Farms ‘need extra income’
Teagasc figures from the study revealed that, on 78% of holdings, the farmer and/or spouse had some other source of income.
Fine Gael MEP Mairead McGuinness said the survey study highlighted the vulnerability of income, should there be any significant change in the direct payment regime.
“Direct decoupled payments from the EU are vital for the very survival of farmers, yet they are not index linked and are subject to review in 2008 or 2009,” she said.
Ms McGuinness said the EU was currently struggling to negotiate a budget beyond 2007.
“This poses a real threat to the future of direct payments, despite the promises made under the Fischler CAP reforms of better market prices,” she said.
The Ireland East MEP also warned that the current trend in the beef and dairy sectors - Ireland’s key farming enterprises - is for lower prices to be paid to farming.
IFA president John Dillon said the most striking fact emerging from the Teagasc survey, was that the average annual farm income of Ireland’s 72,000 full-time farmers (those who do not have an off-farm income) is only €19,600.
“This income level is only two thirds of average industrial earnings and works out at less than €10/ hour,” he said.
Mr Dillon added that for all farmers, full-time and part- time, the average farm income last year, while up by 5.4%, was still only €15,559.
