Dairy farmers and farmers in the Munster region are paying the highest grassland rents in the country, an exclusive Irish Farmers Journal Red C poll has found.

The survey, which involved 454 farmers nationwide, highlighted that a higher number of dairy farmers (32%) were paying over €200/ac compared with beef (17%) and sheep farmers (9%). Almost 55% of sheep farmers said they paid less than €150/ac compared with 46% of beef farmers and 30% of dairy farmers.

The majority of farmers (67%) paid between €100/ac to €200/ac for rents, with 12% paying under €100/ac and 7% paying over €250/ac.

Major disparity

The study also showed a major disparity across the country, identifying farmers in Munster as paying the highest for grassland rents, with Leinster close behind and Connacht/Ulster paying significantly less. Almost a third of farmers in Munster paid over €200/ac, with 10% paying over €250/ac. In Leinster, 21% of farmers paid over €200/ac, with 6% paying over €250/ac.

In Connacht/Ulster, farmers are paying significantly less, with 95% paying under €200/ac.

The proportion paying under €150/ac is significantly higher in the west and border counties of Ireland, with 61% paying this rate compared with 32% in Munster and 43% in Leinster.

Highest rents

Those with greater acreage are paying the highest rents, with a quarter of those with a holding of over 150 acres paying over €200/ac, compared with just 8% of farmers with a holding of 50 acres or less.

Interestingly, 3% of respondents with a holding over 150 acres pays over €300/ac.

The demand for land leasing and rents have risen in recent years, driven by the dairy expansion, young farmers and the favourable tax breaks for long-term leasing.