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Danish Farmers and Investors: An analysis of reasons and motivations for increasing cross-border agricultural activities in Central and Eastern European countries

Author

Listed:
  • Luljeta Hajderllari

    (Institute of Food and Resource Economics, University of Copenhagen)

  • Kostas Karantininis

    (Institute of Food and Resource Economics, University of Copenhagen)

  • Ole Bonnichsen

    (Institute of Food and Resource Economics, University of Copenhagen)

Abstract

The purpose of this paper is to provide some evidence on the push and pull factors that motivate farmers to expand across their home countries’ borders. The focus is on Danish expansion farmers and investor farmers setting up activities in Central and Eastern European countries like Slovakia, Poland, Romania and Latvia. Data from 44 mail surveys was analysed to explore the push and pull factors that contribute to farmers’ level of activities outside their home country. The responses given in the mail survey are analysed using two analytical methods of frequency analysis and an ordered probit model. The results indicate that the important factors for Danish farmers to extend overseas are price and availability of land, institutional governance, network and image with regard to farming. These findings generally support the literature regarding reasons for farmers to increase their cross-border activities, except that we do not find a significant influence from the availability of cheap labour in the host countries.

Suggested Citation

  • Luljeta Hajderllari & Kostas Karantininis & Ole Bonnichsen, 2012. "Danish Farmers and Investors: An analysis of reasons and motivations for increasing cross-border agricultural activities in Central and Eastern European countries," IFRO Working Paper 2012/10, University of Copenhagen, Department of Food and Resource Economics.
    • Handle: RePEc:foi:wpaper:2012_10
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    References listed on IDEAS

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    Cited by:

    1. Luljeta Hajderllari, 2012. "Actions with economic elements embedded in the social networks of Danish farmer investors abroad," IFRO Working Paper 2012/13, University of Copenhagen, Department of Food and Resource Economics.
    2. Mette Asmild & Tomas Baležentis & Jens Leth Hougaard, 2019. "Industry Competitiveness Indicators," IFRO Working Paper 2019/01, University of Copenhagen, Department of Food and Resource Economics.

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    More about this item

    Keywords

    Denmark; Danish farmer; agriculture; cross-border; Central Eastern Europe;
    All these keywords.

    JEL classification:

    • C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation
    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade

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