Increasing fertiliser costs, data centres and touted herd reduction are just some of a mix of factors now impacting the farm building construction sector, according to merchants and fabricators.
Material cost inflation means some farmers are putting shed building on the long finger, most notably beef and sheep farmers.
Others who are in the middle of construction or have recently completed new sheds are being forced to spread payment over several months.
Speaking to the Irish Farmers Journal, one shed fabricator said he “hasn’t seen the likes of it before”, adding that where farm building activity is going to go in 2022 is a “crystal ball job”.
Labour
Some fabricators say construction labourers are increasingly hard come by as many are choosing more reliable industrial projects such as those for data centres, which are outcompeting on pay.
Sales manager with Kildare-based C&G Fabricators, George Doyle, told the Irish Farmers Journal he is “struggling to get labourers to get the work done”.
He said the expansion of data centres and other industrial projects in the midlands has “swallowed a lot of fabricators”.
“Building farm buildings is the bottom rung of the ladder. You can’t compete with that.”
Laurence Walsh of Cahir Steel and Agri in Co Tipperary described the labour cost-cutting many farmers are now doing to save money.
“We’re seeing a lot of DIY at the moment where farmers are looking to do jobs themselves. There’s a big DIY increase for the likes of feed barriers, where one time it would have been a job many farmers would outsource.”
Beef, sheep and dairy split
Shed builders are reporting a divide between beef and sheep farmers and those in dairy. Rising input costs mean many in the beef and sheep sectors are postponing farm building projects.
Doyle said: “We would see that the dairy men are still getting it done but with the beef and sheep farmers, it’s a ‘no’.”
He said fertiliser prices at the current rates will stop any farmer building as they simply won’t be able to afford payment.
As long as I’m in this game, I never priced as many sheds as I did in 2021
“A farmer who got planning permission in January or February 2021, which he had a budget for, is now looking at a situation where that budget is blown. It’s doubled.”
Jason Walsh of Loughryan Engineering in Co Tipperary said: “As long as I’m in this game, I never priced as many sheds as I did in 2021.
“We priced 100% more in the first six months of the year but are now doing 50% less work.”
There's been an increase in farmers looking to make their own feed rails in a bid to save costs.
When asked about the cost of shed building materials, many in the sector said sheeting and steel prices have “nearly doubled what they were” before COVID-19.
Jason Walsh said: “Sheeting is still increasing and we’re being told it’ll be up another 17% in the first quarter of next year.”
He described how he has been quoted a further 14% increase for agri build sheeting for January, which will bring it up to €14.50/m.
However, he said the cost of agricultural use timber is “beginning to pan out” and that concrete and ready-mix are materials that haven’t been greatly impacted either.
Laurence Walsh said some material costs have “definitely levelled out in the last six weeks” but again flagged that he too has been quoted a 10% rise in sheeting costs for the new year.
“We all thought this would be a flash in the pan but it’s actually become worse
He said the cost of materials is impacting demand. He described how some of his business is in providing flat-pack, ready-to-erect sheds and that for these, there’s been a “drop in demand where they’d normally be last year”.
On material cost inflation, George Doyle said: “We all thought this would be a flash in the pan but it’s actually become worse. If it stays where it is today, we’d be happy.
“Under normal circumstances, you’d have cladding within 48 hours.
“Now it’s taking four to six weeks. It’s a waiting game.”
Herd reduction talk makes farmers uneasy
Some fabricators described how farmers are holding off shed building as they are uncertain about where they are going on stock numbers, due to Government plans and media commentary.
Jason Walsh said: “It’s not only the price of building the sheds that a lot of lads are worried about. A lot of lads are uncertain about where they’re going on stock numbers.”
He described how some farmers are getting a roof over cattle and cubicles and leaving sheeting off two sides of the sheds in an attempt to save costs
On dairy farmers who have already increased herd numbers and have no choice but to continue investing in housing and milking facilities, Walsh said many are having to make compromises.
He described how some farmers are getting a roof over cattle and cubicles and leaving sheeting off two sides of the sheds in an attempt to save costs.
He said others are postponing cementing outdoor passageways in the hope of being able to afford proper finishes at a later time.
George Doyle described how his business has seen a complete drop-off in the availability and use of secondhand sheds.
He put this down to the price of scrap going up significantly, to as much as £300/t in the UK.
He said many farmers who may have planned to invest in new farm buildings are now being forced to stay with what they have due to cost inflation and that this is decreasing the supply of secondhand material.
