Statistics Portugal (Instituto Nacional de Estatística, I.P.)

National Accounts Department (Departamento de Contas Nacionais – DCN) - Satellite Accounts and Quality Assessment of National Accounts Unit (Serviço de contas satélite e de avaliação de qualidade das contas nacionais – CSAQ)

Av. António José de Almeida, 5

1000-043 Lisboa

Portugal

The Economic Accounts for Agriculture (EAA) provide detailed information on income from agricultural activity.

The methods are laid down in the Regulation (EC) 138/2004 of the European Parliament and of the Council.

The EAA are an integral part of the ESA. As such, they are compiled based on NACE Rev.2, the statistical classification of economic activities in the European Community. The list of activities which defines the agricultural industry corresponds, in principle, to Division 01 of that classification: Crop and animal production, hunting and related service activities. However, some differences exist and they are detailed in Annex 1 of Regulation (EC) 138/2004 of the European Parliament and of the Council.

See the detail below.

See sheets 3.2.1.1.(a) to 3.2.1.1.(c) in the attached Excel file 'Annex 1 - Components of the Production account - Output' in the section Annexes at the end of the file.

See sheets 3.2.1.2 (a) to 3.2.1.2 (c) in the attached Excel file 'Annex 2 - Components of the Production account - Intermediate consumption' in the section Annexes at the end of the file.

See sheet 3.2.1.3 in the attached Excel file 'Annex 3 - Components of the Generation of income account' in the section Annexes at the end of the file.

See sheet 3.2.1.4 in the attached Excel file 'Annex 4 - Components of the Entrepreneurial income account' in the section Annexes at the end of the file.

See sheet 3.2.1.5 in the attached Excel file 'Annex 5 - Elements of the Capital account' in the section Annexes at the end of the file.

The sector covers all units involved in agricultural production, even if some of those units have more important economic activities or if the purpose of some others is not commercial. However, kitchen gardens (producing for own-consumption only) are not included.

The list of agricultural activities characteristic of the EAA corresponds to the seven groups of Division 01 of NACE Rev 2 activities (01.1 to 01.7), with the following caveats:

- the inclusion of the production of wine and olive oil (exclusively using grapes and olives grown by the same holding),

- the exclusion of certain activities which, in NACE Rev. 2, are considered as agricultural services (e.g. the operation of irrigation systems - only agricultural contract work is taken into account here).

A detailed methodology can be found in Annex I of Regulation (EC) 138/2004.

The EAA are satellite accounts of the European System of Accounts (ESA) providing complementary information and concepts adapted to the particular nature of the agricultural industry.

The EAA are shown as a sequence of inter-related accounts. As the EAA are based on the industry concept, the sequence of accounts is limited to the first accounts of the current account:

- the production account and

- the generation-of-income account

whose balancing items are value added and operating surplus, respectively.

Nevertheless, it should be possible to compile other accounts, at least in part, in so far as the relevant flows can be clearly attributed to them. The accounts in question are the following:

- the entrepreneurial income account (one of the current accounts) and

- the capital account (one of the accumulation accounts).

The EAA provide a wide range of indicators on the economic activities in the agricultural sector: these include output, intermediate consumption, gross and net value added, gross fixed capital formation (GFCF), both in current prices and in constant prices, as well as compensation of employees, other taxes and subsidies on production, net operating surplus or net mixed income, property income and net entrepreneurial income in current prices.

Three indicators of the economic performance of agriculture are defined in the EAA:

•Indicator A: Index of the real income of factors in agricultural per annual work unit.           
•Indicator B: Index of real net agricultural entrepreneurial income per unpaid annual work unit.          
•Indicator C: Net entrepreneurial income of agriculture.

Agricultural output is the total of agricultural products and the goods and services produced in inseparable non-agricultural secondary activities created during the accounting period. It is recorded as a resource in the production account and it is valued and recorded at the time it is generated, that is when produced and not when paid by the purchaser.

In the compilation of the EAA, output is progressively broken down in quantity terms (see paragraph 2.037 of Regulation (EC) 138/2004).

Output is valued at the basic price. The basic price is the price receivable by the producers from the purchaser for a unit of a good or service produced, minus any tax (i.e. taxes on products) payable on that unit plus any subsidy (i.e. subsidies on products) receivable on that unit. The basic price excludes any transport charges invoiced separately by the producer. It also excludes holding gains and losses on financial and non-financial assets.

