An upswing in finished cattle prices helped boost the average income on farms which concentrated on cattle finishing up to €18,811 in 2022, according to the latest Teagasc National Farm Survey.
The survey included approximately 30,327 “cattle other farms” – which predominately concentrated on cattle finishing – and highlighted that these farms had reported a 9% increase on average income last year.
According to Teagasc there was a slight increase of 3% in the level of direct payments on cattle other farms in 2022 which was, on average, in the region of €16,183.
Sector-specific support payments delivered an average of €2,300 for those farmers on the Beef Environmental Efficiency Programme Sucklers (BEEP-S) and €2,500 for farmers on the Beef Data and Genomics Programme (BDGP).
Many farmers also received nearly €1,000 through the Fodder Support Scheme.
According to Teasgasc the number of cattle finishers that earned between €5,000 and €10,000 increased to 16% while the number of farmers who were in the €10,000 to €20,000 bracket, also rose to 29%.
Meanwhile, the proportion of cattle finishers who earned between €20,000 to €50,000 declined to 21% in 2022.
Production costs
Although average incomes may have risen in 2022, total costs for cattle finishers also soared last year by 31%.
According to Teagasc, on average, direct production costs increased by 29% which included the amount spent on concentrates which increased by 36% to €10,740 on average.
Cattle finishers also spent more on fertiliser which rose last year by 74% to €6,398, although the survey also highlighted that in terms of usage, there was an average reduction in nitrogen application of 35%.
According to the survey these farmers also spent more on bulky feed during 2022 which increased to €635 on average, and marginally more money was also spent on livestock and veterinary costs which increased by 3% year-on year to €2,401.
Other direct costs rose by 29% to €1,820.
On average, overhead costs for cattle finishers also jumped by 33% in 2022 as increased depreciation costs were evident across machinery and buildings – both by 65% to €5,412 and
€4,142 respectively.
According to the latest survey, rent of conacre also increased by 24% to €1,985 between 2021 and 2022.