Farm incomes for 2012 to be 30% lower than last year, says Teagasc

Soaring global grain prices and a weather-driven rise in crop disease will result in farm incomes for 2012 being around 30% lower than last year, according to Teagasc economists.

The Teagasc analysts are already predicting an even bleaker end to the year. With Irish cattle feeding indoors due to unrelenting domestic rainfall, foul weather globally is also driving up the cost of grain imports, which account for the vast majority of grain consumed in Ireland.

Reacting to the Teagasc presentation, IFA president John Bryan said: “The outlook midway through 2012 confirms the serious downturn in farm incomes. Higher input costs, coupled with disastrous weather conditions and price falls in some commodities, are all combining to make 2012 a very challenging year for farming. In addition, cuts to farm schemes over the last four years are beginning to impact very severely on thousands of low-income farmers.”