Definition: Own final consumption

Category: National accounts

This includes:
(i) products consumed by the farmers' households which produced them;
(ii) products stemming from the agricultural unit (holding) and used for payment in kind in the form of remuneration paid to holding workers or exchanged for other goods.
Agricultural products processed by the agricultural unit in a separable way (i.e. giving rise to the formation of a local non-agricultural KAU) and consumed by farmers' households are recorded in the output of the "Manufacture of food products, beverages and tobacco" industries (Subsection DA of NACE Rev.1), as own final consumption. By contrast, agricultural household consumption of agricultural products processed in an inseparable way (i.e. the output of inseparable non-agricultural processing activities), is recorded as own final consumption of these activities (cf. 2.29.3.) and included in the output of the agricultural industry.
The imputed rental value of the owner-occupied housing unit is not recorded here but in the branch "Letting of own property" (Class 70.20 of NACE Rev.1). Letting of accommodation is a non-agricultural activity which is always considered to be separable from agricultural activity. http://ec.europa.eu/eurostat/ramon/statmanuals/files/KS-27-00-782-__-I-EN.pdf