The total value of cattle production this year is expected to soar by 20% to €3.1 billion, according to new estimates from the Central Statistics Office (CSO) which highlight a strong performance from the agricultural sector in 2022.
The CSO today (Thursday, December 8) published its output, input and income in agriculture advance estimates for 2022, which suggest the total value of agricultural output in 2022 will increase to more than €12.6 billion.
The latest estimates report shows that the value of most livestock will grow in 2022, but cattle production is expected to show the largest year-on-year increase with a possible jump of €527 million.
The report details the performance of the key components of the agricultural output for this year including milk and crops.
The CSO highlights that, driven by a price increase of 46%, the value of milk production is forecast to rise by €1.5 billion to €4.9 billion and will generate 39% of the total value of agricultural output for this year.
Meanwhile, crop values are expected to grow by 14% to €2.4 million, although volumes are forecast to “contract” by 4%,
The CSO estimates that cereal values will rise to €649 million because of “average price increases of 53%”.
The latest research by the agency also reflects on key input costs throughout 2022, with fertiliser prices unsurprisingly topping the chart.
Mairead Griffin, statistician in the CSO agricultural accounts and production section, said the price of fertilisers experienced the “largest increase of all inputs”, with prices increasing by an average of 141%.
“However, the full impact of higher prices was allayed by a reduction of 19% in the volume of fertilisers used on Irish farms,” she added.
“As a result, the cost of fertilisers is estimated to have increased by 97% to €1.1 billion.”
According to Griffin, the cost of feeding stuffs is also estimated to have grown by 31% to €2.3 million which will have added an additional €561 million to the agri-sector’s production costs this year.
The statistician also outlined that well-publicised increases in the price of energy and lubricants – which is expected to average 39% for the agricultural sector – will have cost farmers €649 million in 2022.
“On a more positive note, certain types of farm incomes rose significantly, due mainly to substantial price increases,” Griffin added.
Despite the large increases in both farmers and the agri-sector’s overall input costs, the CSO estimates that the agricultural operating surplus for 2022 will show growth of around 30% this year to hit more than €4.8 billion.
It attributes this growth to some “significant increases in output prices” including cereals up by 53% and milk up by 46%.