As we move into a new year, in general, local farming is probably in a better position than 12 months ago. A more favourable exchange rate brought a welcome boost to direct payments this autumn, and for livestock producers in particular, prices are starting the year at a more sustainable level.

Historically, the income to NI farming closely tracks euro-sterling exchange rates, with a weak British pound generally benefiting farmer incomes. So if predictions are correct, and sterling takes another hit next March when Prime Minister May triggers Article 50 to leave the EU, this could help maintain prices to farmers.

The flip side is that weak sterling will be reflected in higher input prices. Also, the euro is by no means a fundamentally strong currency, and it would not be a surprise if sterling rebounded as the year progresses, particularly if the British economy remains relatively strong, and the current direction of travel towards a soft Brexit is maintained.

Within local government at Stormont, there will also be a close eye kept on financial matters and some difficult decisions lie ahead. Earlier this month came a new plan to eradicate bovine TB in NI. It is a long-term policy, but requiring short-term Government investment to make it work.

Crucial for farmer buy-in to that plan is culling of badgers in TB hotspot areas, with vaccination proposed in an outer ring. But culling of badgers does not come cheap. In 2015, it was estimated that the total bill (to include policing) in two areas of England came to £6,775 per badger culled, while in Wales, a government programme to vaccinate badgers came at a cost of £660 per animal.

It may well be much cheaper to undertake a policy in NI, and in the long term money will be saved by reduced TB, but the evidence suggests that the financial commitment required will still be significant.

There are also other calls on Stormont finance at present, to include a new livestock genetics hub, delivery of a new land management strategy, further rollout of the Farm Business Improvement Scheme, and not to even mention the renewable heat incentive. Prioritising who gets what and when will be major decisions for policy makers and politicians in 2017.