Rural Affairs Minister, Elin Jones has welcomed estimated statistics on farm incomes in Wales, which show an average increase of seven per cent for all farm types in the agriculture sector across Wales.
The Minister said:
“The estimated figures for farm incomes for 2009-10 are good news for the industry. The seven per cent increase in income across the sector gives an average farm income in Wales of £33,600 compared to actual income of £31,300 last year and £26,500 the previous year.”
On Less Favoured Area (upland) grazing livestock farms the average farm business income (FBI) is forecast to increase from £24,500 to £29,200. This is an increase of 19 per cent. This puts upland farms slightly ahead of their lowland counterparts, where the increase is expected to be 16 per cent, increasing from £24,400 to £28,200.
The average FBI on dairy farms is forecast to decrease by 11% from £62,600 to £55,400, although this is still 15% higher than the 5 year average. This decline is a result of the fall in farm gate milk prices during the first part of 2009. Prices have improved noticeably since August 2009 and it is hoped this will be reflected in the final farm income survey published later in the year. Dairy farmers will also be benefiting from their share of the European Union’s 3.5 million euro fund awarded to the Welsh dairy industry, in recognition of the fall in milk prices, by the end of June this year.
Exchange rates have contributed to the strong beef and lamb prices and the increase in the Single Payment while input prices have been reduced.
The Minister added:
“The survey results are good news for the farming industry on the whole. Farmers are responding to the market place and producing food to the highest quality, welfare and environmental standards that the consumer demands. The challenge now is to build on this success to ensure that our industry is resilient in the face of future changes.”