The valuation of output at the basic price makes it necessary to distinguish between taxes (other than VAT) on products and subsidies on products, on the one hand, and other taxes and subsidies on production, on the other. 

Intermediate consumption represents the value of all goods and services used as inputs in the production process, excluding fixed assets whose consumption is recorded as fixed capital consumption.

The inputs used for intermediate consumption should be valued at the purchaser prices for similar goods and services applicable at the time of their insertion in the production process. The purchaser price includes taxes less subsidies on products (but excluding deductible taxes like VAT on the products). It also includes any transport charges paid separately by the purchaser to take delivery at the required time and place.

In the case of the generation of income account, the distributive transactions relate to other taxes on production, other subsidies on production and the compensation of employees.

For details please see sheet 3.4.3 - Other questions in the attached Excel file 'Annex 3 - Components of the Generation of income account' in the section Annexes at the end of the file.

The entrepre­neurial income account records certain types of property income (mainly land rents, interest and property income attributed to insurance policy holders).

For details please see sheet 3.4.4 - Other questions in the attached Excel file 'Annex 4 - Components of the Entrepreneurial income account' in the section Annexes at the end of the file.

In addition to Gross fixed capital formation (GFCF), the capital account records distributive trans­actions corresponding to aid for investment and other capital transfers.

The overall unit is the agricultural sector. However, in order to provide more detailed information and to analyse flows generated by the production process and the use of goods and services, it is necessary to select units which emphasise relationships of a technical-economic kind. This means that, as a rule, institutional units must be broken-down into smaller and more homogeneous units with regard to the kind of production (local kind-of-activity units/local KAUs) are intended to meet this requirement (ESA 2010, 2.147).

The local KAU is defined as the part of a KAU which corresponds to a local unit. The institutional unit's information system must be capable of indicating or calculating for each local KAU at least the value of output, intermediate consumption, compensation of employees, the operating surplus and employment and gross fixed capital formation (ESA 2010, 2.148).

The agricultural holding, (the unit currently used for statistical studies of agriculture (censuses, surveys of the structure of agricultural holdings), is the local KAU most appropriate to the agricultural industry (even though certain other units, such as wine or olive oil cooperatives, or units performing contract work, etc., have to be included in it). Nevertheless, it should be pointed out that the variety of agricultural activities that can be performed on agricultural holdings makes them a special type of local KAU. The strict application of the ESA rule to units and their group should in fact result in a division of the agricultural holding into several separate local KAUs in cases where several activities of the NACE Rev. 2 four-digit class are performed on the same holding.

Although the ESA gives pre-eminence to local KAUs, the unit best suited to analyse the production process is the unit of homogeneous production (UHP). This unit is used to analyse inputs and outputs, since it corresponds exactly to a type of activity. Institutional units are thus divided into as many UHPs as there are activities (other than ancillary). By grouping these units of homogeneous production it is possible to break down the economy into 'pure' (homogeneous) branches. A UHP cannot, as a rule, be directly observed. Therefore, the accounts of homogeneous branches cannot be compiled on the basis of groups of UHPs. The ESA describes a method for compiling these accounts.

The use of the local KAU as the basic unit for the agricultural industry entails recording non-agricultural secondary activities where they cannot be distinguished from the main agricultural activity (inseparable non-agricultural secondary activities of local agricultural KAUs) The selection criterion for inseparable non-agricultural secondary activities is rather the type of activity than the nature of the product. For example, agro-tourism services provided by a farm must only be included if they cannot be separated from its agricultural activities.

All country (Mainland and Autonomous Regions of Azores and Madeira).

1980-2020

B2016 (like National Accounts)

Millions of euros

Thousands of AWU

2020

EU legislation:

Regulation (EC) No 138/2004 of the European Parliament and of the Council of 5 December 2003 on the economic accounts for agriculture in the Community as amended

National legislation: 

There is no specific national legislation covering EAA statistics.

In Portugal, and considering the 2008 National Statistical System Basic Law, Statistics Portugal is responsible for collecting data and information, with a view to producing and disseminating official statistical information.

Statistics Portugal (Instituto Nacional de Estatística, I.P.)

Statistics Portugal (Instituto Nacional de Estatística, I.P.)

Since EAA are derivative statistics in Portugal, confidentiality is not a common problem. However, in case it takes place, Eurostat is warned of the confidential nature of data, so that public dissemination does not occur.

In Portugal, individual statistical data collected by statistical authorities are of a confidential nature and constitute a professional secret for all employees or other people who, in any capacity, become aware of them in the exercise or due to their functions related to official statistical activity.

