REVIVAL OF LITHUANIAN COUNTRY SIDE - FUTURE STARTS TODAY - Gimtinės šaltinis
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Good examples of the Lithuanian Rural Development Programme measures 2007–2013 LREVIVAL OF LITHUANIAN COUNTRY SIDE REVIVAL OF COUNTRYSIDE LITHUANIAN FUTURE STARTS TODAY
Revival of Lithuanian Countryside Future starts today Good examples of the Lithuanian Rural Development Programme measures 2007–2013 Vilnius 2014
CONTENT UDK 338.43(474.5) At-14 I bow with respect to diligent rural people 7 Chapter I. Road to Europe Rural people began to feel their worth 10 Paving the way today for tomorrow 12 Lithuanian vegetables earned recognition on the Western market 14 Lengthy negotiations behind each number 16 Good grain yield needs efforts 18 Lithuanians buy ecological products straightly from farmers 20 Plant-growing is the most popular sector of agricultural production 22 Chapter II. National Priority – Livestock-Breeding Cattle come back to the pastures of the country 24 Selling of final products is more profitable 28 Let’s replace “sofa farmers” by beef cattle 29 Farms under modernization in the dairy sector 30 Success and honour of farmer Petras wear his father’s jacket 33 Revival of Lithuanian Not only a mountain and crisis can be bypassed 37 Milk rivers appear not after the rain 40 The youngest livestock-breeding sector is paving its way 42 Countryside Those complaining of payments are overdoing considerably Indigenous Scottish breed takes a foothold in Lithuania 44 46 The wealth, honour and pride of a farm 48 Future starts today Good news for Šilalė region farmers 50 Wellbeing of animals is an index of both, productivity and human culture 53 From generation to generation keeping the family tradition 54 New markets – new opportunities 57 Increase of organic meat demand on the market 60 Photos by Martynas Vidzbelis, Ričardas Pasiliauskas, Petras Malūkas, Raimundas Šuika and Stanislovas Vadapolis Competitiveness is strengthened by cooperation 61 Editor Genovaitė Paulikaitė Opportunities suggested by cooperation not to the small businesses alone 63 Designer Jūratė Tamošiūnaitė-Karašauskienė Language editor Gitana Valukonytė Chapter III. Authors of publications: Milda Jonkienė, Edvardas Balčiūnas, Dainius Bičiūnas, Regina Vaičekonienė and Genovaitė Paulikaitė Science and Education The same seedling is caressed with farmer and researcher hands 66 Technological innovations in organic farming 70 Modern vegetable growing technologies are employed by farmers The Lithuanian origin of Skudde (škudė) sheep breed is being clarified by the scientists 75 For a Smart Farm – Smart Specialists 76 ISBN 978-609-8131-02-4 Ministry of Agriculture of the Republic of Lithuania Vilnius, 2014 Vilnius, 2014 UAB “Gimtinės šaltinis” Dowry for Starting Life 78 5
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday Decision, helping to restore profession prestige 79 I am a super farmer 80 News for students and teachers 83 Chapter IV. young farmers Involved in farming Young people still more often prefer farming 86 The young farmer has bred a herd of fallow-deers to his son’s joy 88 You need work more, cry less and everything will be OK 90 The last one not always is a loser 92 Chapter V. Reviving Village So that people would fancy living in the village... 94 Old crafts are encouraged 98 “Stubriai” take care of recreation and handicraft development 100 A modern stud farm established in Pustelninkai village 102 Mobile business of making food for the land 104 The perspective of 2014–2020 105 Prof. Vigilijus Jukna, Minister of Agriculture. I bow with respect to diligent rural people I visit frequently Lithuanian countryside and Even though bacons, sheep and other products, take delight in seeing it ever changing. Primari- manufactured by Lithuanian farmers during the ly, I am proud of and grateful to our rural peo- inter-war period, had their value on the Europe- ple for their honest labour. With the wise use of an markets, during the period of more than fifty the Lithuanian Rural Development Programme years they were forgotten in the West. We are for 2007–2011 and earlier programmes, they coming back. Lithuanian products find their con- were able to create the rural economy that a sumers not only in Europe, but also pave road to decade ago for many people looked like Utopia. other countries as well. I bow with respect to rural people. Thanks to The expanding markets open new opportu- them, our negotiations with the European Com- nities for rural people and show evidently that mission and the more favourable conditions for we are exporting excessive amounts of raw Lithuania, resulting from negotiations, were not materials, thus reducing considerably our inco- fruitless. Money, whatever their amount, is of no me. It is the final product that creates the ad- use without people. ded value. The rural economy may be balanced I understand it was not easy. It is not enough by livestock-breeding. The climatic conditions to grow good products, you need to sell them. of Lithuania are especially favourable for beef ➤ 6 7
REVIVaL Of LIThuaNIaN COuNTRy sIdE cattle-breeding and sheep-breeding. In my opi- The increasing demand for specialists is the nion, the National Livestock-Breeding Deve- motivation for rural young people to choose lopment Programme and promotion methods, agricultural professions and come back to their developed by the Ministry in collaboration with native land. Youth is the life of our countrysi- the social partners, will be the basis of compe- de. Village starts to become moribund without titive livestock-breeding. Livestock breeding, young people and the laugh of children and turns being highly labour-consuming, will contribute gradually into the factory of agricultural product to the reduction of unemployment and income production. increase. Beef cattle-breeding and sheep-bree- And again I turn back to rural people. It highly ding give the opportunity for strengthening of depends on them whether we are able to preser- small-scale farms. It is promising if after coope- ve our cradle of culture. We are grateful to com- ration they will start setting up small agricultural munities, contributing to the creation of village, product processing undertakings, thus strengt- attractive for living of young people. During the hening their economic stability. negotiations with the European Commission and Our farmers today use most advanced tech- in planning our national budget we are always nologies, though still stronger competition sti- searching for the ways to reduce rural social mulates the implementation of more modern exclusion, to improve conditions of life and work, innovations. I believe that European Program- to create better conditions for acquisition of ne- me of Innovations is a good choice for Lithu- west knowledge. ania, encouraging in the short term to establish When I am asked what type of farm I am for, the strong cooperation between scientists and I answer: for a competitive one, which is being agricultural producers in implementing science- created by our rural people. based innovations in the farms. The smart farms Even though the new rural development pro- need high-quality specialists. A good specialist gramme for Lithuania foresees somewhat lower cannot be born in an hour. It takes time to bring budget, I believe in the capacity of rural peo- up a good specialist; therefore, the Ministry of ple to make more purposeful and effective in- Agriculture launched an initiative to show to vestments. Our people understood long ago that young people through educational programmes we, not the European Union, must know what that agricultural specialities are not inferior or we want to achieve. less perspective, and farming is also a profitable Prof. Vigilijus Jukna business. Minister of Agriculture ChaPteR i. The Minister, speaking with farmers who sell their farm products on the farmers’ market-place in Kaunas. 8
