Poultry farm incomes fell 16% in the most recent financial year, following on from a 19% decline the year before, according to new statistics.
The fall in incomes reflect the continuing downward price trajectory for both broilers and eggs.
However, poultry businesses continue to be some of the most profitable in the farming sector. The average poultry farm income in 2015/16 was £75,100 higher than the national farm average.
The proportion of loss making businesses is also significantly lower - just 8% of poultry farms lost money in 2016 compared to 22% of all farms nationally.
Poultry businesses continue to show adaptability in the face of difficult market conditions. Increased throughput and tighter spending helped to avoid the worst of the price falls for most businesses. In particular an 18% cut in feed bills and a further 15% cut in running costs was seen across the sector.
Looking to the future the signs of a strong poultry sector are already there, the trend of diversification continues to bolster farm businesses. In 2016, 28% of poultry farm business income was from diversification, up from just 11% five years ago.
The Farm Business Survey is carried out by Rural Business Research (RBR), a group of researchers from the Universities of Cambridge, Newcastle-Upon-Tyne, Nottingham, Reading, Askham Bryan and Duchy College. It provides information on the physical and economic performance of farm businesses in England, to inform policy decisions on matters affecting farm businesses.
