Rearing on a contract

After getting out of dairy farming in the mid noughties, Maghera man Peter McGrath spent the better part of the two decades in sucklers. However, he decided to make a change to contracting rearing and says he’s glad he made the decision.

“I got out of dairy farming because I wasn’t milking enough cows and would have had to build a new parlour, and get more land,” Peter explains.

“There was a farm for sale neighbouring me but it sold for €30,000 an acre during the boom, which was too much money. If it had sold for normal money, I could have doubled my cows and I’d still be milking, but I’d have be buried in debt if went for it at that price.”

After working at sucklers Peter decided to make the change because due to the high work load which was giving poor returns and started contract farming on the advice of a friend.

“I had a good knowledge of dairy farming, so I decided to go with it,” said Peter.

“Apart from updating my crush I didn’t have to spend too much money, as I had the sheds and paddocks in place. The dairy stock is also very easy to deal with. I took bulling heifers at around 13 months of age as well as calves at two months of age, with about 90 in total. I also have an out farm in Killinkere where I keep my own bullocks. So far it’s been working out well for both of us.”

Despite the calves belonging to someone else, Gerry says he treats them as if they’re his own. “I nearly take better care of the contracted stock than I would if they were my own. Things can go wrong and you make mistakes no matter what you do, but you’re still anxious to make the right calls especially in the first year as you build up trust with the farmer.”

With new nitrates regulations, Peter was required to update his slurry spreading equipment, despite having bought new equipment himself not long previously.

“I paid big money for a new slurry tank three years ago with a splash plate, but I’ll have to spend €18,000 on a dribble bar, or I’ll have to hire a contractor in, but they can be difficult to get in on the days that you want them. It’s unfair on people like me who aren’t highly stocked. I feel like the goal posts are always being moved.”

Peter says that costs like these are making life more difficult for young farmers to enter the sector.

“A young farmer starting off will be sickened by what they have to spend to get in to farming. You won’t get much change out of €30,000 to buy a new slurry tank and then they need a tractor to pull it. A young person of 23 or 24, trying to start off or take over the family farm, will be snookered. When I started off, I bought a second hand slurry tank for £1,500 when I was 22. That works out as about €4,000 in today’s money, you wouldn’t get anything for that now.”

In time, Peter feels that the negatives will outweigh the benefits in farming causing the next generation to turn their back on in it.

“Farming was simple and enjoyable when I started out. I don’t want to complain because they’re the rules and you have to play by them, but it’s getting harder and harder on young people. They will seriously question if they want to work seven days a week and tolerate a lot of hassle or would they prefer to get a five days a week job and have a simpler life?

“They’re working more and more for less, despite being much better educated than my generation, but they have a lot more obstacles and red tape in their way. At the mart you don’t see many 18 or 19 year olds selling cattle. They know they’re not going to get €800 a week, which is what you need to pay your bills. There needs to be more of an incentive for young people.”