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday opened opportunities for rural people to increa- se their income. The other benefit of that period SAPARD RDP RDP was the door which was flung open to the world 2004–2006 2007–2013 and possibility to see the pursuits and life of people Amount of 0.866 2.1 7.89 in other countries during the period when we have support been involved in creating the “bright future”. More LTL billion than one individual at that time firmly said: if they EU funds 0.578 1.7 6.097 can, I also can live like them.” LTL billion feeling more stable transparent utilization of funds, the Ministry’s “When the individual has an aim and is willing to employees during seven years, after gaining the achieve it, opportunities give him a chance. They EC approval, more than ten times corrected the were opened after starting the implementation of Programme documents,” notices Vice-Minister of the Lithuanian Rural Development Programme for Agriculture Mindaugas Kuklierius and is delighted 2007–2013. Farmers are implementing the most that after more than 30 new investment and com- advanced technologies and innovations. Crop pro- pensatory measures have been foreseen in the Pro- duction farms, especially of cereal growers, are gramme, farmers involved in farming on the farms gaining in strength. With the interest of the popu- with infertile soils started receiving payments. lation increased in healthy diet, demand in organic They are paid annually to more than 350,700 far- products went up. Therefore, the number of farm- mers. This is a considerable support, as lands less ers involved in organic farming and their income favoured for farming cover 43.5% of the total area got increased. The number of young farmers who of the country. The compensatory payments help received support increased thrice. The Ministry of to level the difference between the farmers from Agriculture, upon noticing the weaker development various places. Small and medium-sized farms of the traditional Lithuanian business – livestock- are gaining momentum. Their owners understand breeding – after the programming period started that not only large farms can be competitive and entering its second stage, entered into negotiations modern. Success is predetermined by the abili- with the European Commission (EC) and received ty of quick orientation on the market and flexible Rural people its approval for redistribution of support funds, adaptation to market preferences. The emerging focusing more considerable attention to animal new areas of activities, new crops that have been breeders. Positive changes were quick to appear. cultivated rarely or not cultivated at all, alternative The number of animals started to increase evident- businesses evidence that our people are endowed began to feel their worth ly. This correction was not the only one. The Minis- try reacted flexibly to each changing situation and the emerging new needs of people. With an aim with resolution, inventiveness and creativity. Rural tourism farmsteads have become a favourite pla- ce of recreation and leisure for national and inter- to achieve the rational, effective and, certainly, national holiday-makers. A variety of investments Mindaugas Kuklierius, Vice-Minister of Agriculture, is convinced: and payments under RDP for 2007–2013 reaches the greatest achievement in the past decade is the changed In agriculture, forestry and fishery: every rural resident in the country. During the first period of the EU membership, support amoun- approach of Lithuanian rural people to their activities, Vice-Minister of In 2004, 15.2% and in 2003, 8.4% of the total ting to LTL 9.7 billion was invested in the national amount of the country’s workers were employed. innovations, opportunities and their own selves. Agriculture Mindaugas This accounted for 27% of the total rural population. agricultural and rural development. Income of the Kuklierius rural population was supplemented by more than The created added value per worker increased LTL 10 billion of direct payments. The agricultural from LTL 11,800 in 2004 to LTL 38,000 in 2013. and food sector of Lithuania has become one of The created added value per hour increased the strongest branches of economy, creating 8.6% Return of hopes wake-up call was Lithuania’s accession to the Eu- from LTL 7.1 in 2004 to LTL 20.1 in 2013. of the gross domestic product of the country. And ropean Union. This was a very active period for the Real income of rural population what is more important – rural people gained sta- An opinion has been formed within the long ye- farmers, the Ministry of Agriculture and its stake- within 2004-2013 increased twice. bility and confidence.” ● ars that only those who are not able to adapt them- holders in seeking that as many rural residents as selves anywhere else stay in the village. Thus, no possible should feel the real EU support. And this wonder, that in the course of time people also start- depended on each word in their documents prepa- ed thinking about themselves that way. It was not red – the Lithuanian Rural Development Plan for easy for the village to rise from stagnation. 2004–2006, enforcing the compensatory support, “The first wake-up call was news about support the Single Programming Document, determining coming into Lithuania from the European Union the amount of investments, the Lithuanian Rural (EU). The Special Accession Programme for Agri- Development Programme (RDP) for 2007–2013 culture and Rural Development was a starting and on the ability to defend that word in the nego- point for the bravest farmers in the country to tiations with the European Commission. Special at- create a modern farm,” the Vice-Minister reviews tention was devoted to setting up of young farmers. the days when people started to feel a hope: is These years were very significant and had a great it actually possible to live otherwise? “The second impact on economic and social life. The EU market 10 11
