November farm output prices down 10.9% on 2013 – CSO
Latest figures form the CSO shows that agricultural output prices fell 10.9% over the period November 2013 to November 2013.
The figures show large falls over the period in output prices for milk (-19%), cereals (-11%) and cattle (-3.9).
The large fall in milk output prices was particularly evident in the second half of the year with prices falling at a faster rate since August 2014 following worldwide dairy market trends.
On an annual basis, the agricultural output price index in November 2014 was 10.3% lower than in November 2013.
In terms of inputs, the CSO agricultural input price index was down 3.5% in November 2014 compared with November 2013.
With prices down in November on the same month in 2013 for feeding stuffs (-7%), energy (-3.5%) and fertilisers (-2.1%).
The agricultural input price index decreased by 0.6% in November 2014 compared with October 2014. Thus, the resulting terms of trade index increased by 1.0% in November 2014.
IFA to challenge input providers
Meanwhile, the IFA is to meet key input suppliers early in the new year, in order to challenge them to do all in their power to reduce farm input prices in 2015.
IFA Inputs Project Team Chairman James McCarthy has said that input providers must improve efficiencies and take smaller margins to reflect the serious margin pressure on farms.
“With many farm product prices under pressure, input providers have to reflect this in lower prices for inputs and services.”
The IFA Inputs Chairman called for lower input prices to be made available to all farmers, pointing out that IFA surveys consistently show significant savings available to farmers who buy through groups.
James McCarthy stressed that there cannot be upward-only price moves for farm inputs and services.