Preliminary figures show that over 1,600 dairy farmers who completed Profit Monitors had a much improved income in 2017, in line with National Farm Survey forecasts. Dairy farmers who complete Profit Monitors are among the most efficient and profitable in the country. Spring milk producers generated a net profit, excluding premia of €2,136 per dairy hectare in 2017. The corresponding figure for winter milk producers was €2,154 per hectare (see table).
Both groups of farmers were larger scale, more intensive and productive than the national average. Average herd size in the spring-calving farms was 119 cows while the average in the winter calving farms was 134 cows. Typically, the financial performance of farmers completing a Profit Monitor is equivalent to the top third of dairy farmers nationally.The net profit is the profit remaining to meet own labour costs, principal repayments and return for owned land and capital. It is very difficult to segregate the returns to each of these components with an acceptable level of accuracy. Based on the Teagasc National Farm Survey data for 2016, a value equivalent to 12 c/litre was estimated from the “self-reported” labour input of respondents and an assumed wage of €15 per hour. With more supplement being fed this spring and cuts to milk price, it is likley that profitability in the sector will be reduced for 2018.Profit Monitor analysis can be completed through your Teagasc dairy adviser. Read more
Family farming under pressure in Germany
Preliminary figures show that over 1,600 dairy farmers who completed Profit Monitors had a much improved income in 2017, in line with National Farm Survey forecasts. Dairy farmers who complete Profit Monitors are among the most efficient and profitable in the country. Spring milk producers generated a net profit, excluding premia of €2,136 per dairy hectare in 2017. The corresponding figure for winter milk producers was €2,154 per hectare (see table).
Both groups of farmers were larger scale, more intensive and productive than the national average. Average herd size in the spring-calving farms was 119 cows while the average in the winter calving farms was 134 cows. Typically, the financial performance of farmers completing a Profit Monitor is equivalent to the top third of dairy farmers nationally.The net profit is the profit remaining to meet own labour costs, principal repayments and return for owned land and capital. It is very difficult to segregate the returns to each of these components with an acceptable level of accuracy. Based on the Teagasc National Farm Survey data for 2016, a value equivalent to 12 c/litre was estimated from the “self-reported” labour input of respondents and an assumed wage of €15 per hour. With more supplement being fed this spring and cuts to milk price, it is likley that profitability in the sector will be reduced for 2018.Profit Monitor analysis can be completed through your Teagasc dairy adviser. Read more
Family farming under pressure in Germany
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