Agribusiness News January 2024

Welcome to the January edition of Agribusiness News.  If you prefer to download this document click the download button.

Economic optimism heading into the New Year

As the year winds up, the economic environment seems to be slowly improving, at long last. Agri-food markets in Europe are reported to be more stable than for two years. With the interest rate having just fallen below 4% for the first time since September 2021, from a peak of 11.1% just over a year ago, we head into 2024 with a much more hopeful outlook for the year ahead.

This month’s edition provides a roundup of 2023, with expectations across key agricultural and economic sectors for 2024. These include: expectation for increased scope of AECS funding (although a just announced reduced agri-environment budget could see this curtailed) (see Policy brief, pg. 2); a smaller but more efficient national beef herd (see Beef, pg. 4); the marketing Scottish lamb internationally versus expanding Australian production (see Sheep, pg. 5); and ever increasing viability of electric vehicles (see Sector Focus, 6).

It is clear that efficiency, value and the environment are driving trends in current markets, and trends which farmers are well placed to benefit from.

Next month:

• Farm tenancy applications
• Calf management
• Leveraging farm economics for sustainability
• Soil pH