IDEAS home Printed from https://ideas.repec.org/a/eee/ecolec/v220y2024ics0921800924000752.html
   My bibliography  Save this article

Conversion to organic farming: Does it change the economic and environmental performance of fruit farms?

Author

Listed:
  • Martín-García, Jaime
  • Gómez-Limón, José A.
  • Arriaza, Manuel

Abstract

This paper compares the performance of conventional and organic fruit farms in Spain, using a set of base indicators to assess their economic and environmental performance on a per hectare basis. Composite indicators are also calculated to measure the overall economic and environmental performance of both production systems. Comparisons are made using propensity score matching to minimize the non-randomization biases caused by structural differences between the samples of conventional (n = 552) and organic (n = 127) fruit farms sourced from the Spanish Farm Accountancy Data Network (RECAN). The results based on per hectare metrics point to modest changes in the performance of farms that converted to organic farming. This is mainly because most converted farms were former conventional farms characterized by lower profitability and less intensive input use, consequently minimizing the effects of the conversion process. Nevertheless, the conversion outcomes exhibit a degree of variability depending on the specific type of fruit production. Economic gains are only discernible in the case of nut farms, whereas fruit and tropical fruit farms tend to yield the most favorable results per hectare from an environmental perspective.

Suggested Citation

  • Martín-García, Jaime & Gómez-Limón, José A. & Arriaza, Manuel, 2024. "Conversion to organic farming: Does it change the economic and environmental performance of fruit farms?," Ecological Economics, Elsevier, vol. 220(C).
  • Handle: RePEc:eee:ecolec:v:220:y:2024:i:c:s0921800924000752
    DOI: 10.1016/j.ecolecon.2024.108178
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0921800924000752
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.ecolecon.2024.108178?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Byomkesh Talukder & Keith W. Hipel & Gary W. vanLoon, 2018. "Using multi‐criteria decision analysis for assessing sustainability of agricultural systems," Sustainable Development, John Wiley & Sons, Ltd., vol. 26(6), pages 781-799, November.
    2. Mercedes Beltrán & Ernest Reig, 2014. "Comparing conventional and organic citrus grower efficiency in Spain," Working Papers 1406, Department of Applied Economics II, Universidad de Valencia.
    3. Anthony Trewavas, 2001. "Urban myths of organic farming," Nature, Nature, vol. 410(6827), pages 409-410, March.
    4. Christian Stetter & Johannes Sauer, 2022. "Greenhouse Gas Emissions and Eco-Performance at Farm Level: A Parametric Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 81(3), pages 617-647, March.
    5. Diaz-Balteiro, Luis & Romero, Carlos, 2004. "In search of a natural systems sustainability index," Ecological Economics, Elsevier, vol. 49(3), pages 401-405, July.
    6. Mathieu Lambotte & Stéphane de Cara & Catherine Brocas & Valentin Bellassen, 2023. "Organic farming offers promising mitigation potential in dairy systems without compromising economic performances," Post-Print hal-03995376, HAL.
    7. Beckman, Jayson & Ivanic, Maros & Jelliffe, Jeremy L & Baquedano, Felix G & Scott, Sara G, 2020. "Economic and Food Security Impacts of Agricultural Input Reduction Under the European Union Green Deal’s Farm to Fork and Biodiversity Strategies," Economic Brief 327231, United States Department of Agriculture, Economic Research Service.
    8. Jindrich Spicka & Tomas Hlavsa & Katerina Soukupova & Marie Stolbova, 2019. "Approaches to estimation the farm-level economic viability and sustainability in agriculture: A literature review," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 65(6), pages 289-297.
    9. Smith, Travis A. & Lin, Biing-Hwan & Huang, Chung L., 2008. "Organic Premiums of U.S. Fresh Produce," 2008 Conference, April 21-22, 2008, St. Louis, Missouri 37626, NCCC-134 Conference on Applied Commodity Price Analysis, Forecasting, and Market Risk Management.
    10. Rosa-Schleich, Julia & Loos, Jacqueline & Mußhoff, Oliver & Tscharntke, Teja, 2019. "Ecological-economic trade-offs of Diversified Farming Systems – A review," Ecological Economics, Elsevier, vol. 160(C), pages 251-263.
