Agricultural income increased by 5.3 per cent this year despite the twin blows of foot -and-mouth disease and a BSE scare, according to an advance estimate released yesterday by the Central Statistics Office.
The estimate showed that outputs increased by 3.8 per cent to £3,835 million and subsidies rose from £998 million last year to £1,044 million this year, a 4.6 per cent rise. The CSO estimated the operating surplus for the year was £1,921 million, a 5.3 per cent increase on last year's surplus of £1,824 million.
A breakdown of the sectors found the value of sheep output increased by 37 per cent (£60 million); pigs by 20.6 per cent (£44 million); milk by 6.8 per cent (£77 million) and root crops by 10 per cent (£11 million). Comparing this year to last year, it concluded that the output value of cattle decreased by 5 per cent (£55 million) and cereals decreased by 5.9 per cent (£8.6 million). It also found the cost of foodstuffs increased by 4.3 per cent while the cost of fertilisers went up 4.1 per cent.
The Irish Farmers Association president, Mr Tom Parlon, said the increase meant that farm income just about matched inflation in the past year. He acknowledged the major contribution made by the Purchase for Destruction Scheme, including the substantial Exchequer financing, in supporting livestock prices during the first half of the year. He said, the price of prime cattle had fallen sharply with price difficulties for cattle over 30 months.
Mr Pat O'Rourke, the president of the Irish Creamery Milk Suppliers Association, welcomed the CSO figures but said the public should be aware that the level of income was 8 per cent less than in 1996.