While prices of inputs like concentrates and fertiliser have been to the forefront of many farmers thoughts, interest rates have been one of the hardest costs to manage on dairy farms over the last two years.

That was the view of Cork dairy farmer Mike Bermingham, who said at Dairy Day last week that “the real killer for us in the fixed costs last year was the interest rate doubled. It went from 3.8% to 7.8%. and it’s still nearly double what it was”.

It’s a similar situation in New Zealand, according to Corrigan Sowman. “We’ve seen inflation, big changes in interest rates that have put a lot of pressure on cash flow for farmers, wages and availability of labour.

“General costs of services have gone through the roof too and we have a focus now to try and do some of those jobs ourselves,” he said.