    11. Thomas Slijper & Yann de Mey & P Marijn Poortvliet & Miranda P M Meuwissen, 2022. "Quantifying the resilience of European farms using FADN," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 49(1), pages 121-150.
    12. Salvatore Greco & Alessio Ishizaka & Menelaos Tasiou & Gianpiero Torrisi, 2019. "On the Methodological Framework of Composite Indices: A Review of the Issues of Weighting, Aggregation, and Robustness," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(1), pages 61-94, January.
    13. repec:ags:aaea22:335587 is not listed on IDEAS
    14. Jindřich Špička & Petr Dereník, 2021. "How opportunity costs change the view on the viability of farms? Empirical evidence from the EU," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(2), pages 41-50.
    15. Harkness, Caroline & Areal, Francisco J. & Semenov, Mikhail A. & Senapati, Nimai & Shield, Ian F. & Bishop, Jacob, 2021. "Stability of farm income: The role of agricultural diversity and agri-environment scheme payments," Agricultural Systems, Elsevier, vol. 187(C).
    16. Ben B. Hansen, 2004. "Full Matching in an Observational Study of Coaching for the SAT," Journal of the American Statistical Association, American Statistical Association, vol. 99, pages 609-618, January.
    17. BARREIRO HURLE Jesus & BOGONOS Mariia & HIMICS Mihaly & HRISTOV Jordan & PEREZ DOMINGUEZ Ignacio & SAHOO Amarendra & SALPUTRA Guna & WEISS Franz & BALDONI Edoardo & ELLEBY Christian, 2021. "Modelling environmental and climate ambition in the agricultural sector with the CAPRI model," JRC Research Reports JRC121368, Joint Research Centre.
    18. Rosenbaum, Paul R., 2010. "Design Sensitivity and Efficiency in Observational Studies," Journal of the American Statistical Association, American Statistical Association, vol. 105(490), pages 692-702.
    19. Adele Coppola & Mario Amato & Domenico Vistocco & Fabio Verneau, 2022. "Measuring the economic sustainability of Italian farms using FADN data," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 68(9), pages 327-337.
    20. Volkov, Artiom & Morkunas, Mangirdas & Balezentis, Tomas & Streimikiene, Dalia, 2022. "Are agricultural sustainability and resilience complementary notions? Evidence from the North European agriculture," Land Use Policy, Elsevier, vol. 112(C).
    21. Rezaei, Jafar, 2015. "Best-worst multi-criteria decision-making method," Omega, Elsevier, vol. 53(C), pages 49-57.
    22. Baldoni, Edoardo & Coderoni, Silvia & Esposti, Roberto, 2017. "The productivity and environment nexus with farm-level data. The Case of Carbon Footprint in Lombardy FADN farms," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 6(2), September.
    23. Bartolini, Fabio & Vergamini, Daniele & Longhitano, Davide & Povellato, Andrea, 2021. "Do differential payments for agri-environment schemes affect the environmental benefits? A case study in the North-Eastern Italy," Land Use Policy, Elsevier, vol. 107(C).
    24. Froehlich, Anderson G. & Melo, Andrea S.S.A. & Sampaio, Breno, 2018. "Comparing the Profitability of Organic and Conventional Production in Family Farming: Empirical Evidence From Brazil," Ecological Economics, Elsevier, vol. 150(C), pages 307-314.
    25. Gómez-Limón, José A. & Sanchez-Fernandez, Gabriela, 2010. "Empirical evaluation of agricultural sustainability using composite indicators," Ecological Economics, Elsevier, vol. 69(5), pages 1062-1075, March.
    26. Eva-Marie Meemken & Matin Qaim, 2018. "Organic Agriculture, Food Security, and the Environment," Annual Review of Resource Economics, Annual Reviews, vol. 10(1), pages 39-63, October.
    27. Sneessens, Inès & Sauvée, Loïc & Randrianasolo-Rakotobe, Hanitra & Ingrand, Stéphane, 2019. "A framework to assess the economic vulnerability of farming systems: Application to mixed crop-livestock systems," Agricultural Systems, Elsevier, vol. 176(C).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Meike Weltin & Silke Hüttel, 2023. "Sustainable Intensification Farming as an Enabler for Farm Eco-Efficiency?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 84(1), pages 315-342, January.
    2. Anna Lungarska & Thierry Brunelle & Raja Chakir & Pierre‐Alain Jayet & Rémi Prudhomme & Stéphane De Cara & Jean‐Christophe Bureau, 2023. "Halving mineral nitrogen use in European agriculture: Insights from multi‐scale land‐use models," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 45(3), pages 1529-1550, September.
