1 Helgeland Landbruksrådgiving 27.5.2015 Päivi Kainulainen.

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Helgeland Landbruksrådgiving27.5.2015Päivi Kainulainen

The Centres for Economic Development,Transport and the Environment Promote regional development by implementing

government initiatives and development tasks in the regions.

Responsibility areas– Business and industry, the labour force, competence

and skills (incl. rural development) – Transport and infrastructure– Environment and natural resources

General administrative steering– Ministry of Employment and the Economy

Steering (rural development)– Ministry of Agriculture and Forestry– Finnish Food Safety Authority Evira– Agency for Rural Affairs

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Rovaniemi

Kemi

Oulu

KajaaniYlivieska

Joensuu

Kokkola

Kuopio

Mikkeli

Lappeenranta

Jyväskylä

Helsinki

Vaasa

Seinäjoki

PoriTampere

Turku Hämeenlinna

Lahti

Kouvola

© Reindeer herders’ Association

Three ELY Centre responsibility areas

Business and industry, the labour force, competence and skills, and cultural activities

Transport and infrastructure

Environment and natural resources

3Centre for Economic Development, Transport and the Environment for Lapland

Customer Relationships

Sanna Kolomainen

CommunicationEeva-Kaarina

Yrjänheikki

StrategyTuija Ohtonen

Business and industry, the labour force and

competence and skills

DirectorPirkko Saarela

Employment, Entrepreneurship, Competence and

Immigration

Fishery

Rural Development and Energy

Transport and Infrastructure

DirectorJaakko Ylinampa

Strategic Planning

Transport Services

Transport System and Planning

Procurement and investments

Environment and Natural

Resources

DirectorTimo Jokelainen

Environmental Protection

Water Resources

Land Use

Nature Conservation

Water Service and Monitoring

Employment and Economic Development Office – Director Marja Perälä

Director GeneralPirkko Saarela

Reindeer husbandry in the EU

The northern parts of Finland and Sweden are the only areas in the European Union where reindeer husbandry is practised.

The reindeer husbandry area in Finland covers 36 % of the total land area, in Sweden 49 % and in Norway 45 %.

Reindeer husbandry requires large areas - wide natural pastures. Reindeers are part of biological diversity of the North.

The whole area is populated: even though the area is sparsely populated, it is not empty.

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Regional Council of Lapland

Reindeer herding area Reindeer herding is practiced via 54 herding cooperatives that

differ in size according to the area and the number of reindeer. They have their own administration headed by a Chief of District.

Reindeer owners are independent entrepreneurs. Each reindeer owner is a shareholder in one of the herding cooperatives.

Cooperatives are members of the Reindeer Herders’ Association.

Reindeer herding act 848/1990

Every citizen of EU can own reindeer in Finland but according to law, you must be officially living at the municipality that is situated at the reindeer management area of Finland.

Reindeer herding may be practiced in the reindeer herding area irrespective of land ownership or possession rights (free grazing right) (3§).

Specifies areas specifically intended for reindeer herding:

“The [State] land in this area may not be used in a manner that may significantly hinder reindeer herding” (2.2§).

“When planning measures concerning State land, which will have a substantial effect on the practice of reindeer herding, the State authorities must consult the representatives of the reindeer herding cooperative in question.” (53§)

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Finnish Reindeer Husbandry in 2014

54 reindeer herding cooperatives

4 464 owners

The maximum number of reindeer is controlled by the state. In 2014 there was 186 776 living reindeer, biggest allowed is 203 700 reindeer.

70 739 slaughtered reindeer

1,7 million kg reindeer meat

4300 reindeer found killed by large predators

Loss of 4 000 reindeer in road traffic accidents yearly

Governmental aid is only 18% of the incomes

Traditionally reindeer herding families have many sources of income

7© Reindeer Herders’ Association

8Source: Reindeer Herders’ Association

Pre-study of the econimics.

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Agriculture in Lapland

Northernmost production in the European Union, special conditions in harsh climate and long distances.

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Picture: Mauri Nieminen

Picture: Mauri Nieminen

Most northern farms in the European Union, Teno River valley

© Ulkoasianministeriö

Picture: Hannu Linjakumpu

Picture: Hannu Linjakumpu

Agriculture in Lapland

Agricultural sales revenue: 97% comes from livestock production of which 78% is from milk production.

