Farm income figures for Wales have revealed an average increase of 15% in business income across all farm types.
The figures cover the period until the end of February 2012 and are in stark contrast to the 2010/2011 figures which showed a 22% fall in less favoured area livestock farm income.
However, despite the positive results, farming groups are warning that the agricultural sector is facing a difficult winter following weeks of bad weather and rising feed costs.
Poor harvests have prompted many farmers to buy in feed for their animals with the price of concentrates having increased between 20 and 30%.
“The deputy minister and his staff are to be congratulated on this excellent achievement because such prompt payments are certainly a considerable help to managing cash flow on the farm.”
NFU Cymru president Ed Bailey
NFU Cymru president Ed Bailey said with the increase in the strength of the pound against the euro, the value of the single farm payment would also be down this year by around 8% – another factor certain to hit future farm profitability.
“We heard from the deputy minister Alun Davies’ office that 91% of farmers in Wales will receive their single farm payment on the first day of the payment window,” he added.
“The deputy minister and his staff are to be congratulated on this excellent achievement because such prompt payments are certainly a considerable help to managing cash flow on the farm.
“I now very much hope that the remaining 9% of farmers will be paid by the Welsh government in the very near future.”