Funding for farm schemes must be kept at 2013 levels

Ahead of next October’s Budget, the Government has decisions to make regarding agriculture which will determine how well the sector is positioned to contribute to economic recovery.

Following two years of growth, farm incomes fell significantly in 2012. The main factor affecting farm incomes and profitability was the dreadful weather, which resulted in a reduction in output in some commodities and an increase in input use. The difficulties continued into this year, with fodder shortages experienced across the country, resulting in increased feed costs and pressures on farm viability.

Notwithstanding these pressures, agriculture and the agri-food sector continue to play an important role in the country’s economic recovery, with an increase recorded in both employment numbers in agriculture and continued growth in agri-food exports of 8.6% in the first half of 2013.