In Statistics Portugal, there is a Data Protection Officer who coordinates matters relating to personal data, namely in compliance with EU Regulations regarding the processing of personal data and the free movement of such data.

In Statistics Portugal, and in addition to the statistical information that is officially disseminated, there is also the possibility of accessing:

a) Microdata - According to the National Statistical System Basic Law, individual statistical data on natural and legal persons can only be transferred for scientific purposes in an anonymized form, to accredited researchers, upon acceptance of previously established access conditions.

b) Public Use Files - Aiming to respond to users' needs to access more detailed information, Statistics Portugal prepared some files with information at the level of the observation unit. These files (data and metadata) contain anonymized records that are processed and prepared in such a way that the observation unit cannot be identified directly or indirectly, except when dealing with individual statistical data on the Public Administration. They are free to access and comply with the principle of statistical secrecy and protection of personal data, upon acceptance of previously established access conditions.

Embargo till the dissemination of data on Statistics Portugal website.

The release calendar is public and accessible on the Statistics Portugal website.

The release policy of Statistics Portugal is public and accessible on website.

Annual press release for the media, in mid-December, to disseminate data regarding the 1st EAA estimate.

https://www.ine.pt/xportal/xmain?xpid=INE&xpgid=ine_destaques&DESTAQUESdest_boui=415632923&DESTAQUEStema=5414331&DESTAQUESmodo=2

No physical Publications.

No Database for EAA.

Not applicable.

Yes (excel tables), on the website of Statistics Portugal:

https://www.ine.pt/xportal/xmain?xpid=INE&xpgid=cn_quadros&boui=391695596

The format proposed by Eurostat was followed.

EAA EU regulation, official handbook, and an additional technical document with methodological notes are available on Statistics Portugal website.

Methodological documents are public on Statistics Portugal website.

There exists a quality management system used in the organisation.

In accordance with the internal dissemination policy, responses to requests for information must be sent within 2/3 working days (maximum 5 working days). However, the internal guidance in force determines the reduction of this period, whenever possible, preferably so that the response is given on the same day. The possibility of having more detailed information online has been evaluated.

Not applicable.

Not applicable to EAA compilation.

Not applicable to EAA compilation.

Not applicable to EAA compilation.

There are no breaks in 1980-2021 series.

Not applicable (EAA do not produce sub annual data).

In Statistics Portugal, the EAA and the National Accounts (NA) are closely linked, being elaborated in an articulated and integrated way. Due to the calendar of each statistical operation, and because the EAA have specific sources for the agricultural activity, EAA data are used in the compilation of NA, Group 01. However, when the definitive EAA data are calculated, they assume the final version of the NA (bearing in mind the conceptual differences).

In Statistics Portugal, the EAA and the National Accounts (NA) are closely linked, being elaborated in an articulated and integrated way, in the same Department.

Presenting the costs of EAA for a calendar year, or comparing the EAA costs between two years, may not be fully adequate measures to assess the effort or the efficiency to produce this statistic. Tasks carried out are not identical in all years and, consequently, the costs of EAA in different years reflect different realities (e.g., benchmark year revision, replies to Eurostat on ongoing studies and developments, etc.). Since EAA are derivative statistics in Portugal, burden reduction is not specific for these statistics. However, at Statistics Portugal level, measures have been taken to reduce the statistical burden on respondents, such as: more intensive use of sources of information with administrative data, simplification of questionnaires, more user-friendly questionnaires, easier data transmission, etc..

The implementation of Base 2016 of EAA (in line with ESA 2010) carried out retropolations from 1980 onwards, that are already available.

The retropolation from the benchmark year (2016), backwards till 1980, was conducted with maximum detail. The basic method of calculation for output (most cases) consisted in determining the value, for each item and each year, by multiplying quantity by price. In other cases (of output or other items of the account), where no methodological changes have taken place or when it was not possible to obtain detailed data for the period 1980-2011, the calculation was based in projections settled on volume and price indices implicit in Base 2011.

See sheet 18.1.1 of the attached Excel file 'Annex 1 - Components of the Production account - Output' in the section Annexes at the end of the file.

For detailed explanations on data sources used, please see remarks under concept 18.1.3.

See sheet 18.1.3 of the attached Excel file 'Annex 2 - Components of the Production account - Intermediate consumption' in the section Annexes at the end of the file.

See sheet 18.1.4 of the attached Excel file 'Annex 3 - Components of the Generation of income account' in the section Annexes at the end of the file.

