Watch: Catch up at the mart - how costly do farmers think silage will be?

Silage season may be just around the corner, but many farmers at Ballinasloe Mart in Co. Galway were speaking more about rising costs than rising grass this week.

With the government's Fuel Support Scheme opening for applications on Tuesday (April 5), there was no shortage of discussion on expenses around the ring.

Agriland caught up with some of the Ballinasloe mart-goers to hear their views on increasing input costs, the impact the support scheme may have, and concerns around the cost of making silage this year.

For many farmers, the sharp rise in diesel prices continues to be the major concern ahead of a busy summer period.

One farmer said that silage season is going to be "dear, the way everything has gone" following the conflict in the Middle East.

"Fuel has driven everything up crazy," he went on to say.

While some mart-goers welcomed the government support package when speaking to Agriland, others questioned how much of an impact it will actually have for ordinary farmers.

Another mart-goer described the fuel packages as "only a drop in the ocean."

He said: "It's like handing out a few sweets to keep the children happy for a while.

"In the long run, they're going to have to introduce something concrete."

That same farmer argued that the government needs to go further in reducing fuel-related costs.

"They should get rid of the carbon tax and bring down the excise duty," he suggested.

Some farmers believed that the Fuel Support Scheme may benefit contractors, but will not be much of a bonus for smaller farmers.

"It'll help the contractors, but it won't impact the ordinary man much," a mart attendee commented.

Another farmer felt that package could help - but only if savings are passed on.

"Contractors need it and it could be good for them if they pass it on.

"But sure, will they? Contractors have horrible expenses as well as farmers," he added.

Silage season

With silage season fast approaching, farmers also emphasised that contractors will have little choice but to pass rising costs back onto customers.

"For cutting silage, contractors are going to have to put up their prices.

"The bulk silage is up €10-€15/t and the round bales are up as well," another farmer told Agriland.

Likewise, a different farmer said that he is also expecting pit silage this year to become quite expensive.

"Some men are talking about pit silage coming in at €200-€250/ac.

"It's mental; I don't know how it's going to be done, but it'll have to be done," one farmer admitted.

Others in attendance at the mart highlighted that higher diesel prices are impacting every aspect of silage-making.

A farmer outlined: "Once diesel goes up, it affects everything.

"It affects raw materials; the rising cost of oil and plastic will drive up the price of silage wrap too."

A younger farmer noted that the pressure is already being strongly felt on farms, who are trying to keep machinery running.

He said: "We have three machines back home now and it's hard to keep everything filled; it's going to be tough this year."

Flat-rate changes

Moving away from rising input costs and silage-making, the new changes to the flat-rates for non-VAT registered farmers selling cattle at marts also emerged as a major talking point among those in attendance.

Although the new changes were introduced at the start of the year, many farmers are only now starting to feel the true impact on their bottom line when selling cattle.

A mart-goer noted: "It's going to be expensive now to sell cattle at marts, it really is.

"When you sell 20 or 25 cattle, nearly the price of one of them is gone in the cost of selling them."

Another farmer warned that these new changes could drive more cattle directly towards factories than marts.

"The VAT on sales has gone up ridiculously crazy, which is not helping the situation in the marts.

"People now will be going to the factory and the factory will be laughing because you don't have the same stoppages there compared to the mart," the farmer said.

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