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday up of new farms. For example, within the first red to 2003 the number of machinery possessed by half-year of 2013, 1660 new farms were set up. agricultural producers doubled. Old machines are New farms were mostly set up in Vilnius county – replaced by new machinery. Implementing inves- 358 farms. In Marijampolė county their number tment projects, farmers dispose of crop harvesters, was lowest – 85 farms. mineral fertilizer spreading machines, sowing ma- chines, hay mowers, manure spreaders, grain cle- On the farms – new machinery and aners and other machinery. The number of objects registered with the SE Agricultural Information and equipment Rural Business Centre Register increases annually Starting with the preparation for the EU acces- by tenth. The main reasons for the growing num- sion and ending with the Lithuanian Rural Develop- ber of objects in the Tractor Register are the EU ment Programme for 2007–2013, special attention support to the farmers. was devoted to enhancing of competitiveness in Most agricultural machinery is registered in Cen- agricultural and food as well as forestry sectors. tral Lithuania: Kaunas, Šiauliai, Panevėžys and Within the past seven years alone those willing to Marijampolė counties, lowest number in Utena and modernize their agricultural holdings submitted Telšiai counties. 13,685 applications for support, of which 11,960 Machinery acquisition was especially stimulated were approved, and LTL 3.46 billion was allocated. by the simplified procedure for granting of support These funds were used for renovation of machine- to small projects, for implementation of which ry and equipment, as new and modern agricultural support amounts to up to LTL 150,000. machinery is more efficient and effective – con- As at the beginning of 2014, Lithuanian farms sumption of fuel is less and labour volumes get in- disposed of 249,497 units of various machinery. creased. Supply of farms with modern agricultural The major part of machinery is acquired by agri- machinery improves working conditions of far- cultural producers from Šiauliai, Raseiniai, Šakiai, mers, preserves nature and reduces the consumed Vilkaviškis, Kaunas, Alytus, Vilnius, Panevėžys and amount of energy. For example, in 2010 as compa- Biržai regions. ● Paving the way Number of farms by land area used in a farm 1 June 2014 today for tomorrow 0–3 ha 3–10 ha 10–20 ha 20–30 ha 30–50 ha daugiau nei 50 ha Present-day Lithuanian village, what is it? all that is most modern and advanced 3% 2% 6% today, and tomorrow something more progressive will appear. and so each 31 % day. Lithuania’s membership in the EU, financial support, opportunities opened 17 % for free movement of goods, acquisition of new knowledge and know-how, innovations implemented in the agricultural production of our country give changes to the life of people. The most conspicuous tendencies of the first decade of the EU membership: large farms are increasing, agricultural machinery is being renovated, crop production becomes stronger, especially cereal farms; Lithuanian products are gaining a strong foothold in the European market. 41 % Large farms increasing in number Farms under the SE Agricultural Information and Rural Business Centre, the number of farmers’ Enlargement of farms is one of the most dis- farms registered as at 1 July 2013 amounted to tinct tendencies of the decade. At the end of 2004, 115,460 of farmers’ farms. This was due to the A diagram, provided by the Agricultural Information and Rural Business Centre, shows 319,900 farms were registered in Lithuania. Hol- enlargement of farms and possibility to receive that farms with 3 to 10 ha are prevailing in Lithuania. Their number (47,705) accounts for dings up to 5 ha accounted for 64% of the total support for retirement of senior people from active 41 % of the total number of farmers’ farms. Farms covering up to 3 ha account for 31 % holdings, and those over 100 ha – only 0.6%. agricultural production. (35,852), and farms with the total land area from 10 to 20 ha (20,061) account for 17 %. The largest farmers’ farms were registered in Enlargement of farms has a positive effect on The largest farms with the total land area over 50 ha make 2 % (1923) of the total numbers Šiauliai, Panevėžys and Marijampolė counties, the modernization of farms and their supply with of farmers’ farms, 6 % (6258) are the farms with the total land area of 20–30 ha. smallest in Alytus, Kaunas and Vilnius counties. machinery. According to the data of the Register of Farmers’ Support to young farmers encourages setting- 12 13
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday Z. Cironkienė said that vegetable growers expe- herbs, dill, leaf parsley and celery, Chinese cabba- rienced more than ordeal on their ten-year long ge, etc. Certainly, the expanding market again is way to the EU market. Lithuanian vegetables did stimulating us for perfection, as the need appears not conform to the EU quality requirements. “To for larger amounts of vegetables of uniform size, comply with them, you had to make quite a lot of form and packaging. A lot of vegetables, grown by investments. And there was no time for waiting. our vegetable growers, bear the mark of excep- Vegetables from other EU countries began to flood tional quality product. Investments are needed our country. Once you left the market, it would again, this resulting in higher income, generated be difficult to come back. Therefore, we started due to vegetables of higher quality.” changing vegetable growing technologies most ra- In the forthcoming financial support period, pri- pidly as we could, purchased equipment for creat- ority attention will be devoted to vegetable grow- ing commercial exterior appearance, and built quick- ing. According to the Director, it gives hopes for ly modern vegetable growing storage facilities. increase of vegetable areas in Lithuania. ● Finally, we had to coordinate logistics, to supply modern means of transport for delivery of goods to our clients in due time. Without the European support we could not manage to do all this. We can see the RDP 2007–2013 mark close to a great number of modern storage facilities. In solving any issues that arise we can always consult with the Mi- nistry of Agriculture. The vegetable growers began to understand still more that their cooperation will reduce cost price of vegetables and enhance their competitiveness,” the Director of the Association spoke about the troubles faced by vegetable gro- wers. “And here emigration took start. Vegetable growing farms are labour consuming. Labour for- ce was in shortage in many places. The only way out was to start mechanization of manual work. This again needed considerable investments. At the time the world markets began to show interest in our vegetables, we have already created mo- dern, advanced and competitive farms. It was then that Lithuanian vegetables were in high demand in Russia. And now carrots, grown by our vege- table growers, are one of those enjoying highest demand in this country. The Western market got expanded and is ever expanding. Our local consu- mers also wish to be supplied with vegetables in Lithuanian vegetables larger quantities and variety. And even though the basic Lithuanian vegetables are potatoes, carrots, beets, cabbages and onions, our vegetable grow- ers began to cultivate garlic, zucchini, pumpkins, earned recognition spinach, salads of various sorts and types, spicy on the Western market “As scientists discovered still more advantages of red beet, this vegetable that has been grown in Lithuania since of old is gaining popularity on the Western market. Pickled beets, especially. actually, it would be strange for us if in spring when we want to cook a red beetroot soup we could not have this vegetable for ourselves,” says Zofija Cironkienė, Director of the Lithuanian Zofija Cironkienė, Association of Vegetable Growers with more than 80 members Vegetable growers, having received the support, Director of the started building the storage facilities, acquired Lithuanian Association and makes a joke that the European Union (EU) forced the more sophisticated machinery and more advanced of Vegetable Growers. vegetable growers to improve and modernize. technologies, and deepened their know-how. 14 15