See sheet 18.1.5 of the attached Excel file 'Annex 4 - Components of the  Entrepreneurial income account' in the section Annexes at the end of the file.

See sheets 18.1.6 of the attached Excel file 'Annex 5 - Elements of the Capital account' in the section Annexes at the end of the file.

First estimate is carried out on the 30th of November; second estimate is carried out on the 31st of January (updates 1st estimate); final data is carried out on the 30th of September.

1st estimate on the 30th of November of year n covers year n; 2nd estimate on the 31st of January of year n covers year n-1; final data on the 30th September of year n covers year n-1 (provisional data) and n-2 (definitive data). These updates of final data of years n-1 and n-2 may be amended due to NA calendar.

As derived statistics and satellite accounts, EAA use different sources of information: censuses, survey data, administrative data, estimates, expert information, etc. Data are collected, as available, and in accordance with the production plan, data transmission to Eurostat and dissemination by Statistics Portugal.

The data collected from the various data sources are validated with each other and qualitative information published on each calendar year and agricultural year. In addition, a whole coherence validation work is carried out, as described in point 15.3.

See sheet 18.5.1.1 of the attached Excel file 'Annex 1 - Components of the Production account - Output' in the section Annexes at the end of the file.

See also Excel file 'Annex 6 - Calculation methods output'.

See sheet 18.5.1.2 (a) and 18.5.1.2 (b) of the attached Excel file 'Annex 2 - Components of the Production account - Intermediate consumption' in the section Annexes at the end of the file.

See sheet 18.5.1.3 of the attached Excel file 'Annex 3 - Components of the Generation of income account' in the section Annexes at the end of the file.

See sheet 18.5.1.4 of the attached Excel file 'Annex 4 - Components of the Entrepreneurial income account' in the section Annexes at the end of the file.

See sheets 18.5.1.5 'Annex 5 - Elements of the Capital account' in the section Annexes at the end of the file.

See sheets 18.5.2.1 of the attached Excel file 'Annex 1 - Components of the Production account - Output' in the section Annexes at the end of the file.

See sheet 18.5.2.2 of the attached Excel file 'Annex 2 - Components of the Production account - Intermediate consumption' in the section Annexes at the end of the file.

See sheet 18.5.2.3 of the attached Excel file 'Annex 3 - Components of the Generation of income account' in the section Annexes at the end of the file.

See sheet 18.5.2.4 of the attached Excel file 'Annex 4 - Components of the Entrepreneurial income account' in the section Annexes at the end of the file.

See sheet 18.5.2.5 of the attached Excel file 'Annex 5 - Elements of the Capital account' in the section Annexes at the end of the file. 

See the attached Excel file 'Annex 7 - Numerical examples' in the section Annexes at the end of the file.

See the attached Excel file 'Annex 7 - Numerical examples' in the section Annexes at the end of the file.

See the attached Excel file 'Annex 7 - Numerical examples' in the section Annexes at the end of the file.

See the attached Excel file 'Annex 7 - Numerical examples' in the section Annexes at the end of the file.

See the attached Excel file 'Annex 7 - Numerical examples' in the section Annexes at the end of the file.

See sheet 18.5.4.1 of the attached Excel file 'Annex 1 - Components of the Production account - Output' in the section Annexes at the end of the file.

See sheet 18.5.4.2 of the attached Excel file 'Annex 2 - Components of the Production account - Intermediate consumption' in the section Annexes at the end of the file.

See sheet 18.5.5 of the attached Excel file 'Annex 2 - Components of the Production account - Intermediate consumption' in the section Annexes at the end of the file.

Calculation of compensation of VAT on Other taxes on production:

Calculation of compensation of VAT on Other subsidies on production:

See sheet 18.6.1 of the attached Excel file 'Annex 1 - Components of the Production account - Output' in the section Annexes at the end of the file.

See sheet 18.6.2 of the attached Excel file 'Annex 2 - Components of the Production account - Intermediate consumption' in the section Annexes at the end of the file.

See sheet 18.6.3 of the attached Excel file 'Annex 3 - Components of the Generation of income account' in the section Annexes at the end of the file.

See sheet 18.6.4 of the attached Excel file 'Annex 4 - Components of the Entrepreneurial income account' in the section Annexes at the end of the file.

See sheet 18.6.5 of the attached Excel file 'Annex 5 - Elements of the capital account' in the section Annexes at the end of the file.

List of abbreviations: