Original production

The primary production (including primary sector is) in economics , a sector which those economic activities includes dealing with the extraction of raw natural products ( raw materials , raw materials ) from agriculture ( agricultural products ), forestry , hunting , fishing , and by extension the mining deal .

General

After the three-sector theory of economics, there is in addition to the primary production nor the secondary sector , the intermediate goods of primary production further processed ( industry and manufacturing industry , crafts ) and the tertiary sector , which as a service all services provides that in companies or by the State as well as in other public institutions . Sometimes the division is expanded to include the quaternary sector and quintary sector .

species

The primary production uses only the factor of production floor and the ground yields , in agriculture, the cultivation and arable land , forestry to commercial forest while hunting the wild game , fishery, the food fish and mining the minerals . Even gardening and beekeeping belong to primary production. Business subjects who deal with this are named by Erich Gutenberg mining companies that manufacture raw materials, natural products and raw materials. Primary production operations are farms , mines , forest operations , dairies , mills , sawmills , salt works or brickworks .

Aggregation

In the case of primary production, aggregation also includes the customary handling and processing of agricultural products (such as threshing one's own grain , milking the cows or pressing one's own wine ). A first processing stage is only present when processing leads to a different state of the product, e.g. B. led the production of condensed milk or milk products (butter, cheese, etc.) from raw milk ; When there is first processing must be decided on the basis of the circumstances of the individual case. According to Art. 38 (1) TFEU , this first processing stage still belongs to agriculture.

Legal issues

According to § 6 GewO, primary production is not a trade , so agricultural operations such as farms do not practice any trade. This becomes clear in income tax law , where their income is not taxable as income from commercial operations , but rather as income from agriculture and forestry according to Section 13 EStG . In connection with the sale of agricultural products (e.g. in a farm shop ), the activity falls into the retail sector .

economic aspects

Primary production gains from the soil, which also includes bodies of water ( lakes , waterways and the sea in coastal states ) in the context of agricultural production, including agricultural products. If the share of primary production in the gross domestic product is very high in a state, it is referred to as an agricultural state . From the second stage of processing begins industrial production , agricultural products, raw materials or natural products to foods processed . While all production factors can be increased in the processing industry, the soil is always limited in primary production.

The economic key figure of the net quota ( ) is particularly high in primary production because only operating materials and auxiliary materials occur here as intermediate goods , but hardly any raw materials . The net quota is relatively high in all economic sectors that buy little additional material , but produce raw materials through their production . This is especially the case in the basic industries and in primary production. ${\displaystyle {\frac {\text{Nettoproduktionswert}}{\text{Bruttoproduktionswert}}}}$

International

Switzerland

Apply in the primary producers as Switzerland farmers produce and manage natural areas, the usable products from the crop and animal production systems; Foresters who produce wood on forest land; Gardeners who, for example, grow their own seedlings by sowing seeds and tend their own or purchased seedlings and young plants until they are used as ornamental or useful plants or as food. Also included as primary producers, for example, apply hors sol production units of , vintner , for which revenues from the acquired in their own company grapes or unfermented grape musts produced therefrom Tree nurseries , mushroom growers , beekeepers , egg producers , breeders of livestock (horses, donkeys, mules, cattle, sheep, goats and pigs) and poultry (chickens, ducks, geese, turkeys and guinea fowl); Breeders of other animals intended for human consumption (e.g. breeding rabbits, fish or ostriches, and rearing game); (Contract) fattening companies, breeders of stocked fish (e.g. trout) or professional fishermen.

In terms of labor law, the Labor Act (ArG) according to Art. 2 Para. 1 lit. d ArG not applicable to farms involved in primary agricultural production, so that the provisions of the Code of Obligations (OR) of Art. 329 ff. OR apply.

Austria

In Austria , primary production is one of the four possible types of self-employment , alongside commercial employment , freelance work and “new” self-employment . Original production as such is not explicitly mentioned in the GWO . Section 2 GWO names those activities that are excluded from the trade regulations and are subject to special regulations, including:

• Agricultural and forestry production (para. 1 no. 1; para. 2.3), which includes:
  • Creation and extraction of vegetable products with the help of natural forces, viticulture and fruit growing , horticulture and tree nurseries
  • the holding of farm animals for breeding, fattening and production of animal products and
  • the hunting and fishing (para. 3), including
  • Agricultural ancillary trade (para. 1 line 2; para. 4),
  • (Agricultural) ancillary services (para. 1 no. 3; para. 4 lines 4–8, services with their own resources for other local farmers) such as neighborhood assistance, such as mowing assistance, machine rings, cart services, fruit presses for others, cultivation, winter service, biomass -Small power plants and
  • Agricultural and forestry trade and business cooperatives as well as
  • Buschenschank (Paragraph 1 Line 5; Paragraph 9);
• Mining (para. 1 line 6; para. 10).

The classification is primarily based on company law, taxation and social law, and there may also be mixed companies of primary production and trade, in which case a trade license and an operating facility permit are required.

Individual evidence

1. ^ Giovanni Danielli / Norman Backhaus / Patrick Laube, Economic Geography and Globalized Living Space , 2002, p. 294
2. ↑ Erich Gutenberg, Fundamentals of Business Administration , Volume 1, 1966, p. 1
3. ↑ Verlag Dr. Th. Gabler, Gablers Wirtschafts-Lexikon , Volume 6, 1984, Sp. 1812
4. ↑ Springer Fachmedien Wiesbaden (ed.), Compact Lexicon Economic Policy , 2013, p. 226
5. ↑ BT-Drs. 11/2447 of June 9, 1988, draft law on liability for defective products (Product Liability Act - ProdHaftG) , p. 12
6. ↑ Peter J. Tettinger / Rolf Wank / Jörg Ennuschat: GewO . 8th edition. 2011, § 1 Rn. 50 .
7. ↑ Friedrich Mauke (Ed.), Yearbooks for Economics and Statistics , Volume 120, 1923, p. 27
8. ↑ Volker Häfner, Gabler Volkswirtschafts-Lexikon , 1983, p. 395
9. ^ Wilhelm Cornides, Economic Statistics of the German Occupation Zones 1945-1948 in connection with the German production statistics of the pre-war period , 1948, p. 6
10. ^ Federal Tax Administration FTA (ed.), Original Production and Related Areas , January 2010, p. 7
11. ↑ ^{a b} What types of self-employment are there? help.gv.at, accessed February 27, 2015.
12. ↑ Joint processing with saws, mills, dairies, distilleries, wine presses, etc., buying and selling rings, breeding associations, pasture loins, etc. a. m.

Please note the information on legal issues!