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Number of agricultural and horticultural enterprises (farms) by production sector and ELY Centre 2014

ELY CentreCereals production

Other plant production

Greenhouse production

Outdoor1) production

Milk production

Beef production

Other cattle2) husbandry

Pig husbandry

Poultry husbandry

Other grazing3) livestock

Mixed production

Total

Lapland 4 721 21 22 356 145 29 0 0 132 16 1 446

Lapland 0,28 % 49,86 % 1,45 % 1,52 % 24,62 % 10,03 % 2,01 % 0,00 % 0,00 % 9,13 % 1,11 % 100 %

1) Outdoor horticultural production 2) Combined sucler cow production and cattle fattening3) Includes sheep, goat and horse production (reindeer not included)

Production line is the financially most significant production line of an agricultural and horticultural enterprise, calculated using the Standard Output method. If one product accounts for more than two thirds of the farm's total production, this product determines the farm's production line. If no such product can be identified, the farm is categorised as a mixed farm.

Source: Natural Resources Institute Finland, Structure of agricultural and horticultural enterprises

Picture: Hannu Linjakumpu

www.maataloustilastot.fi/en/structure-agricultural-and-horticultural-enterprises-2014_en

Agriculture in Lapland

• Average age (agricultural and horticultural enterprises): 51 years

• Utilized agricultural area 44 289 ha

• Average utilized agricultural area 30,63 ha(Source: Natural Resources Institute Finland, Structure of agricultural and horticultural enterprises)

2015:market price does not cover the cost of production

Lappish agricultural production is based on the ruminants. Field production is almost exclusively grass for the animals. Grass fields has to be regularly renewed in order to provide good quality feed for animals. Winter damages may lead to earlier grass renovation of the average four-year cycle.

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Milk production, liter Liter per producer

2013 2014Change 2013 2014 Change

88 868 904 91 810 532 3,31 % 235 103 255 029 19 926Source:The Central Union of Agricultural Producers and Forest Owners (MTK) for Lapland

Agriculture in Lapland

Startups: Rural Development Program 2007-2013, 2014–2020 (EU and national financing), Objective I Program 2000-2006

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Year Agriculture Reindeer

husbandry 2014 24 202013 8 122012 7 182011 5 142010 9 162009 3 182008 9 52007 18 192006 12 202005 11 112004 12 112003 8 112002 22 62001 27 24

Total 175 205

Agriculture in Lapland Fisheries:

– Commercial coustal fishermen 70: salmon, perch, pike– Commercial inland fishermen 90: whitefish, pike-perch (Southern Lapland), whitefish, pike (Lake inari, reservoirs)

Lapland has the world's largest certified non-agricultural organic area – There has not been used in organic fertilizers or banned pesticides in the last three years– Certified by Finnish Food safety Authority (Evira) – Certified area covers 9 million hectare– Berries, mushrooms and other natural products are collected for food and cosmetic industry  

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Toimenpide N Tuki osuusInvestoinnit merialueen kalastusaluksiin 4 4 637 0 %Merialueen pienimuotoinen rannikkokalastus 40 224 762 6 %Merialueen kalasatamainvestoinnit 7 303 605 8 %Hyljesietopalkkiot 142 812 194 22 %Sisävesialukset, mootorikelkat ym. 39 167 585 5 %Sisävesien kalasatama- ja käsittelytilainvestoinnit 24 803 153 22 %Vesiviljelyinvestoinnit 18 151 556 4 %Kalanjalostusinvestoinnit 29 357 574 10 %Uusien markkinoiden ja menekin edistäminen 2 12 115 0 %Kalatalousryhmän toimintakulut ja rahoittamat hankkeet 23 798 829 22 %

328 3 636 012 100 %

Tourism - one of the key industries in Lapland Direct economic

impacts: over 630 M€ and 5 000 jobs.

40 % of all the overnight stays are international.

The average annual growth rate in overnight stays has been 4-5 % with the exception year 2013, when it was negative -2 %.

Strong seasonality is characteristic of tourism in Lapland. Christmas is still the most popular season, summer tourism has also had positive development.

15Note: Only about 1/3 of all the overnight stays are registered.

Source: Regional Council of Lapland

Tourism in Lapland -Main market areas

2014: Russia -22,4 %, UK -1,6 %, Japan -21,1 %, Norway 8,4 % , Sweden 10 % , China 30 % 16Source: Regional Council of Lapland

Santa’s hotel Aurora in Luosto © Regional Council of Lapland

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