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday up, Lithuania required the European Commission to val of the reform was in fact quite a challenge. take measures on the uniformity of direct support, For the first time we had to take into account the allocated per hectare, in all Member States. Lithu- needs of 28 EU Member States, each possessing ania is a small country; therefore, in order to achie- the unique structure of their economies and diffe- ve results, you have to search for co-thinkers in the rent agronomic and economic conditions. We are negotiations. Together with eight new Member Sta- convinced that we have achieved the perfectly ba- tes we submitted a declaration on the uniformity of lanced result: maintained the firm EU CAP structure, direct payments at the EU level,” the Minister re- complying with the needs of farmers. The approved views the participation of Lithuania in the CAP. CAP transitory provisions will ensure the smooth As far as 2010, Lithuania started preparing inten- transition from the present to the new 2014–2020 sively for the negotiations on the new CAP reform period and sustainability of the present CAP support after 2013. According to Prof. V. Jukna, negotiations measures. The reformed CAP to be enforced from were not easy, but part of Lithuania’s aspirations in 1 January 2015 will further be the essential EU poli- reforming the CAP after 2013 was enforced: to en- cy allowing one to ensure sustainability, productivity sure the necessity to distribute the direct payments and competitiveness of the agricultural sector,” says between Member States more fairly, to concentrate the Minister speaking about the country’s position on the active farmers, to apply certain relationship in striving to create the most favourable conditions between support and production, to uphold market for Lithuanian agricultural and rural development. regulation measures, operating as a reliable and se- “At present the average size of direct payments curity ensuring network, to strengthen rural policy paid to our country’s agriculturists is lower than the in order to achieve higher competitiveness and mo- average in Members States. Nevertheless, a high dernization of the agricultural sector, etc. achievement was reached in the negotiations for In October 2011 long and complicated negotia- 2014–2020 multi-annual financial programme. tions started on CAP 2014–2020, which were su- According to the results of the negotiations, the ccessfully completed during the Lithuanian Presiden- amount of direct payments allocated to Lithuania cy of the Council of the European Union. Lithuania from 2014 will increase annually until the level of holding presidency of the EU Council achieved one direct support in 2019–2020 reaches EURO 196 per of the most important goals in the agricultural sec- hectare, i.e. about 75% of the EU average. We, ho- tor – CAP reform legal acts and the regulation of wever, will use all intellectual, diplomatic and ne- the CAP transition provisions for 2014 were offici- gotiating powers at meetings of all levels preparing ally approved. This official covenant completed the the ground for further uniformity of direct payments three-year long intensive discussions, negotiations in Member States. Direct payments are a very vul- and coordination of positions between Member nerable constituent of the national budget, having States and most important EU institutions. “Appro- an impact on many farmers.” ● Lengthy negotiations behind each number Speaking about investments to the national rural economy, we seldom think about lengthy negotiations underpinning each figure. The size of support depends on the ability of negotiators to defend interests of their country. No secret, you need to find co-thinkers and patrons. The Minister of Agriculture Prof. Vigilijus Jukna remarks that from accession to the EU Lithuania is an active participant in preparing and adopting decisions relevant to the agricultural and rural development and strives for these decisions to comply with the national interests of the country and the common interests of the Eu. “We started to participate in the direct negotiations enforced a good number of its priorities: application on the Common Agricultural Policy (CAP) reforms of the scheme for lump sum payments for areas only in 2003, though then without the right of vo- was prolonged, the transitional period for the gra- ting, when after the end of the negotiations on the dual implementation of complex support require- accession to the EU we became the observers at all ments was negotiated, the more flexible path for EU institutions. Later, in 2008, we participated in milk quota abolition in 2015 was foreseen, etc. the CAP reform follow-up. Lithuania has successfully From the very beginning of the CAP reform follow- Minister of Agriculture Prof. Vigilijus Jukna. 16 17
Revival of Lithuanian Countryside Future starts today are getting close step by step. Certainly, new ma- chines and modern technologies are making their contribution.” The grain growers believe that after funds were allocated to scientists for applied rese- arch and specific experiments, they should have something they could refer to, since now, accor- ding to R. Majauskas,they receive lots of different proposals, but there is no one to ask about their benefit for the land and harvest. R. Majauskas points the other side of the EU membership, i.e. stricter requirements for envi- ronment protection and some restrictions. “Surely, you can say it is negative side of the membership though at the same time it has a positive influ- ence, i.e.the growing requirements stimulated the The grain growers themselves agree with it. Accord- modernization of farms. Many grain growers have ing to Romas Majauskas, Chairman of Lithuanian bought tractors, harvesters and other machinery Association of Grain Growers, Lithuania’s mem- and equipment using support from the EU and the bership in the European Union was quite positive State budget,” he says. for their activities. Firstly, the Western market Agricultural cooperative “Joniškio Aruodas” uni- was opened. There prices are normal. “Before our ting the grain growers from the Northern Lithuania membership to the European Union,usually, after has implemented one of the biggest projects. In having yielded the harvest,we were used to call the 2007, the cooperative members having contribu- buyer and offer him grain, and he asked to pay him ted LTL 27,000 each purchased buildings for LTL for coming to bring away the grain,” says Chairman 525,000 and rented 5 ha land plot. Seeking to en- of the Association uniting more than one hundred sure long-term successful business the farmers grain growers and farming more than 30,000 ha chose expensive quality and reliable equipment for of land. “Now we have no difficulties to sell the the elevatorfrom the Swedish company “Tornum” harvest. Not only our grain is in demand, but also with is value of LTL 12 million. Part of the inves- corn, rapeseed, and beans. And even our yields tment was compensated from the Rural Develop- may match the yields of the EU old-timers. We ment Programme 2007–2013. ● Good grain yield needs efforts Last several years were the golden age for grain growers. Good climatic conditions predetermine Romas Majauskas, Chairman of Lithuanian good yield, and market prices allow one to breathe Association of more freely. Grain Growers Grain stockrooms of the “Joniškio Aruodas” Agricultural Company. 18 19
