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Abstract

In light of finite fossil resources and negative environmental impacts of their use, policy makers have initiated strategies for a transition from a fossil-based economy to an economy based on biological resources, referred to as ´bioeconomy´. Agriculture and food, forest as well as pulp and paper producing sectors constitute the most important sectors of the bioeconomy in terms of turnover and employment (EUROPEAN COMMISSION 2012). These sectors are strongly interconnected. The linkage is obvious between agriculture and food industries and between forestry, forest products and pulp and paper. Agriculture and forestry production compete for natural resources, in particular land and water use. The paper will lay out the methodological approach in a detailed manner along with some illustrative results. Expected results will describe the impact of the varying energy prices on land use, farm incomes, feed, food fuel and fibre consumption and production, changes in trade patterns and factor markets.

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