Cost and revenue of farm products: Polish and Hungarian comparison

Ferenczi, Tibor and Wilkin, Jerzy (2000) Cost and revenue of farm products: Polish and Hungarian comparison. Hungarian Statistical Review, 78 (SN5). pp. 110-124. ISSN 0039-0690

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Abstract

Agricultural producer prices in Hungary and Poland are generally lower than in the EU-member countries. Poland generally produces on lower cost, and achieves higher margins than Hungary, though it should be stressed that member countries themselves also significantly diverge in producer prices even in case of products like cereals, milk, cattle etc. After the accession of Poland and Hungary to the EU, producer price level will not necessarily achieve the EU-average. The larger gap in producer prices can be beneficial, considered especially the declining trend of producer prices in the EU. It is possible that low production cost of both Poland and Hungary will attract European multinationals to invest in downstream sectors, if other necessary conditions will be met.

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