Farm buildings investment jumps 58pc to €450m in 2013
Published 09/07/2014 | 02:30
Investment in farm buildings jumped last year by 58pc to over €450m as confidence in the sector continues to rise.
Total capital investment at farm level is now at one of the highest levels in the last decade, when the boom years of the Farm Waste Management Scheme (FWMS) are excluded. During 2007 and 2008, the FWMS was injecting close to €1bn in grant aid into the sector.
The rate of investment in buildings subsequently collapsed by nearly 90pc to €150m in 2010, but figures from the Department of Agriculture's annual review show that this had almost trebled to over €450m in 2013.
Much of the money is being invested in dairying as the sector gears up for life after quotas next April.
The overall increase in capital investment on farms, including stock, equipment and land improvement showed a slower rate of growth, coming in at just under 10pc higher for 2013 compared to 2012.
Overall investment at farm level, excluding values for breeding stock, has grown by 79pc since 2010.
Farmers also appear to be scaling back their overall indebtedness, with borrowings down by close to 3pc on 2012.