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Accuracy and reliability

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Food Industries, Business Statistics
Simone Thun
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Economic Accounts for Agriculture

The uncertainty in the Economic accounts for agriculture is linked to the uncertainty in the primary statistics used for its compilation. For example, issues such as timing can introduce uncertainty, while other information, such as data from dairies and slaughterhouses, is exact. For preliminary calculations, some estimates are based partly on expert judgment and assumptions until the final data are processed in the primary statistics; therefore, the statistics are considered final only after two years. The sold quantities of mineral fertilizers from the Danish Agency for Green Conversion and the Environment are associated with a certain degree of uncertainty. The data come from the annual collection of sales figures, in which companies with registered products are asked to report the quantities sold of those products. Companies have the option to indicate tax-exempt quantities, but this is voluntary, and not all companies use this option. The data collection does not include self-imports, and some products may be double-counted if a company has not used the option to report a sold quantity as tax-exempt. The data quality is therefore directly dependent on the information provided by the companies to the Agency.

Overall accuracy

The Economic accounts for agriculture are subject to uncertainty. They are based on a large number of sources from primary statistics, each with varying levels of uncertainty. For example, timing issues can introduce uncertainty, while other information, such as data from dairies and slaughterhouses, is assumed to be very accurate. Preliminary calculations partly rely on expert judgment and assumptions until the final data are processed in the primary statistics; therefore, the statistics are considered final only after three years. Not all primary statistics used for the Economic accounts for agriculture cover all Danish farms and horticultural holdings, so weighting factors are applied to ensure full coverage of the agricultural sector, including small holdings. For the regional breakdown of the Economic accounts for agriculture, there is additional uncertainty.

Sampling error

Not relevant for this statistic.

Non-sampling error

The Economic accounts for agriculture are subject to uncertainty, as the statistics are based on a large number of primary sources with varying degrees of reliability. Some factors, such as timing of transactions and inventory changes, can introduce uncertainty, while other data — for example, information from dairies and slaughterhouses — are exact.

For the preliminary estimates, part of the data is based on assumptions and estimates pending the final primary statistics, which are not complete until two years later. Not all primary statistics used in the Economic accounts for agriculture cover the entire country, and therefore weighting factors are applied to ensure full national coverage.

For the regional breakdown of the Economic accounts for agriculture, there is additional uncertainty.

The sold quantities of mineral fertilizers from the Danish Agency for Green Conversion and the Environment are associated with a certain degree of uncertainty. The data come from the annual collection of sales figures, in which companies with registered products are asked to report the quantities sold of those products. Companies have the option to indicate tax-exempt quantities, but this is voluntary, and not all companies use this option. The data collection does not include self-imports, and some products may be double-counted if a company has not used the option to report a sold quantity as tax-exempt. The data quality is therefore directly dependent on the information provided by the companies to the Agency.

Quality management

Statistics Denmark follows the recommendations on organisation and management of quality given in the Code of Practice for European Statistics (CoP) and the implementation guidelines given in the Quality Assurance Framework of the European Statistical System (QAF). A Working Group on Quality and a central quality assurance function have been established to continuously carry through control of products and processes.

Quality assurance

Statistics Denmark follows the principles in the Code of Practice for European Statistics (CoP) and uses the Quality Assurance Framework of the European Statistical System (QAF) for the implementation of the principles. This involves continuous decentralized and central control of products and processes based on documentation following international standards. The central quality assurance function reports to the Working Group on Quality. Reports include suggestions for improvement that are assessed, decided and subsequently implemented.

Quality assessment

The Economic accounts for agriculture are based on information from a wide range of sources, which can affect the level of uncertainty. Uncertainty is considered greatest in areas of least significance for the overall results, for example where quantities and areas are small, and lowest for animal products. Preliminary figures are published, with differences to the final figures of around 3%. The uncertainty is considered to be higher for the regional data.

Data revision - policy

Statistics Denmark revises published figures in accordance with the Revision Policy for Statistics Denmark. The common procedures and principles of the Revision Policy are for some statistics supplemented by a specific revision practice.

Data revision practice

The Economic accounts for agriculture are published annually and are considered preliminary for the first two years, becoming final after three years. Between the initial and final publications, fluctuations of up to ±3% may occur for main items such as Agricultural Production and Total Intermediate Consumption, as well as for key figures like Gross Value Added.