UK Farm Profitability Fell Sharply in 2015, Latest Figures Show

The profitability of UK farming fell by a staggering 29 per cent in 2015, a loss of over £1.5 billion, according to the National Farmers Union (NFU).

That represents the biggest year on year fall since the millennium and latest official statistics shows that farming profitability is at its lowest level since 2007, highlighting the cash flow crisis facing the agricultural industry.

A cocktail of higher production around the world, subdued demand due to slowing economies, the strength of sterling in 2015 and over 24 months of falling farmgate prices across the sectors has led to plummeting profitability.

NFU chief economist and international affairs adviser Gail Soutar said: “These figures are alarming to say the least.

"Lots of farm businesses find themselves in a loss-making situation. If prices and profitability don’t change, it is not just those farms that are at jeopardy, but our food processing sector, our rural communities and the environment.” – Click here to read more.

Several groups have launched campaigns this week to highlight the benefits of dairy products.

The Dairy Council reminded consumers of the crucial role iodine plays in the diet, and how deficient groups in the UK population can improve iodine nutrition by eating more dairy products.

“The latest National Diet and Nutrition Survey indicated that 22 per cent of teenage girls and 10 per cent of women do not obtain adequate iodine from food sources,” said Dr Anne Mullen, Director of Nutrition at The Dairy Council – read more.

Meanwhile, Dr Judith Bryans, Chief Executive of Dairy UK, highlighted the sustainability credentials of dairy products.

“From nutrient-richness to environmental impact, from health benefits to affordability, dairy products tick every single box and few other food groups can say the same so confidently,” said Dr Bryans.

"We know that any type of food production comes at a cost, but dairy farmers and processors have taken huge strides in mitigating their environmental impact and looking after the planet's resources.” -Read more.