Statistics Iceland publishes now for the first time information on income statement and balance sheet for three sectors of Icelandic agriculture, i.e. sheep farms, dairy farms and other cattle farms. The statistics are classified by region and farm size and are based on data from annual tax statements and agriculture tax documents. The information is presented in the standard format of income statements and balance sheets.
In 2016, there were 1,477 farms with sheep farming as their main economic activity. Sheep farms were 14% fewer in 2016 than they were in 2008 when they were 1,712. Their income was 13.1 billion ISK in 2016, the same as in 2008 at constant prices.
The number of dairy farms has been decreasing. There were 707 farms in 2008, with the main economic activity of breeding dairy cows. From then, there has been a steady decline and by the end of 2016 there were 631 dairy farms in the country. The average size of dairy farms increased from 37.1 dairy cows on average in 2008 to 41.8 in 2016 (12.6%).
Revenue of dairy farms was 23.9 billion ISK in 2016 compared with 22.9 billion ISK in 2008 (in 2016 prices), an increase of 4.6%. Of the three sectors, dairy farming is the most indebted. Equity was negative by 1.2 billion ISK by the end of 2016, but has increased significantly in previous years.