Low Income Farm Households: Incidence, Characteristics and Options for Improving Policy Measures

The incidence of low income amongst farmers is examined. Particular attention is given to the farm and household characteristics of these farmers and the role of farm policy measures in alleviating their income problems. Data available from the CSO Household Budget Survey (1994/95) and from the Living in Ireland Survey (ESRI 1994) were used. The results show that a quarter of farm households had household incomes which were below the 60 percent poverty line. The households were widely spread throughout the country but there was some concentration in Connacht. Most of those in poverty were small-scale drystock farmers and a high proportion had children. Policy measures introduced in the interim, especially REPS and Farm Assist, are likely to have partly alleviated this low income problem. However, it was concluded that the risk of poverty still persisted for small-scale farmers who depended mainly on farming for their household income.