Evaluation of the Contribution of Pastures on the Economic Sustainability of Small Ruminant Farms in a Typical Greek Area

Abstract

Small ruminant production is predominantly linked to the use of natural pastures; however the intensification process in past decades has led to a gradual abandonment of grazing and the prevalence of intensive patterns. This paper contributes to the discussion about the economic performance of small ruminant farms relative to the use of pastures. Using data from a sample of Greek sheep and goat farms it is shown that grazing does not necessarily increase economic performance. If not organized carefully, farms which graze more do not reduce their feeding costs or they counterbalance this reduction with increases labor expenses. An efficiency analysis of the sample using Data Envelopment Analysis (DEA) shows that farms which graze less are generally more efficient than the ones which graze more. Furthermore, the input-oriented DEA model reveals that the same level of output could be achieved with less a reduction of hours grazing by 12.5% and 11.9%, respectively for farms which graze less than 1800 h and more than 1800 respectively. It is concluded that a higher level of organization is required to render grazing a practice with positive economic impact on farms, including infrastructure for better accessibility of pastures, more efficient rations and training. This applies also to the framework for pasture use in Greece, as the delivery of Integrated Grazing Management Plans is expected to provide guidance and stability to small ruminant farmers.