Rising input costs such as feed, fertiliser, and energy are the main business concern for farmers, according to the annual Ifac Farm Report, the specialist professional services firm.

The report canvassed the views of 1,160 Irish farmers, who for the most part enjoyed bumper incomes through 2022, especially in the dairy sector.

Three quarters of Irish farmers say their biggest worry for 2023 is input prices, although a third have not reviewed their energy provider in the past 12 months.

Half the respondents do not actively budget while one in three has not reviewed their borrowings for their farm business in the past 12-18 months.

One in two farmers surveyed said the biggest barrier to adopting renewable projects is the level of financial investment required, coupled with the low returns.

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Nitrate efficiency, to protect water quality and the environment, is another focus for Irish farmers.

Ifac reports that 35% of the survey sample have not checked if the nitrate banding rates will affect their farms. According to Ifac, the recent derogation changes and the introduction of the Nitrates Action Plan are likely to have far-reaching income effects for a large cohort of Irish dairy farmers.

Ifac chief executive John Donoghue commented: “While the recent nitrates derogation changes are not without challenges, there are also opportunities. In areas like organics and, hopefully, renewables.

“Owing to fears about farm viability, succession planning is still being put on the back burner. “However, in our experience with the right financial advice and planning a viable option can be identified to help future-proof farm businesses.”

Feckin milk

Included in the Farm report is the case study of sixth generation husband and wife team, Brian and Cency McLeer, whose Feckin Clogher Milk sells milk direct to consumers.

The name comes from the fact that Brian is a Clogherhead man, while Cency hails from Termonfeckin.

Their vending unit is located in a striking shop unit on the grounds of the popular Forge Field market. Flavours offered include creme egg.

The farm also supplies Lakeland Dairies. “We were keen not to have all our eggs in one basket, and a vending business seemed the perfect way to add a second string to our bow,” said Brian

“We sell a litre for €1.50 and a half-litre for €1. This contrasts with around 32c a litre from Lakelands (pre-2022), but make no mistake that the Lakelands model will always be the main driver of our operation.”

As consumers gets more familiar with the concept, however, he believes that there’s scope for some reasonable growth in vending sales.

Brian also cautions that the operation came with a lot of red tape from the Department of Agriculture.

The key trigger for the public seems to be the traditional experience of milk from a glass bottle.

“The cream comes to the top – particularly in the grass season – and it really is a taste of your childhood. It’s also very much in keeping with the sustainable trend in food these days.

“We have an almost zero carbon footprint in terms of transport, and our customers are drinking a product that was milked less than four miles away.”

Image: Brian and Cency McLeer, owners of Feckin Clogher Milk