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Despite higher harvest prices and yields in 2017, there was a decline in gross output from the tillage sector. This is due to a 3% reduction in the area of crops planted.
Over 7,300 tillage farmers had an average income just over €37,000 in 2017, meaning an increase of 20% was noted since 2016. There was a 30% increase in the proportion of farms earning in excess of €50,000.
However, there was also a 9% reduction in direct payments, meaning this one-fifth rise in income is down to the higher harvest prices received and the drop in expenditure for inputs such as fertiliser (reduced by 26%) and crop protection (reduced by 13%).
Costs
Overall, total costs on the average tillage farm declined by 15% in 2017. This is despite a 22% increase in machinery hire costs.
The average gross margin per hectare on tillage farms was €1,160 in 2017.
The average size of a tillage farm in 2017 was 61ha in 2017, with roughly half of this land dedicated to cereals. Nationally, the area under cereal production dropped 3% in 2017.
Three-quarters of farms growing crops proved viable in 2017.
This sees tillage farmers in second place and only slightly behind their dairy counterparts in regard to viability, sharing the figure of 9% for the amount of farmers vulnerable in each sector.
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