Adaptation to climate change in the European agriculture: A new tool for explicit cost accounting

Abstract

farm structure in Austria and level of education
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challenges of more volatile markets / more uncertain yields
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more uncertainty about revenues and costs
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specialisation and liquidity problems – not alleviated by EU direct payments
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political measures: late, uncertain, no legal title, wrong incentives
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tax credits – not relevant in Austria for most farms
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price hedging instruments steep learning curve and intransparent markets
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most frequently used: service of buying co-operatives

control of accumulation risks
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details of contract are attractive for farmers
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e.g. monthly benefits for milk producers
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benefits at the time of sale for pig, piglet, grain producers
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combination with production risk insurance with discounts
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government support during introduction period / as a new policy instrument
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marketing and sales: wholesale buyers / dairies / producer organisations offer margin insurance as a service