This is a subscriber-only article
The gap between the prices farmers are paying for feed, fertiliser and other farm inputs and the price they are receiving for farm outputs is widening, says the Irish Farmers' Association (IFA).
Referring to the Central Statistics Office (CSO) agricultural price indices for July 2022, IFA president Tim Cullinan described how output prices, such as the prices farmers are receiving for cattle and sheep, are struggling to keep pace with the surging price of inputs.
“For the first time this year, aggregate prices paid to farmers, particularly among the low-income dry stock sectors, have fallen. This is at a time when inputs have risen nearly 40%. Fertiliser is up 133%, energy has risen 51% and feed costs are 34% higher,” he said.
‘Cannot continue’
Cullinan warned that farm businesses cannot continue to absorb the gap between the cost of producing food and what they are paid.
The Tipperary pig farmer was speaking ahead of the IFA’s pre-budget meeting with Oireachtas members on Wednesday evening.
He said that in Budget 2023, Government will have to bring forward a range of targeted measures to support farmers.
“Given what lies ahead on energy prices, and the huge increases in other inputs, the farming sector will need support to keep its head above water.
“We have held meetings with Ministers Donohoe, McGrath and McConalogue to emphasise the very serious pressures that exist. [The] IFA will reinforce the challenges at our briefing,” he said.
SHARING OPTIONS: