wrh_left_button menu_ealat birgen
Reindeer Husbandry in Sweden - Economic Issues PDF  | Print |
Article Index
Reindeer Husbandry in Sweden
Rights to Own Reindeer and 'Sameby'
Reindeer Herding Areas and Management
Number of Reindeer
Economic Issues
Challenges to Reindeer Husbandry - Loss of Pastures
Challenges to Reindeer Husbandry II - Predation, Climate Change
Rights to Own Reindeer and 'Sameby'
Reindeer Herding Areas and Management
Number of Reindeer
Economic Issues
Challenges to Reindeer Husbandry - Loss of Pastures
Challenges to Reindeer Husbandry II - Predation, Climate Change
All Pages

Economy

The economic situation among reindeer herders in Sweden varies greatly, and today's reindeer herders have to adapt to a wide variety of changes in the local, regional and national economy. Reindeer and their pastures should be managed on both a rational and sustainable manner, while at the same time reindeer herders need revenue to survive. Reindeer herding is in terms of taxation seen as a for-profit-business and for a reindeer herder the most commonly filled tax form selected is as a private entrepreneur (enskild firma). The basic rule for this is that all income should be taxed, with the exception of the income that is tax free, and business costs that are tax-deductible. In Sweden there are around 900 reindeer husbandry companies. One company can include one or more reindeer owners and family members and in a Sami village are some or many reindeer husbandry companies.
Today, the income of individual reindeer herders consists of the production of meat and raw materials such as skins, bones and horns. Additional sources of income include financial subsidies and compensation. The income of the individual may consist of additional processing, sale of services, additional industries and paid work.
Research by the Sámi Instituhtta in 2006, show that reindeer herders incomes varies depending on which region they herd reindeer. In general reindeer herders in the southern parts of the Swedish reindeer herding area gain more income from meat production than compensations and subsidies while it in general is the opposite for reindeer herders in the northern parts. The number of reindeer and the production of meat are usually related. It is not unusual that when the total number of reindeers decreases, the total value of meat production also shows a falling trend.

In general, the differences in the income picture between reindeer herders in the north and south is likely because the reindeer numbers in the north are lower per reindeer owner and the owners are many, while the reindeer numbers per owner in the south parts are higher. Most reindeer herding families also have incomes from salaried work.

(www.sametinget.se)
(Diedut, Analyse av den samiske reindriftens økonomiske tilpasning, Sámi Instituhtta, 2006)


State economic support for reindeer husbandry

State economic support for reindeer husbandry in Sweden consists primarily of price support for reindeer meat. Price support is calculated according to weight and paid to each reindeer owner per slaughtered reindeer at a control slaughterhouse. In 2007 the price support was 8.50 SEK (0,8 € ) per kilo for meat from mature animals and 14 SEK (1,32 €) per kilo for calves. In addition, 0,5 SEK (0,047 €) per kilo is paid in the form of marketing support. In 2006/2007, 74 775 reindeer were slaughtered in control slaughterhouses and the figure for 2003/2004 was 48 275 reindeer. The increase in the number of slaughtered reindeer is mainly due to marketing efforts.

Annually, the government decides the amount of funding for the promotion of reindeer husbandry and this sum varies from year to year. For 2009 a total of 55 718 000 SEK (5.2 M €) has been proposed for the development of reindeer husbandry. From this sum, funds are allocated to price subsidies, risk reduction measures, the costs of mediation between landowners and the Sámi villages, and the costs associated with the Chernobyl accident among other elements.

In 1996 there was a nuclear accident at Chernobyl wich widely and adversely affected reindeer herding in Sweden, especially reindeer herding in Västerbotten and Jämtland counties. The same year that the accident occurred, about 27 000 reindeer were destroyed, which represented 78% of the number of slaughtered reindeer the preceding year. In 1993/1994 11 669 reindeer were forcibly discarded. Today, only a few percent are discarded and there is no risk anymore from eating reindeer meat because the cesium levels has decreased sharply. During the years 2006/2007 cage was only 38 reindeer. Carcasses which have a caesium level over 1 500 becquerels are discarded. The state replaces reindeer owners for losses caused by the accident.
Years when the winter pastures are locked because of the frequent freeze thaw events, Sámi villages in Sweden can apply for disaster subsidies from the Sámi Parliament for costs associated with providing reindeer with articial feed. Conditions include the need to feed reindeer for at least 60 days and that the state has conducted surveys in the Sámi village’s area. If a Sámi village that has applied for support meets all the conditions, the Sámi Parliament can grant support of up to 50 percent of the feed costs.

Other state assistance that may be relevant for the reindeer husbandry, and which is not included in the promotion allocation, is ‘rural support’ (landsbygdsstød), EU support and environmental compensation.

(www.sametinget.se)
(Regeringens regleringsbrev för budgetåret 2008 avseende Sametinget)
 
arctic universi ipy_logo_index norden research_council eni