Gorman: 'Income at farm level is being squeezed'
Agriland spoke with the president of the Irish Farmer's Association (IFA), Francie Gorman about income at farm level and its importance in encouraging the young generation to go farming.
Gorman felt that "income at farm level is being squeezed", considering the increase in production and labour costs, which is not enticing for the next generation.
Gorman spoke about these concerns to Agriland at the Agri Aware open day on the farm of Joe and Kevin Doran, where the IFA president said he felt it was hugely important for young people and the general public to see where their milk and food comes from.
He highlighted the open days' importance, as he felt that farmers need to be receiving a fair price for their efforts and that it needs to be an occupation worth doing.
Gorman also acknowledged the hard work that goes into getting that food onto kitchen tables.
Gorman said: "There's no doubt that food has gotten more expensive. But to be clear, it's not just a primary product that they (consumers) buy off farmers that makes up that cost.
"It's the cost of doing business, the cost of regulation, the cost of labour, and how the planning process impacts on that as well."
He also highlighted the findings from a study completed by the IFA chief economist Tadgh Buckley last year, which showed that costs over a six-year period went up 76% while incomes dropped 34% in the same length of time.
This concerned Gorman as he felt it may be holding back the next generation of farmers from pursuing a career in agriculture, as the income in any industry have to be encouraging and positive.
"We've got to be able to demonstrate to the next generation of farmers coming along that if they want to stay at home and farm that you're going to be able to make a living."
He added that farm incomes should be "commensurate what you could earn if you were a lorry driver or a doctor or an accountant, a teacher or nurse guard."
Even though beef prices have reached record highs so far this year and milk price is relatively stable, Gorman noted that "costs are up almost to the same level and we're just playing catch-up over the last couple of years in terms of what we needed to keep us in business."
To encourage the next generation, the IFA president said the opportunities in agriculture have to be viable and that is where policy and incentives come into play, as an industry cannot be reliant and built on incentives alone, but needs to be structured around a sustainable family income.
Gorman expressed that for the farms that are able to provide that second living or "that half a living to allow the next generation to come home and in the current generation to have to retire off, it is hugely important."
"I don't think policymakers get that, but there is a commission set up by Minister McConalogue in the last government that will report shortly.
"We've interacted with that and hopefully they'll come forward with measures about how government are actually going to support the next generation of farmers to come work the farm and produce the food."