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday You may invest in premises after machinery was purchased from support funds “Today I can say bravely we would not have the farm we have today without support of the Eu- ropean Union,” says Alvytė Valuckienė, a farmer from Ramoniškės village (Vilkaviškis district), af- ter having celebrated the twentieth anniversary of the farm, arranged near the new modern buil- dings of the farm. The farmers engaged in potato growing received the first support through the SAPARD Programme. Lithuanians buy ecological products Then they acquired all engineering facilities ne- cessary for a modern potato farm, beginning with soil preparation and ending with potato sorting. However, machinery wears off after ten years of straightly from farmers its intensive usage and new modern machines with greater capacity are developed. Renovation of machinery for potato farming became possible for the farmers possessing land plots smaller than 150 ha with the support of RDP 2007–2013. Using Programme funds they purchased a two-bed harvester, two tractors, humus spreader, equipment for Ecological vegetables and meat of Lithuanian origin you may find in small shops, potato packing, planting machine, telescopic stacker, mobile fuel container to provide fuel for harves- especially those specialized, but still more customers, according to Saulius Daniulis, ters operating in the fields. “We have renovated almost all equipment. Some were purchased according Chairman of Lithuanian Association of Organic Farms, go to the farmer and here buy to the simplified support procedure,” says Alvytė Valuckienė. Receiving support for machinery purchase, the farmers could afford to build modern potato storage meat and vegetables. houses, premises for potato sorting and to equip everyday facilities for workers to have good working Ecological vegetables and meat of Lithuanian ori- that payments to organic farming, foreseen in the conditions. gin you may find in small shops, especially those Rural Development Programme for 2007–2013, specialized, but still more customers, according to contributed greatly in maintaining the viability of Roadside shrubs is Probiotics against odours Saulius Daniulis, Chairman of Lithuanian Associa- ecological farms. tion of Organic Farms, go to the farmer and here In 2013, the area covered by organic farming environment-friendly fuel buy meat and vegetables. reached approx. 163,500 ha. The organic farming Stanislovas Jurkus from the village Lėgai “Even though people in Lithuania have been programme support within the period of 2007–2013 (Rietavas Municipality) innovated his farm, pur- raising ecological vegetables and animals quite amounted to EUR 84,714,980. At the end of 2013, chased necessary machinery, equipment for the for a long time, organic farming gained momen- 2,549 farms of organic production were certifie- farm and decided to buy a crusher for shrubs tum only after the EU membership. This type of dand their total utilized area covered 170,895 ha. and shoddy trees and the Swedish trailer using farming needs considerable investments, thus The average size of an ecological farm is from 5 to support from the RDP 2007–2013. Stanislovas without support we could not manage to undertake 50 ha. attacked roadsides and trenches and last year it,” says S. Daniulis. “After entering the EU, people In the Lithuanian Rural Development Programme prepared and sold to the Rietavas boiler-hou- started to take interest in organic farming. Now for 2014–2020, organic farming is separated from se900 cu m of chippings. This year he plans to the number of farmers involved in organic farming the measure “Agrarian Environmental Protection provide 1000 cu m of environment-friendly fuel. decreased, whereas farms are enlarging. Still more and has become a separate measure. During the “There are lots of shrubs around Rietavas. Sin- farmers expand their activities from raw materi- new period under the programme it is intended to ce we have used money of the European Union als to production of final products. When visiting differentiate the amount of support in dependence then let’s show the Europeans that we are not any country in the West you meet a farmer and he on the trend and size of the ecological farm. The is- scruffs,” says farmer S. Jurkus. starts telling of his father and grandfather who de- sue of the most intensive support to mixed farms, Odour spreading from livestock-breeding and veloped organic farming, you understand that our certifying crop production and keeping certified poultry farmsis an urgent and hardly insolvable farmers are the beginners in this area.” animals, is under consideration. Farms of that problem. The Chamber of Agriculture having im- According to S. Daniulis, the size of support is of type make the closed cycle of production which is plemented the project “Improving Hygiene Con- utmost importance here: no support – no product. necessary at organic farming. In addition, those ditions of Stables and Cattle Complexes and Use “It is easier to heal somebody who is ill than to farms create higher added value per area unit as of Biotechnology to Manage Biologically Decom- resurrect the dead one,” says S. Daniulis and adds compared to the farms of one production trend. ● posable Waste” believes that the most effective means to reduce odour is microbiologic, i.e. the Information about the number and area of farms who received payments special composites of natural microflora-probi- otics. They protect from developing pathogenic in 2007-2013 according the programme “Organic Farming” microflora, sulphur reducing microorganisms and reduce discharge of ammonia in manure and 2007 2008 2009 2010 2011 2012 2013 slurry of livestock complexes. Probiotics have an advantage since they do not threaten any risk to Number (units) 991 1 082 1 178 1 950 2 588 2 504 2 605 animals and servicing staff. Composite of probio- Including, livestock-breeding 817 805 740 796 832 882 tics is being spread in the farm of Audrius Banio- Area (thous.ha) 2 180 26 601 51 171 96 056 150 399 155 634 163 723 nis, an innovative farmer, a winner of the Green diploma in Margininkai village (Kaunas district). 20 21
REVIVaL Of LIThuaNIaN COuNTRy sIdE Plant-growing is the most popular sector of agricultural production Plant-growing is the most popular branch of agriculture. So far it makes a major part in the total agricultural production structure of the country – about 60%. In the past years almost 159,500 individuals have 2012 almost 24,495 ha. declared and utilized agricultural areas, their to- By estimation of the Lithuanian Institute of Agra- tal area covering 2,784,280 ha, including 170 479 rian Economics, the last year was one of the most ha of arable land, 13 329 ha of orchards and ber- successful in the agricultural and food sector of Li- ry fields. According to the data of the Department thuania. Due to good climatic conditions, the vo- of Statistics, the crop areas in the period between lume of production of most agricultural products, 2004 and 2013 almost doubled. especially of grain, has increased. In 2004, the In addition to these cultures, farmers cultivate harvest of grain crops 2,916,900 tonnes, in 2013 triticale, rye, malting barley, winter rape, etc. – 4,550,000 tonnes. No doubt, the development Of protein cultures, pies are most popular. In of plant-growing was stimulated by the increased 2011, they covered the area of 26,510 ha, and in procurement prices of grain. Analysts propose to the plant-growing sec- tor to increase the operating efficiency, since the The most popular cultures cultiva- opportunities of record-setting harvest have alre- ted in the farms of the country ady been exhausted, and grain procurement pri- ChaPteR ii. winter wheat in 2011 covered the area of ces on the world markets are predicted to drop 266,882 ha, and in 2012 the area of 418,723 ha; by one-tenth as compared to those in the last spring wheat in 2011 covered the area of almost year. Comparing to the EU valued added creat- 262,563 ha, and in 2012 the area of 180,400 ha; ed efficiency, Lithuania still is lagging behind by spring non-malting barley in 2011 was grown in the several times. The method to increase efficiency area of 212,649 ha, and in 2012 almost 177,886 ha; includes modernization of technologies and im- spring rapeseed in 2011 covered plementation of innovations. Utmost attention 219,897 ha, and in 2012 the area of 175,792 ha. will be focused on this aspect in 2014–2020. ● 22
