Economic Report on Scottish Agriculture 2011 Edition

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Cattle and Sheep ( LFA)

FBI increased by £16,494 (59 per cent) from £27,896 in 2008/09 to £44,390 in 2008/09. Total outputs increased by £7,735 (9 per cent) and grants and subsidies increased by £8,019 (14 per cent) compared to an increase in input cost of £1,318 (1 per cent).

Average crop output fell by £2,218 (29 per cent) from £7,614 to £5397, primarily due to a £1,815 fall in cereal output. The main driver behind the increase in livestock output was the large increase of £11,888 (38 per cent) in sheep output. This reflects the strong prices for sheep and also the fact that there was an 8 per cent increase in the number of ewes held on farms in the survey. Livestock output would have been greater but for a fall of £4,726 fall in milk output. This was caused by one farm with a large milk output switching from being classified as Cattle and Sheep ( LFA) in 2008/09 to being classified as a Dairy farm in 2009/10.

Total grants and subsidy payments increased by £8,019 (14 per cent) from £58,189 in 2008/09 to £66,207 in 2009/10. This increase was caused by a rise in Single Farm Payment ( SFP) of £5,715, reflecting a more favourable exchange rate in 2009, and a rise in LFASS of £1,490, partly due to an increase in the average size of farms in the sample.

Total input costs remained relatively stable (up 1 per cent) at £123,671. The largest increase was in machinery depreciation which increased £1,454 (10 per cent) to £15,340 in 2009/10. There was also an average increase in fertiliser costs of £582 (6 per cent). Miscellaneous costs, which include ownership expenses and interest, decreased £1,577 (11 per cent).

Income from diversified activities increased by £2,059 (104 per cent) from £1,988 in 2008/09 to £4,047 in 2009/10. This increase was caused by a large increase in the average income from diversified activities as the number of Cattle and Sheep ( LFA) farms engaged in these activities was the same in both years. Further details are provided later in a separate section on diversification.

Chart B4(d): Selected outputs and inputs, Cattle and Sheep ( LFA)

Chart B4(d): Selected outputs and inputs, Cattle and Sheep (LFA)

Table B4(d): Average cropping and stocking, output, inputs, and Farm Business Income by type of farm

Type of farm:
Cattle and Sheep ( LFA)

Small

Medium

Large

All Sizes

Number of farms in sample

13

12

11

12

43

37

67

61

2008-09

2009-10

2008-09

2009-10

2008-09

2009-10

2008-09

2009-10

Average size of business ( SLR)

1.4

1.5

2.3

2.4

5.9

5.9

3.8

3.8

Average size of farm (hectares)

173

210

357

340

908

995

575

618

Area of Cereals (hectares)

4

4

4

6

16

13

10

9

Number of ewes

211

239

418

388

860

956

572

616

Number of suckler cows

27

25

39

48

97

93

65

63

Number of other cattle

41

32

45

58

170

144

107

91

Average output £ per farm

Crops: Cereals

1,747

1,969

3,058

2,147

8,547

5,205

5,403

3,588

Potatoes

1,130

702

0

0

331

398

554

434

Other crops

842

156

1,802

711

2,162

2,447

1,658

1,375

Total crop output

3,719

2,827

4,861

2,857

11,040

8,050

7,614

5,397

Livestock: Cattle

18,027

15,637

17,750

29,508

63,501

64,681

41,116

42,068

Sheep

12,529

17,600

14,087

21,340

49,252

68,713

31,442

43,330

Pigs

0

0

0

0

-3

0

-2

0

Poultry

560

512

45

49

-6

0

194

182

Milk

0

0

0

0

9,290

0

4,726

0

Other livestock

63

10

0

-8

71

384

58

191

Total livestock output

31,178

33,759

31,882

50,889

122,105

133,778

77,533

85,770

Miscellaneous

5,272

5,452

3,201

9,617

5,200

6,433

4,924

6,639

Total Output

40,169

42,038

39,944

63,363

138,344

148,261

90,071

97,806

Subsidy and Payments

22,883

26,981

38,940

45,457

87,551

100,497

58,189

66,207

(of which LFASS)

(4,524)

(5,559)

(7,879)

(9,784)

(15,993)

(17,935)

(10,862)

(12,352)

(of which SFP)

(14,799)

(16,437)

(25,975)

(30,389)

(62,914)

(73,190)

(40,952)

(46,667)

Average inputs - £ per farm

Feed

8,612

7,984

11,662

16,371

39,121

40,079

24,589

25,164

(of which home produced)

(1930)

(1208)

(502)

(2,184)

(6,129)

(4,316)

(3,851)

(2,900)

Other livestock expenses

5,265

5,443

9,498

8,526

18,745

19,600

12,757

12,917

Seeds

935

673

917

1,570

2,480

2,481

1,718

1,713

(of which home grown)

(0)

(0)

(0)

(34)

(263)

(154)

(134)

(81)

Fertilisers

3,779

4,267

5,178

6,853

13,583

14,150

8,976

9,558

Other crop expenses

1,085

1,067

1,117

2,530

2,996

2,570

2,062

2,053

Labour

215

55

3,090

3,381

16,594

17,197

8,978

9,035

Machinery costs and fuel

9,441

9,660

11,727

13,462

25,203

25,258

17,802

17,963

Machinery depreciation

7,392

7,454

8,719

13,743

19,787

21,366

13,896

15,350

Land and building costs

10,499

10,453

10,231

11,760

24,699

24,563

17,681

17,602

Miscellaneous

7,978

7,333

10,543

8,710

18,851

17,008

13,894

12,317

Total average inputs

55,200

54,389

72,681

86,906

182,058

184,272

122,353

123,671

Diversification Margin

423

533

-2,963

-500

4,501

8,046

1,988

4,047

of which: Diversification Output

704

790

3,830

2,111

8,064

9,971

4,917

5,522

Diversification Input

281

257

6,793

2,611

3,563

1,925

2,929

1,475

FARM BUSINESS INCOME

8,276

15,163

3,239

21,413

48,337

72,532

27,896

44,390

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