Ambitious Income Targets Needed for Commercial Farming, says Teagasc Director

There is a positive future for the agriculture and food sectors in the medium term, despite the increased volatility in commodity markets, according to Teagasc Director, Professor Gerry Boyle.

Speaking at the annual conference of the Agricultural Science Association (ASA) in Galway, Prof Boyle said that there is an opportunity for the bio-sector in Ireland to grow and the agriculture and food industries will be central to exploiting this potential in the years ahead.

”The global trend in the world’s population is upwards, creating increased demand for food, while at the same time there is an increased demand for energy, providing opportunities for producers of alternative bio-fuels. The farming sector must grasp the opportunities provided by the need for both food and fuel security,” he said.

He said the scale and resources required by the farmers of tomorrow to generate a livelihood in farming must be examined. “Almost 90 per cent of farmers are now going on to third-level education, so we need to look at how these young farmers can generate a standard of living comparable with others in society with third-level qualifications. Otherwise, the next generation will not be encouraged into farming in Ireland,” he warned.

“These well-educated young people have legitimate income expectations. We have to set ambitious income targets for what can be generated from a well run, technically strong farming enterprise.

“I would be advocating that we set an income target of three times the average industrial wage, which would mean an ambitious target of €100,000. Of course, there will be adjustments for lifestyle and other factors but we have to aim to demonstrate that this level of income is achievable and sustainable,” he said.

Professor Boyle highlighted the important contribution that agriculture and food make to the Irish economy, which is far greater than a simple analysis of export figures would present. “For every €100 million of exports from the pharmaceutical sector, a contribution of around €20 million is made to GDP. But for the agriculture and food sectors, every €100 million of exports contributes €50 million to GDP,” said the Teagasc Director.