Economic Report on Scottish Agriculture 2011 Edition

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Lowland Cattle and Sheep

Trends in FBI for Lowland Cattle and Sheep farms need to be treated with extra caution due to the small number of these types of farms in the survey sample. Overall, FBI increased by £6,325 (26 per cent) from £23,969 in 2008/09 to £30,294 in 2009/10. This was caused by the £1,261 increase in total outputs, £6,378 increase in grants and subsidies and £4,648 increase in income from diversified activities outweighing the £5,961 increase in input costs.

Sheep output increased by £8,562 (55 per cent) from £15,464 in 2008/09 to £24,027 in 2009/10. Part of the reason for this is a 21 per cent increase in the average number of ewes on lowground cattle and sheep farms in the survey although it also reflects the increase in average sheep prices in 2009/10. The corresponding cattle output increased by £1,188 (2 per cent) from £53,184 to £54,372. There was a large fall in milk output (£8,023) in 2009/10. This was caused by one farm with a large milk output switching from being classified as Lowground Cattle and Sheep farm in 2008/09 to being classified as a Mixed farm in 2009/10.

On average, SFP increased by £5,988 (19 per cent) from £31,849 in 2008/09 to £37,837 in 2009/10. As highlighted earlier, this is due to the favourable exchange rate in September 2009 compared to the previous year.

The largest rises in input costs were for land & building costs (up £2,937), machinery costs and fuel (up £2,288) and machinery depreciation (£2,142). The costs of feed decreased by £2,533 (10 per cent), reflecting the lower price of cereals used for feed.

Average income from diversified activities for Lowground Cattle and Sheep farms increased substantially from £698 in 2008/09 to £5,346 in 2009/10 This increase is due mainly to one farm starting diversified activity and the low number of Lowland Cattle and Sheep farms.

Chart B4(h): Selected outputs and inputs, Lowground Cattle and Sheep

Chart B4(h): Selected outputs and inputs, Lowground Cattle and Sheep

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

Type of farm: Lowland Cattle & Sheep (1)

Small

Medium

Large

All Sizes

Number of farms in sample

5

5

4

5

7

7

16

17

2008-09

2009-10

2008-09

2009-10

2008-09

2009-10

2008-09

2009-10

Average size of business ( SLR)

1.2

1.3

"

2.5

6.3

7.1

2.3

2.5

Average size of farm (hectares)

74

84

"

124

394

432

135

153

Area of Cereals (hectares)

6

7

"

8

19

15

8

9

Number of ewes

105

89

"

132

694

947

208

252

Number of suckler cows

37

37

"

99

131

147

66

65

Number of dairy cows

0

1

"

5

22

0

4

2

Number of other cattle

59

82

"

185

310

281

120

132

Average output £ per farm

Crops: Cereals

3,192

3,326

"

4,100

15,105

10,068

5,241

4,668

Potatoes

0

0

"

0

0

0

0

0

Other crops

671

3,167

"

10,576

4,666

-684

3,314

3,449

Total crop output

3,863

6,493

"

14,676

19,770

9,384

8,555

8,117

Livestock: Cattle

23,323

30,268

"

90,809

137,192

117,438

53,184

54,372

Sheep

8,295

9,771

"

12,844

47,063

85,134

15,464

24,027

Pigs

0

0

"

0

0

0

0

0

Poultry

0

0

"

0

0

0

0

0

Milk

0

0

"

0

48,248

0

8,023

0

Other livestock

0

0

"

-97

0

17

-28

-10

Total livestock output

31,618

40,039

"

103,556

232,502

202,589

76,643

78,388

Miscellaneous

1,973

2,729

"

2,914

6,992

3,350

2,914

2,868

Total Output

37,453

49,260

"

121,146

259,264

215,323

88,113

89,373

Subsidy and Payments

15,138

17,848

"

67,186

95,129

117,150

36,306

42,684

(of which LFASS)

(376)

(376)

"

(3,316)

(12,105)

(11,943)

(2,695)

(2,894)

(of which SFP)

(13,816)

(16,814)

"

(58,807)

(80,635)

(100,707)

(31,849)

(37,837)

Average inputs - £ per farm

Feed

7,857

8,743

"

38,532

71,779

58,598

24,416

21,883

(of which home produced)

(1,826)

(1,561)

"

(3,868)

(5,217)

(5,611)

(2,783)

(2,614)

Other livestock expenses

4,972

6,324

"

14,648

28,891

29,585

10,573

11,710

Seeds

302

433

"

1,950

3,024

3,514

1,012

1,201

(of which home grown)

(126)

(67)

"

(0)

(286)

(0)

(133)

(46)

Fertilisers

3,633

5,337

"

15,301

29,503

23,395

9,557

9,986

Other crop expenses

1,120

1,891

"

2,473

4,220

5,041

1,863

2,547

Labour

145

482

"

7,732

21,694

21,005

5,149

5,221

Machinery costs and fuel

8,496

10,433

"

23,089

35,762

38,497

14,992

17,280

Machinery depreciation

5,311

8,782

"

12,556

26,616

23,686

9,882

12,024

Land and building costs

7,688

8,706

"

15,952

33,895

42,869

13,013

15,950

Miscellaneous

7,638

6,542

"

14,605

18,015

15,729

10,691

9,307

Total average inputs

47,163

57,672

"

146,838

273,399

261,919

101,148

107,109

Diversification Margin

406

7,420

"

1,356

1,465

541

698

5,346

of which: Diversification Output

406

7,520

"

1,894

3,203

946

1,020

5,561

Diversification Input

0

100

"

538

1,738

405

322

215

FARM BUSINESS INCOME

5,834

16,857

"

42,850

82,459

71,094

23,969

30,294

(1) denotes averages based on less than 5 farms that have been suppressed to avoid disclosure.

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