Poland, brief agricultural news week 18, 2020
What happened in Poland last week? A brief overview of agricultural news.
State of Polish agriculture in the first quarter of 2020
According to the Polish Central Statistical Office, the average monthly air temperature in March 2020 was 4.5 °C and was 1.7 °C higher than the average from 1981–2010. The average rainfall was about 25 mm, i.e. about 34% lower than the norm for many years. In the first quarter of this year the average air temperature was 3.6 ° C and was higher than last year by about 1.2 ° C, and the average rainfall was about 110 mm and was about 6% higher, respectively.
At the beginning of March, vegetation of winter plants and permanent grasslands began. Favorable agrometeorological conditions enabled the performance of the first spring field works. Locally in the first, and in a significant area of the country in the second decade of the month, sowing of oats, spring wheat and spring barley began. Wetting the topsoil at the beginning of the growing season met the water needs of plants.
In the current year, winter crops (as in the previous year) have wintered without losses, and their condition is assessed as good.
In connection with the spread of the coronavirus epidemic, at the end of March this year the first signs of deterioration in many areas of agricultural production appeared. Poland is one of the main food producers in Europe and in the world. With the supply of some agricultural products exceeding the domestic demand, the difficulties occurring in the purchase and export of these products affect prices and the situation in agriculture. In March 2020 out of over 2,200 units purchasing agricultural products, 6.1% have ceased operations.
On the agricultural market in March this year average purchase prices of basic plant-derived products were higher than a month ago, while prices of animal-derived products dropped, except for live pig prices. Purchase prices of most basic agricultural products were lower than a year ago; only the prices of potatoes and live pigs increased.
In the first quarter of this year purchase prices of most agricultural products fell on an annual basis, except for potato, live pig and poultry prices.
Source: Central Statistical Office
Despite gloomy economic indicators, food producers are doing relatively well
The Leading Economic Indicator (WWK), which forecasts future economic activity in Poland, went down by 19.4 points to 141.4 points in April 2020, with food producers relatively less affected.
According to the Bureau for Investments and Economic Cycles (BIEC), WWK has dropped as much as in the entire period of the global recession of 2007-2008 that lasted a year and a half.
"In just one month, the indicator lost as much as in the whole, over a year and a half period, of the world recession of 2007-2008," BIEC said.
According to BIEC, companies reported a significant deterioration in their finances. Indicators relating to assessments of the overall situation in companies have also collapsed. The decline primarily resulted from a rapid collapse of the flow of new orders to Polish producers.
This situation affected almost all industries, with the exception of the pharmaceutical sector, which received more orders in April than in previous months or even years. Food producers also experienced relatively smaller decreases in orders, BIEC added.
Source: PAP