I’m generally a pretty optimistic type when it comes to farming and where its future lies but the last week has raised a lot of questions in my own head about the future of vegetable production in Ireland.

Looking at what is going on in markets for grains, milk and domestic veg supply, we are in a more volatile period than ever. Grain markets have fallen off a cliff, necessary to correct supply/demand granted, but still a very aggressive downward move. Dairy markets are softening a bit with decreased demand. And the veg industry, that’s a whole other ball game.

Soft target

We grow carrots and parsnips, both widely used vegetables that end up in most shopping baskets. Vegetables aren’t the only standard items, bread, milk, meat and hygiene products are also standard fare but few get abused the way vegetables do where pricing has been on a consistent downward slide for years. Why are veggies being singled out? Simply because it’s the softest target.

Falling prices in some cases are inevitable as technological advances and innovation has carved out savings that can be passed on. Sadly, growing veg is a very basic process and contrary to consumer prices falling, production costs have actually been consistently rising. The capital requirement to grow one acre of carrots or parsnips is ferocious.

High stakes poker

Add to this a higher spec requirement which has reduced saleable yield and the whole picture is pretty grim. The most worrying part is that there are growers out there that are willing to supply for very low margins, dramatically increasing their risk. From what I have seen in my short time in the industry, it looks inevitable that some big growers are going to go bust playing this game over the coming year of so. Its high stakes poker at the moment.

Gym

On a more lighthearted note, I had a machinery salesman in the yard during the week who, half-way through trying to convince me how much we needed a machine, informed me that I have gotten fat since I saw him last. Not sure what sales for dummies book he read this tactic in but it got a good laugh all round either way. Off to the gym before the next machinery dealer arrives.