There were “significant reductions” in key farm input prices particularly in relation to fertiliser, feed and electricity costs over the 12 months to June of this year, according to new data from the Central Statistics Office (CSO).
The latest Agricultural Price Indices report from the CSO shows that between June 2023 and June 2024 the Agricultural Input Price Index fell by 7.3% while the Agricultural Output Price Index rose by 5.0% over the same timeframe.
The indices monitor trends in prices paid to farmers for their produce and also the prices paid by farmers for goods and services
The most significant factor when it came to costs for farmers over the 12 months to June was the sharp fall in electricity prices which dropped by 20.7% while feed costs also fell by 14.4% and fertiliser costs were down 12%.
But there was also an increase over the same period in the cost of motor fuel which rose 10.3%.
CSO
Although some key input prices fell over the 12 months to June the price farmers received for some of their produce also declined.
Dr Nele van der Wielen, statistician in the CSO agriculture division, said: “Looking at the monthly output sub-indices the most notable decreases over the 12 months to June 2024 were in cereals (-31.4%), industrial and forage crops (-26.4%), eggs (-3.7%), and poultry (-1.4%)”.
But according to the CSO there were also “significant increases” in the prices farmers were paid for potatoes which increased by 64.9%, sheep prices which rose by 11.9% and also milk which saw an 11.6% increase.
Separately specifically on a monthly basis, the Agricultural Output Price Index for June rose by 1.1% when compared with May 2024.
However the Agricultural Input Price Index for June 2024 decreased by 0.7% when compared with May.
The monthly terms of trade – which is the output price index expressed as a percentage of the input price index – also rose by by 1.8% in June 2024 when compared with the previous month.
The annual terms of trade rose by 13.2% when compared with June 2023.