Measuring the difference between top and bottom performing dairy farms

Mean farm business income of top performing farms (£/year)

Mean farm business income of matched bottom performing farms (£/year)

Difference of farm business income (£/year)

169,300

42,800

126,500

Variables

Mean of top performing farms

Mean of matched bottom performing farms

Agricultural output (£’000)

588

429

Stocking Rate (GLU/ha)

2.2

1.8

Relative milk price (pence/litre)

+1.7

0

Economic Relative Size (% of SLR)

76

68

AES payments (£/ha)

20.90

24.30

Owned land (% of total land)

65

55

Unpaid labour (% of all labour)

53.4

56.4

Total agricultural costs (£’000)

462

436

As a % of total agricultural costs:

Agriculture overheads (%)

41.6

43.6

Agriculture variable costs (%)

58.4

56.4

Machinery costs (%)

13.3

15.4

Fertiliser costs (%)

4.0

3.3

Contracting costs as a proportion

of all machinery & contracting (%)

30

20