    3. Ernest Reig‐Martínez & José A. Gómez‐Limón & Andrés J. Picazo‐Tadeo, 2011. "Ranking farms with a composite indicator of sustainability," Agricultural Economics, International Association of Agricultural Economists, vol. 42(5), pages 561-575, September.
    4. Weerahewa, Jeevika & Dayananda, Dasuni, 2023. "Land use changes and economic effects of alternative fertilizer policies: A simulation analysis with a bio-economic model for a Tank Village of Sri Lanka," Agricultural Systems, Elsevier, vol. 205(C).
    5. Jia, Xibei & Buyle, Sven & Macário, Rosário, 2023. "Developing an airport sustainability evaluation index through composite indicator approach," Journal of Air Transport Management, Elsevier, vol. 113(C).
    6. Rubén Raedo, 2021. "Urban Sustainability Deficits: The Urban Non-Sustainability Index (UNSI) as a Tool for Urban Policy," Sustainability, MDPI, vol. 13(22), pages 1-25, November.
    7. Pépin, Antonin & Morel, Kevin & van der Werf, Hayo M.G., 2021. "Conventionalised vs. agroecological practices on organic vegetable farms: Investigating the influence of farm structure in a bifurcation perspective," Agricultural Systems, Elsevier, vol. 190(C).
    8. Jayson Beckman & Maros Ivanic & Jeremy Jelliffe & Shawn Arita, 2022. "Adopt or not adopt? Mirror clauses and the European Green Deal," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(4), pages 2014-2033, December.
    9. Carrillo, Marianela & Jorge, Jesús M., 2017. "Multidimensional Analysis of Regional Tourism Sustainability in Spain," Ecological Economics, Elsevier, vol. 140(C), pages 89-98.
    10. Nattino, Giovanni & Song, Chi & Lu, Bo, 2022. "Polymatching algorithm in observational studies with multiple treatment groups," Computational Statistics & Data Analysis, Elsevier, vol. 167(C).
    11. Cinelli, Marco & Kadziński, Miłosz & Miebs, Grzegorz & Gonzalez, Michael & Słowiński, Roman, 2022. "Recommending multiple criteria decision analysis methods with a new taxonomy-based decision support system," European Journal of Operational Research, Elsevier, vol. 302(2), pages 633-651.
    12. Ghislain B. D. Aihounton & Arne Henningsen, 2023. "Does Organic Farming Jeopardize Food and Nutrition Security?," IFRO Working Paper 2023/02, University of Copenhagen, Department of Food and Resource Economics.
    13. Lozano-Oyola, Macarena & Contreras, Ignacio & Blancas, Francisco Javier, 2019. "An Operational Non-compensatory Composite Indicator: Measuring Sustainable Tourism in Andalusian Urban Destinations," Ecological Economics, Elsevier, vol. 159(C), pages 1-10.
    14. Aïhounton, Ghislain B.D. & Henningsen, Arne, 2024. "Does organic farming jeopardize food security of farm households in Benin?," Food Policy, Elsevier, vol. 124(C).
    15. Anugu Amarender Reddy & Indrek Melts & Geetha Mohan & Ch Radhika Rani & Vaishnavi Pawar & Vikas Singh & Manesh Choubey & Trupti Vashishtha & A Suresh & Madhusudan Bhattarai, 2022. "Economic Impact of Organic Agriculture: Evidence from a Pan-India Survey," Sustainability, MDPI, vol. 14(22), pages 1-22, November.
    16. Radka Redlichová & Gabriela Chmelíková & Ivana Blažková & Eliška Svobodová & Inez Naaki Vanderpuje, 2021. "Organic Food Needs More Land and Direct Energy to Be Produced Compared to Food from Conventional Farming: Empirical Evidence from the Czech Republic," Agriculture, MDPI, vol. 11(9), pages 1-19, August.
    17. Alessandro Magrini & Francesca Giambona, 2022. "A Composite Indicator to Assess Sustainability of Agriculture in European Union Countries," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 163(3), pages 1003-1036, October.
    18. Siyu Heng & Hyunseung Kang & Dylan S. Small & Colin B. Fogarty, 2021. "Increasing power for observational studies of aberrant response: An adaptive approach," Journal of the Royal Statistical Society Series B, Royal Statistical Society, vol. 83(3), pages 482-504, July.
    19. Katarína Novotná & Ľubomír Gurčík & Zuzana Lušňáková, 2023. "Economic determinants of the development and sustainability of family farms in Slovakia," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 69(7), pages 291-299.
    20. Kennedy Ndue & Goda Pál, 2022. "European Green Transition Implications on Africa’s Livestock Sector Development and Resilience to Climate Change," Sustainability, MDPI, vol. 14(21), pages 1-29, November.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:220:y:2024:i:c:s0921800924000752. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ecolecon .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.