The cost of keeping a suckler cow this year looks set to exceed €1,250, analysis by the Irish Farmers Journal has shown. This is up 34% or €320 on the figure for 2021.
Soaring prices of key input costs such as fertiliser and feed are the main contributors to the increased costs overall, although overheads such as power and contractor charges are also having a negative impact.
The analysis looked at a 60-cow spring-calving continental herd on reasonably dry, productive ground achieving a high level of technical efficiency.
The farm operates an all-in all-out production system selling weanlings in the backend of the year.
Feed costs account for over 75% of all variable costs in beef production systems and therefore increases in fertiliser and feed prices are set to have the greatest effect on the system.
Fertiliser costs associated with grazing the cow and calf unit have increased by over €80/cow.
Silage
However, it is silage costs that are set to see the biggest increase once all associated costs are accounted for.
The analysis shows the cost of housing a cow for 120 days next winter is set to increase by almost 60%, or €190/cow, compared to the same winter period last year.
Although beef prices are currently strong and the outlook remains positive for the coming months, weanling producers will have to wait until autumn to see if increased prices will be passed back to the primary producer.
SHARING OPTIONS