Agri-environmental aid is an environmental subsidy system funded by the government and the EU for reducing environmental burdening from agriculture, and promoting biodiversity and taking care of the cultivated landscape. The aid is mainly granted to crop growers and compensates the environmental protection expenditure they incur.
Basic price is a price concept in the national accounts. The basic price is the price receivable by the producers from the purchaser for a unit of a good or service produced as output, minus any tax payable on that unit as a consequence of its production or sale (i.e. taxes on products), plus any subsidy receivable on that unit as a consequence of its production or sale (i.e. subsidies on products). It excludes any transport charges invoiced separately by the producer. It includes any transport margins charged by the producer on the same invoice, even when they are included as a separate item on the invoice. (subsidies on products). (ESA 1995 3.48).
Gross fixed capital formation consists of resident producers' acquisitions, less disposals, of fixed assets. Fixed assets are tangible or intangible assets produced as outputs from processes of production that are themselves used repeatedly, or continuously, in processes of production for more than one year. (ESA 1995 3.102.)
Intermediate consumption consists of the value of the goods and services consumed as inputs by a process of production, excluding fixed assets whose consumption is recorded as consumption of fixed capital. The goods and services may be either transformed or used up by the production process. (ESA 1995 3.69.)
Products used for intermediate consumption should be recorded and valued at the time they enter the process of production. They are to be valued at the purchasers’ prices for similar goods or services at that time. (ESA 1995 3.72.)
NUTS (Nomenclature des Unités Territoriales Statistiques) is the regional classification system of the EU, according to which all common regional statistics of the EU are compiled. The official NUTS division is recommended to be used as the primary regional division in statistics. The NUTS classification is defined in the Regulation of the European Parliament and of the Council No. 1059/2003.
The NUTS nomenclature is used for
a) collecting, developing and harmonising Community regional statistics
b) socio-economic analyses of areas
c) defining Community regional policy.
In Finland NUTS level 1 refers to the division into Mainland Finland and Åland and NUTS level 2 major regions. Regions corresponded to the NUTS level 3 areas until 11 July 2003, but at the moment the national division into regions and NUTS level 3 differ in the case of the municipality of Punkalaidun. Sub-regional units form LAU level 1 (NUTS 4) and municipalities LAU level 2 (NUTS 5). LAU (Local Administrative Unit).
In the statistics the most important one is NUTS level 2 (major regions), on which all regional data are to be produced.
Output at basic prices consists of the products which have been produced in the accounting period. Three categories of output are distinguished: market output, output for own final use, and other non-market output. Output is to be recorded and valued when it is generated by the production process. (ESA 1995 3.14.-3.16.)
The price received by farmers for their agricultural products without value added taxes and subsidies on productions on farms or in the first stage of the marketing chain.
Subsidies (D.3) are current unrequited payments which general government or the institutions of the European Union make to resident producers, with the objective of influencing their levels of production, their prices or the remuneration of the factors of production. Other non-market producers can receive other subsidies on production only if those payments depend on general regulations applicable to market and non-market producers as well.
Subsidies granted by the Institutions of the European Union cover only current transfers made directly by them to resident producer units.
Subsidies are classified into:
a) subsidies on products (D.31)
(1) import subsidies (D.311)
(2) other subsidies on products (D.319)
b) other subsidies on production (D.39).
(ESA 1995 4.30.-4.32.)
Value added (gross) refers to the value generated by any unit engaged in a production activity. In market production it is calculated by deducting from the unit's output the intermediates (goods and services) used in the production process and in non-market production by adding up compensation of employees, consumption of fixed capital and possible taxes on production and imports.