FARM INCOMES increased by 46 per cent this year, according to provisional figures from the Central Statistics Office (CSO).
This increase, it said yesterday, followed a 31.1 per cent decrease in 2009.
The Irish Farmers Association said incomes had dropped 40 per cent over the past two years.
The CSO estimated increases in value of goods output at producer prices in the year increased by 16.3 per cent or € 767.3 million.
It calculated the value of milk produced increased by 38.8 per cent, or €427 million, and cattle output increased by 12.2 per cent, or €177.6 million.
It said pigs output value increased by 7.8 per cent, or €24 million, and the value of cereals increased by 88.8 per cent, or € 95 million. but the cost of fertilisers increased by 8.3 per cent or €34.7 million.
The CSO also estimated the value of subsidies less taxes on production decreased from €1,844 million in 2009 to €1,773 million in 2010.
Irish Farmers Association president John Bryan said the income increase indicated a strong recovery in the sector after two very difficult years, during which farm incomes dropped by more than 40 per cent.
“Based on today’s figures,” Mr Bryan said, “average farm income stands at €17,500. The single farm payment and the farm schemes are crucial for all farm families and continue to make up a very significant proportion of net farm income.
“From a point 12 months ago where farm incomes collapsed, this improvement is very much needed by farm families whose livelihoods were badly affected by a range of factors in 2008 and 2009,” he added.
“The recovery in farm incomes augurs well for the planned expansion in the sector, which will drive exports and jobs and contribute to Ireland’s economic recovery.”
Mr Bryan took issue with the CSO figure which showed an output increase in livestock at €177 million, while Department of Agriculture data showed stock numbers on August 1st were down by 327,706 animals, or an estimated €140 million.
Ciarán Dolan, general secretary of the Irish Creamery Milk Suppliers Association, said the data confirmed what farmers already knew, that 2010 income had recovered from the catastrophic collapse experienced in 2009.
“While the CSO headline figure of an estimated 46 per cent increase in operating surplus in 2010 over 2009 will grab attention, it is important to note that the estimated income in 2010 is virtually the same as 2008.
“Effectively, farm incomes are restored to their 2008 levels,” according to Mr Dolan, “but more telling facts are revealed when the figures were pulled apart.
“We see that the value of milk output in 2010 has not recovered to the 2008 figure, while energy costs have increased by 8.5 per cent and yet the country still awaits any action on reducing the costs of electricity that goes past yet another empty review.”
He concluded that the figures did demonstrate a recovery but also the need for the Government to control costs.