Some rebound in farm incomes likely, AIB
FINANCIAL MATTERS: A rebound in farm incomes is expected in 2013, despite the challenges experienced throughout the Spring, according to AIB in its latest edition of its farming newsletter – AgriMatters.
“The expected increase in average farm income (after interest and rents), predicated on a return to normal weather conditions, is attributed to the continuation of relatively strong output prices in addition to some moderation in feed, energy and fertiliser prices in the second half of the year,” the AIB experts have said.
AgriMatters also includes a financial review of farm performance in 2012 and the consequences of the adverse weather conditions by Dr Thia Hennessy, using National Farm Survey estimates. On the other hand, a New Zealand dairy farmer outlines the challenges and industry response to the drought conditions experienced in New Zealand in the past 12 months.
The edition also features a detailed article on the CAP Reform agreement, identifying what issues are yet to be resolved nationally over the coming months.
AIB’s Agri Strategy Consultant, Michael Dowling said: “On the assumption of a return to normal weather conditions we are predicting for the year as a whole lower feed usage, higher grain, milk and beef output, strong beef and milk prices and some modest moderation in feed prices. On that basis this year should see an increase in family farm income to below 2011 levels but well ahead of earlier years”.
This edition of Agri Matters is available here and in AIB branches and Business Centres throughout the country.