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday Applications, received from 09-09-2013 to 11-10-2013 Sector Number of applications The requested Foreseen funds amount (LTL (LTL mill.) mill.) Cattle-breeding 668 167 45 Pig-breeding 18 11,7 10 Poultry farming 13 11,1 3 Sheep-breeding 5 0,804 2 Total 704 191 60 The prepared programme of development to be allocated from the state budgetary assign- ments, the European Agricultural Fund for Rural During collection of applications, the Ministry of Development and other EU financial support funds. Agriculture started implementing its goal for awar- “The strategic objective of the Programme is to ding of priority status to livestock-breeding. In form the prerequisites in the long-term national Cattle come back to the 2013, in cooperation with the representatives from agricultural perspective for the development of the science and education institutions, associations of competitive animal breeding sector, oriented to farm animal breeders and the Chamber of Agricul- domestic and foreign market and causing no harm ture, the National Livestock-Breeding Sector Deve- to the future generations and ensuring income for pastures of the country lopment Programme for 2014–2020 was prepared and approved by the Government of the Republic of Lithuania, and the action plan for its implementa- breeders and good-quality products for consu- mers. After having achieved the strategic objecti- ve, a favourable environment should be created tion was developed. The preliminary need of funds for the development of livestock- breeding farms, “The individual is always apt to choose the simpler way. was LTL 1,078,421,000. This amount is intended sale of livestock-breeding products, increase of the ➤ animals need everyday tending. you cannot say that today is Sunday and I will not take care of you as I want to rest or plan Dynamics by cattle heads from 2004 to 1 January 2014 to go for holidays. Farmers very quickly realized that crop growing was much easier. After half-year strenuous work you may have a rest during the other half of the year and receive income not less in amount,” Vice-Minister of agriculture Vice-Minister of Agriculture Živilė Živilė Pinskuvienė thus characterizes the changes of the past Pinskuvienė years in livestock-breeding. Emergency aid – redistribution of funds branch of economy. In 2013, more than 930,700 ha of pastures and meadows were declared in Li- “We have noticed that within the past years thuania. We also have formed the livestock-breed- with the strengthening of crop-growing in Lithu- ing conditions and accumulated the enormous ania the number of cattle is dropping considera- experience in this area. The first step underta- bly. In 2004–2005, Lithuanian farmers kept al- ken by the Ministry of Agriculture in stimulating most 950,000 heads of cattle, and in 2012 their the farmers to return animals to their farms was number declined to 670,000. Urgent measures the 2013 initiative to redistribute funds between had to be taken to animal decrease, as it threat- the 2007–2013 Lithuanian Rural Development ened to disbalance the economy. Primarily, live- Programme measures. The European Commission stock-breeding is important in the supply of the had to be persuaded of the necessity to do this. population of the country with more varied pro- Upon receiving its approval, additional support ducts. Another thing was the negative impact of LTL 60 million was allocated to investments in on export,” reflects Vice-Minister. “And add here agriculture. With the use of these funds, priori- the opportunities lost to more economically and ty was given to cattle-breeding, pig-breeding, effectively use the climate conditions, which are sheep-breeding and poultry farming. The amount incomparably more favourable to livestock-bree- requested for modernization of farms more than ding than in many other countries developing this thrice exceeded the opportunities. 24 25
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday still greater number of animal breeders, granting of ing (4.5%). Dynamics by cattle heads support, with account taken of the animal breed- “Special support schemes are the main measures ers’ proposals, was simplified to the possible ex- of the 2014–2020 National Livestock-Breeding Sec- 2004–2014 month tent and liberalized. In 2014, the support recipient tor Programme. The major part of funds – LTL approx. should be the owner of land holding who declared 400, will reach animal breeders in 2014–2016,” the utilized land area; animals eligible for support underlines Vice-Minister Pinskuvienė and feels should be not younger than 12 months and kept on sorry that pig-breeding, boasting of old traditions, the farmer’s holding for the period not shorter than which lately has suffered from classical and later 60 calendar days. The age of animals was determi- from African plague and, even though no cases of ned aiming to decrease the export of calves and to this diseases occurred and the loss amounting to increase the production of the final product, as the LTL 13.8 was incurred, will not be strengthened un- final product helps create the highest added va- der the special (associated) support scheme. “The lue,” Ž. Pinskuvienė presents measures, foreseen Ministry of Agriculture applied to the Commission for livestock-breeding, and reflects on their impact with a request to partly compensate the losses in- on Lithuania’s economy. curred. The European Commission approved the Tentative payment per meat animal is from LTL initiative of the Ministry and foresaw co-financing 304 to 389, per meat sheep LTL 9–105, depending opportunity (up to 50%) for covering incurred los- on the number of animals kept per sector. Ten- ses. The remaining part of losses will be covered tative payment per tonne of sold milk is LTL 28. from the national budget,” relates the Vice-Minister The precise amounts of payments will be appro- about challenges suffered in the pig-breeding sector ved at the end of the year when the total number and the State aid, helping to overcome them, “in of farmers who complied with the requirements is 2014–2020 , pig breeders will be able to use the EU known. support for farm modernization and tackling of en- In 2015, it is foreseen to allocate 13% of the vironmental issues. Since odour spread by pigsties financial envelope for the special (associated) causes inconveniences for the neighbouring inha- support scheme. Of that amount 20% will be assi- bitants it