Total income from farming (TIFF) is expected to recover slightly in 2014 due to decreased costs of fuel and fertiliser, according to a new report.
The study, published this week, predicted that TIFF would drop by around eight per cent in 2013, the lowest profit level since 2007. But it said there is better news for the year to come.
The report is entitled ‘Outlook 2014’ and was carried out by farming and food consultants Andersons.
It said that the issue of CAP reform will “dominate” the coming year as farmers and growers are likely to have to cope with lower support levels.
Among the several CAP reforms, the report said that food producers should know the new ‘greening’ rules by the time they plant autumn crops.
Greening regulations will come under three measures: crop rotation, Ecological Focus Areas (EFAs) and permanent pasture.
It also said that top fruit prices for 2014 may continue to benefit from the weaknesses of sterling, while the same trend will not affect soft fruit, which is less reliant on imports during the UK marketing season.
The study said that mechanized harvesting represents an “immense” financial prize for fruit growers.
John Pelham, one of the contributors to the report, said: “Ironically it may be that the greatest development in 21st century horticulture may be achieved by engineers, rather than plant breeders or scientists.”
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