyses and indicators aiming to provide an overview of interactions between the environment and the economy in France.
The economic performance of organic farms
In response to higher demand and public policies to develop environmental practices, organic farming has been growing for 20 years in France. Compared to their conventional counterparts, in 2013 the average profitability per physical production unit and capital invested of organic vineyards, vegetable farms and dairy farms rose despite having less land and/or livestock. Several reasons may account for this, including higher prices for organic produce to offset lower productivity, better control of intermediary consumption, more systematic marketing on short circuits and, in some cases, subsidies to prop up prices. Other reasons, independent of the production method, are likely to be contributing factors.