is being considered how to stimulate the gned to plant-growing and 80% to livestock-bree- larger complexes to use biogas and thus create the ding. Support will be granted to dairy livestock- additional added value. Creation of small-scale pig- breeding (55%) and dairy goat breeding (0.5%), breeding farms is also welcome.” ● beaf cattle-breeding (40%) and meat sheep breed- number of farm animals, creation of the system for livestock-breeding products produced in the local the preparation of livestock-breeding specialists, farmers’ farms of domestic, new opportunities for Distribution of cattle number by municipalities development of applied scientific research and income increase of small and medium-sized farms implementation of innovations, know-how trans- come forth,” underlines Ž. Pinskuvienė. (data as at 1 June 2014) fer and consulting, creation of an attractive image of livestock-breeding products inside and outside Special support to livestock-breeding the country,” says Vice-Minister of Agriculture Ži- vilė Pinskuvienė on the decision to declare lives- One of the most important measures for imple- tock-breeding as the priority branch of agriculture. menting the National Livestock-Breeding Sector “This objective is to be achieved by encouraging Development Programme for 2014–2020 are spe- the rural population to increase the number of cial (associated) schemes for livestock-breeding farm animals and to expand the livestock-bree- development prepared by the Ministry of Agricultu- ding product output by implementing most novel re and coordinated with the European Commission. technologies and scientific achievements on lives- “Special support to the livestock-breeding sector tock-breeding farms, ensuring the preparation of was started to be provided already in 2011–2013. high-quality specialists necessary for the livestock- It was this support that helped to stabilize meat breeding sector, improving the pedigree system of livestock-breeding and sheep-breeding sectors, to farm animals, preserving genetic resources of farm considerably increase the number of beef cattle, animals, and ensuring welfare and health of farm sheep and crossbred breeds. Evidencing that these animals. Strengthening of livestock-breeding will measures are justified, we plan in 2014 under the contribute to the solution of rural social problems.” special (associated) support scheme to allocate to the development of meat livestock-breeding and Niche for a family farm sheep-breeding 3.5% from the total envelope for the EU support to the rural development. Additio- 28 001–46 773 “Livestock-breeding also affords broader oppor- nally, 3% of the total financial envelope is allocated 20 001–28 000 tunities for setting up of competitive family farms. to dairy farming. This constitutes accordingly LTL With account taken of the increasing climate chan- 42,733 million for meat livestock-breeding and LTL 14 001–21 000 ges and more frequent sudden changes on the 4,748 million for dairy cattle-breeding. More than 7 001–14 000 market, the activity of family farms, adjusting li- LTL 88 million will be invested in livestock-breeding 0–7 000 vestock-breeding and plant-growing, is not so ris- in 2014 through special (associated) support. See- ky. Moreover, with the increase of demand in fresh king that these opportunities would be used by the 26 27
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday Selling of final products is more profitable “It is good that livestock-breeding at last was given a due attention. It creates the larger gross domestic product. Let’s replace “sofa farmers” by beef cattle It may employ more people. More work means higher probability for staying of young people in the village,” Andriejus Stančikas, President of the Chamber of Andriejus Stančikas, President of the Chamber agriculture, comments the decision of the Ministry to give I do not see any other branch of agriculture that could use of Agriculture priority to livestock-breeding. to a maximum areas less favoured for farming. This may He notices that livestock-breeding makes pre-con- will be created, and we could export not raw ma- be done only owing to beef cattle, sheep and goats. To my ditions for creation of balanced agriculture. “Even terials, but the final product. understanding, no other opportunities exist to adapt profitably though plant-growing began flourishing due to Lithuanian products are good and well-appreci- those lands and to stimulate “sofa farmers” to remove from the record-setting grain harvest and high procu- ated, especially in our traditional Eastern markets. rement prices, the natural conditions in Lithuania Measures, envisaged by the Ministry of Agricultu- Darius Dzekčiorius, agriculture. Still higher requirements are set for creation of are not most suitable for it. For example, we can- re for promotion of livestock-breeding, will have a Director of the Lithuanian Association dairy farming in comparison to beef cattle-breeding. The State not cultivate much food wheat. The major part positive effect on animal breeds, thus permitting of grain grown by our farmers is for feed. More- the manufacture of higher quality products. Bet- of Beef Cattle Breeders acts very properly in terms of strategy stimulating livestock- over, grain quality is greatly dependent on climate ter products open more markets. We could raise and Improvers breeding, especially that of meat,” Darius Dzekčiorius, Director conditions. If crop harvesting is more humid, our higher income not as exporters of raw materials of the Lithuanian Association of Beef Cattle Breeders and grain is good just for feed. Feed grain is expor- but rather as the exporters of the final product. ted to the countries with the developed livestock- And what are we doing today? Annually we sell, Improvers, speaks straightforwardly. breeding. Animals are fed with feed grown in our on the average, approx. 120,000 calves. This is “We hope that with the development of beef cattle- ve of the Ministry of Agriculture to return support country, added value is created, and the manu- also raw material, which we sell rather than breed breeding more markets will emerge for sale of pro- for acquisition of pedigree cattle material, since factured food products are imported to Lithuania. ourselves. ducts and direct contacts will be established with this is one of the largest investments in the de- We are just exporters of raw materials. The major Livestock-breeding is also of importance for them. So far we have been contacting frequently velopment of beef cattle-breeding. The Ministry, part of benefit is received in the country where agriculture. Plant growing partly exhausts soil. with intermediaries, and this is not the best way probably, will find the way for partial compensa- the final product has been manufactured,” under- What can we give back to soil without livestock- for sale of products. One of the most successful tion of animal insurance. The expensive pedigree lines Chairman of the Chamber of Agriculture. “It breeding? Hay granule production that was laun- market search projects is the international project material is brought from abroad, thus we pay a is understandable that livestock-breeding should ched still more exhausts the land, as farmers wish “Baltic Grassland Beef”, financed by the second very high price for animal insurance. I am of the be developed in our country. The more so that we to receive a maximum from it. This just depends largest