The latest EU dairy farms report provides information on production costs, margins and incomes of EU dairy farms based on the latest available data from the Farm Accountancy Data Network (FADN).
According to the report, in 2009 Ireland was the EU member state most affected by the crisis, however, by 2013, it had also experienced the most spectacular recovery in comparison to all other countries.
Expressed in index 2004=100, Ireland's average gross margin with coupled payments was 41 in 2009 and 102 in 2013.
As in 2009, the milk price was the main driver of this increase in gross margin, as Ireland had the lowest average operating costs and these increased only very moderately over this period.
2013 was an exceptionally good year for the EU's dairy sector, according to the report, with high dairy prices and margins. Prices decreased in 2014 but operating costs decreased at a proportionally higher level, creating a slight increase in gross margins. However, the report says that prospects for the upcoming years are expected to break this trend.