The Association of Farm & Forestry Contractors in Ireland (FCI) has published its revised and updated FCI Contracting Charges Guide 2022.
According to the association, its latest guidance reflects the “huge” increases in agri-diesel costs and machinery inflation, along with other “significant” input cost hikes.
Against this inflationary background, the FCI is “satisfied” that this revised averaged price guide continues to provide “fair and reasonable” guidance for farm and forestry contractors and their client farmers.
However, it stressed that all parties concerned must remember that this is only a guide.
The updated FCI Contracting Charges Guide for 2022 seeks to reflect the “huge” input cost increases that farm & forestry contractors face.
The FCI stressed that these alone are not restricted to fuel cost increases.
Furthermore, the revised guide also includes VAT on all charges quoted, as most Irish farmers are not registered for VAT.
The association highlighted that quoting charges inclusive of VAT for non-VAT registered farmers is “in line” with customer requirements.
It stressed that the actual guide charge may vary between:
- Across soil types;
- Distance travelled;
- Contract size;
- Size and type of equipment;
- Scale of work.
It has based prices on green diesel at €1.30/L; however, it acknowledged that many contractors make individual arrangements with client farmers regarding diesel (separate fuel surcharge, fuel used on-farm, ect).
As a result, it says that the guide charges “do not reflect this market trend and such arrangements may make a significant difference to contracting charges”.
It has provided the following guide charge rates – which include VAT at 13.5% – for baling, bale handling and stacking:
- Bale, wrap, stack and move (inc. plastic 4 layers, extra layers additional cost) *For NRF add €1/bale* – €22-25/bale;
- Bale, wrap, stack and move (excl. plastic) – €15-17/bale;
- Also, bale and wrap (inc. plastic 4 layers, extra layers additional cost) *For NRF add €1/bale* – €16-17/bale;
- Bale and wrap including combinations (excl. plastic) – €13-€15/bale;
- Baling silage (4 x 4) – €9/bale;
- Bale and wrap (incl. plastic 4 layers, extra layers additional cost) – €20-€22/bale;
- Bale and wrap (excl. plastic) – €17-€18/bale;
- Wrap (4×4) (excl. plastic) – €4 -€4.50/bale;
- Bale transport – €85/hr or €6/bale;
- Bale stacking – €85-€90/hr;
- Large square bales of silage (6x4x3) (excl. plastic) – €11-€12/bale;
- Large 5x3x2 silage bales wrapped (excluding plastic) – €18-€19/bale.
According to the association:
- The cost of a set of replacement filters for a modern contractor tractor is now more than €800;
- Machinery parts prices have incurred inflation rates of more than 30%;
- The daily cost of filling a 300-litre capacity diesel tank for a contractor’s tractor will have increased from €225 in January 2022 to €450 at the start of June;
- The agri-diesel cost per day to fill a self-propelled silage harvester with a 1,200-litre tank has risen from €900 to €1,800.
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