Jerry Long, recently elected Chairman of the ICOS Dairy Committee, has said the low level of land mobility in Ireland is one of the main structural challenges facing the dairy sector and is a significant obstacle to dairy expansion in the years ahead.

Long was speaking at the Teagasc Land Use Change Workshop and Farm Succession and Inheritance Conference, in the RDS, Tuesday, 19 May 2015.

Speaking more in detail on land mobility issues, Long said the volume of land for sale in Ireland is marginal with less than 0.5% of the total land area in the country switching hands each year.

"Moreover, the purchase of land is too costly for the vast majority of farm families. The rental market is dominated by short term or conacre arrangements with 1 million hectares of land rented in this manner on an annual basis.”

Solutions put forward by Long to adddress this issue include practical and effective agri-taxation measures, which he said "are crucial to support the expansion of the Irish dairy sector in the years ahead.

"We need to build on the measures contained in Budget 2015, relating to long term leasing, which have a number of practical benefits over the conacre system and need to be promoted and endorsed by all stakeholders," he said.

“Family partnerships, share farming and share milking are additional options, which require careful examination due to their potential to promote land mobility and succession planning."

Concluding, Long added a note of caution to his recommendations, pointing out that the age profile of Irish farmers is increasing with only 6.2% of farmers under 35, while more than 25% are aged over 65 years of age.

“On a worrying note, 50% of farmers over 50 years have yet to identify a farm successor," Long concluded. "It is absolutely essential that farmers are provided with adequate information and advice on succession, inheritance and retirement planning.”