Economic results of agricultural holdings in less favoured areas

Abstract

The profit/loss of agricultural holdings in the LFA is decreased due to worse conditions of climate and production. This disadvantage should be compensated by the "compensatory payments" in the LFA that should support the continuous using of agricultural land and preserving the rural region. The prepared delimitation of the LFA should be created according to the analyses of the possible impacts and the proper evaluation of the current state as its impacts will significantly influence the competitiveness of agricultural holdings. This paper summarises the results of the economic indicators analysis of agricultural holdings in the Czech Republic in the LFA and out of the LFA and the influence of subsidies on the profit/loss.