Read more
Environmental focus will bring many changes
Increasing fertiliser costs, data centres and touted herd reduction are just some of a mix of factors now impacting the farm building construction sector, according to merchants and fabricators.
Material cost inflation means some farmers are putting shed building on the long finger, most notably beef and sheep farmers.
Others who are in the middle of construction or have recently completed new sheds are being forced to spread payment over several months.
Speaking to the Irish Farmers Journal, one shed fabricator said he “hasn’t seen the likes of it before”, adding that where farm building activity is going to go in 2022 is a “crystal ball job”.
Labour
Some fabricators say construction labourers are increasingly hard come by as many are choosing more reliable industrial projects such as those for data centres, which are outcompeting on pay.
Sales manager with Kildare-based C&G Fabricators, George Doyle, told the Irish Farmers Journal he is “struggling to get labourers to get the work done”.
He said the expansion of data centres and other industrial projects in the midlands has “swallowed a lot of fabricators”.
“Building farm buildings is the bottom rung of the ladder. You can’t compete with that.”
Laurence Walsh of Cahir Steel and Agri in Co Tipperary described the labour cost-cutting many farmers are now doing to save money.
“We’re seeing a lot of DIY at the moment where farmers are looking to do jobs themselves. There’s a big DIY increase for the likes of feed barriers, where one time it would have been a job many farmers would outsource.”
Beef, sheep and dairy split
Shed builders are reporting a divide between beef and sheep farmers and those in dairy. Rising input costs mean many in the beef and sheep sectors are postponing farm building projects.
Doyle said: “We would see that the dairy men are still getting it done but with the beef and sheep farmers, it’s a ‘no’.”
He said fertiliser prices at the current rates will stop any farmer building as they simply won’t be able to afford payment.
As long as I’m in this game, I never priced as many sheds as I did in 2021
“A farmer who got planning permission in January or February 2021, which he had a budget for, is now looking at a situation where that budget is blown. It’s doubled.”
Jason Walsh of Loughryan Engineering in Co Tipperary said: “As long as I’m in this game, I never priced as many sheds as I did in 2021.
“We priced 100% more in the first six months of the year but are now doing 50% less work.”
There's been an increase in farmers looking to make their own feed rails in a bid to save costs.
When asked about the cost of shed building materials, many in the sector said sheeting and steel prices have “nearly doubled what they were” before COVID-19.
Jason Walsh said: “Sheeting is still increasing and we’re being told it’ll be up another 17% in the first quarter of next year.”
He described how he has been quoted a further 14% increase for agri build sheeting for January, which will bring it up to €14.50/m.
However, he said the cost of agricultural use timber is “beginning to pan out” and that concrete and ready-mix are materials that haven’t been greatly impacted either.
Laurence Walsh said some material costs have “definitely levelled out in the last six weeks” but again flagged that he too has been quoted a 10% rise in sheeting costs for the new year.
“We all thought this would be a flash in the pan but it’s actually become worse
He said the cost of materials is impacting demand. He described how some of his business is in providing flat-pack, ready-to-erect sheds and that for these, there’s been a “drop in demand where they’d normally be last year”.
On material cost inflation, George Doyle said: “We all thought this would be a flash in the pan but it’s actually become worse. If it stays where it is today, we’d be happy.
“Under normal circumstances, you’d have cladding within 48 hours.
“Now it’s taking four to six weeks. It’s a waiting game.”
Herd reduction talk makes farmers uneasy
Some fabricators described how farmers are holding off shed building as they are uncertain about where they are going on stock numbers, due to Government plans and media commentary.
Jason Walsh said: “It’s not only the price of building the sheds that a lot of lads are worried about. A lot of lads are uncertain about where they’re going on stock numbers.”
He described how some farmers are getting a roof over cattle and cubicles and leaving sheeting off two sides of the sheds in an attempt to save costs
On dairy farmers who have already increased herd numbers and have no choice but to continue investing in housing and milking facilities, Walsh said many are having to make compromises.
He described how some farmers are getting a roof over cattle and cubicles and leaving sheeting off two sides of the sheds in an attempt to save costs.
He said others are postponing cementing outdoor passageways in the hope of being able to afford proper finishes at a later time.
George Doyle described how his business has seen a complete drop-off in the availability and use of secondhand sheds.
He put this down to the price of scrap going up significantly, to as much as £300/t in the UK.
He said many farmers who may have planned to invest in new farm buildings are now being forced to stay with what they have due to cost inflation and that this is decreasing the supply of secondhand material.
Read more
Environmental focus will bring many changes
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