Swiss trade network “Coop”. Beef, bearing opinion that the Ministry of Agriculture which la- have appropriate conditions and traditions. In the on the time when soil erosion starts due to the the trademark “Baltic Grassland Beef,” from three tely has done a lot in strengthening cattle-breed- last century Lithuania was the exporter of pork. lack of humus. It is livestock-breeding that is able Baltic States will be placed in the shops of this ing in Lithuania will find still more levers to en- Now, strange as it seems to be, it became the to maintain the balance. network not only in Switzerland, but also in other courage farmers to get involved in this branch of importer. We are not able to satisfy even our own Granting of priority to livestock-breeding is one of Western countries. This trademark should help agriculture. The intensively increasing number of needs in pork of our make. Small-scale farmers the measures helping Lithuanian farmers to come to strengthen the positions of the Baltic product the world population is strong evidence that still could specialize in pig breeding. In this case, feed back to traditional activities – dairy farming and pig- on the shop shelves and generally in the Western larger amounts of food products will be needed. grain could be used for manufacture of high-quali- breeding, to strengthen meat cattle-breeding that markets,” says D. Dzekčiorius. “We believe that Lithuania possesses perfect grasslands suitable ty products. The incomparably higher added value gaining a strong foothold in the market.” ● the European Commission will support the initiati- for raising very good quality beef.” ● 28 29
REVIVaL Of LIThuaNIaN COuNTRy sIdE fuTuRE sTaRTs TOday al attention was devoted to young farmers. They “Competitiveness of dairy firms enhanced: cow were compensated up to 60% of expenses, and up productivity increased and milk quality improved. to 70% of the total expenses eligible for financing Making use of the funds of the rural development were compensated to the farmers developing dairy programmes, dairy farms implemented the EU Milk, farming in less favoured areas. Nitrate Directive requirements, implemented envi- Support to the activity “Restructuring of Dairy ronment friendly farming methods,” Vaidotas Pru- Farms” under the measure “Modernization of Agri- sevičius, Head of Animal Breeding Division of the cultural Holdings” of the Lithuanian Rural Develo- Agricultural Production and Good Industry Depar- pment Programme for 2007–2013 amounted to tment, reviews the ten-year period of dairy farming. LTL 16,370,108. Agreements signed totalled 19, “Aiming to diversify the risk of activity of milk produ- and LTL 13,657,864 were paid to their applicants. cers and to create conditions for production of tra- ditional village dairy products, investment support According to the data of the Agricultural Information and amounting to LTL 13.7 million, was allocated to Rural Business Centre, in 2004 the average size of a milk dairy farms, involved in the manufacture of dairy farm consisted of 2.39 cows per farm, and at the begin- products. Within the same period, milk processing ning of 2014 already 4.92. However, within 2004–2014, enterprises also got concentrated. With the help of the number of cows dropped by almost 34%; over 130,800 the EU support, they technologically restructured milk producers retreated from milk production. and modernized production. In 2004–2013, for mo- dernization of milk processing enterprises and im- provement of milk procurement logistics LTL 109.2 Great changes in the sector million was allocated. In 2010, support amounting Farms under modernization Farmers engaged in dairy farming for support funds could acquire new milk production, proces- sing, re-processing and supply facilities and tech- to LTL 50.8 million was granted for construction of the cooperative milk processing enterprise. It will be the only milk processing enterprise in Lithuania in the dairy sector in the ownership of milk producers. We hope that nological equipment, cleaning, as well as hardware this enterprise will enhance the competitive posi- and software equipment. Also they could under- tion of milk producers in the dairy sector and will take construction of new production buildings and strengthen their negotiating powers.” reconstruction of old buildings, acquire new building materials, to build roads necessary for the dairy far- Dairy production and processing is one of the most ming project, to put to order local water supply and New methods for dairy product sale developed agricultural and food sectors. dairy sector sewerage systems, and to install artesian wells. In the period of 2004–2013, the sale of dairy production in EU Member States accounts for 15% of the Within the past years great changes occurred products increased by 3.3 times. In 2013, the sale in dairy farming. Farms underwent modernization total agricultural produce. according to the data, provided and enlargement. of dairy products amounted to LTL 3.89 billion. ➤ Vaidotas Prusevičius, by the European Commission, Lithuania is ranked sixteenth Head of Animal Breeding among 27 milk-producing Member States. The largest The number of cow in Lithuania in the period of 2004–2014. Division of the Agricultural Production and Good number consisted of Lithuanian Black-and-White (73%) and Industry Department Red (22%) breed cows raised in the country. 467414 462867 438077 420587 395921 Support to the sector – from production and manure utilization equipment. Support for cre- 380202 ation of this material basis was granted according 357114 to processing to the measure “Milk Directives” under 2004–2006 345347 328352 316427 310405 Utmost attention for a long time in Lithuania was Rural Development Programme.” devoted to the dairy sector. Prior to entering the EU, New standards were implemented using the me- Lithuania requested for the national milk production asure “Following the Standards”. quota of 2.25 million tonnes and the transition period The period of 2007–2013 was of special signi- so that until 2009 it could produce drinking milk of ficance for dairy farms. Support was granted un- more varied assortment, and milk-processing enter- der the activity area “Dairy Sector Restructuring” prises, milk farms and milks produced there would of the measure “Modernization of Agriculture”. The be in conformity with the EU veterinary hygiene whole dairy sector could use the support, starting requirements in 2007. Within the seven months of with milk production and finishing with market 2004–2005 quota years 69% of milk quota intended supply. Applicants could be individual farms and for processing was used in Lithuania. legal entities, involved in dairy farming. Taking Modernization and restructuring of dairy farming into account the farmers’ age, farming sector and was one of the priority trends in dairy farming deve- holdings being attributed to areas less favoured for lopment in 2004–2006. At that time the main trends farming, the EU support for agriculture under the 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 of investment were renovation of freezing and mil- measure “Modernization of Agricultural Holdings” king equipment, production buildings and new cons- could constitute from 40% to 70% of agricultural truction, acquisition of feed preparation equipment holding modernization project investments. Speci- 30 31
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