To ask the Minister of Agriculture, Environment and Rural Affairs what assurances he can give to farmers facing financial pressures as a result of a continuing rise in input costs.

The latest farms income statistics published by my Department on 10 February 2022 show that gross input costs for the farm sector rose by 10.3% between 2020 and 2021. This was driven by marked increases in the prices for feed, fertiliser, electricity and fuels. Thankfully there was also improved prices for farm produce during 2021 and this more than offset the higher input costs with an overall 8.3% rise in ‘Total Income from Farming’ (TIFF) achieved between 2020 and 2021. Nevertheless, rising costs are certainly a concern and continue to be as we move into 2022.

The rise in input costs that farmers are currently experiencing is mainly due to price pressures in world markets for feed, fertiliser and fuels. These price increases are outside the control of my Department but there are steps that I have taken to support the sector during this time. In particular, with increasing costs of production in mind I supplemented the Basic Payment Scheme payments to farm businesses by £15.49 million in 2021. Also, CAFRE staff have delivered various webinars, extension programmes and press releases to farmers that relate to the monitoring of farm inputs and their efficient use. Finally, I have been working closely with the sector and will continue to monitor the situation.