Nitrogen use and the integration of environmental concerns into production

This study identifies the components of markets, technology and policies that influence fertilizer nitrogen (N) use in agriculture in Finland and China. The specific purpose of this study was to examine effects of policy measures on N usage in Finland and compare these with N usage policies in China. Greater food security in China is a major driver for the high rates of N use, which is brought about by manipulating price-ratios of inputs and outputs through direct and indirect subsidies on fertilizers. The different policy goals and measures of N usage between the two countries explained the respective variation of N application rates nationally, regionally and over time. The study suggests that attentions are attached to cost-effectiveness of agri-environmental payment and efficiency of manure use in Finland, and that the decline in N rate could be a key step in China through market mechanism determining price ratio of input to output