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Scotland Rural Development Programme 2007-2013

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OPTION 4: CREATION AND MANAGEMENT OF WETLAND

Non- NVZ

NVZ

Gross margin - arable/intensive grassland

per ha

per ha

£

per ha

Winter Barley

£385.00

Spring Barley

£282.00

Livestock' Gross Margin (average) - intensive grassland

£494.23

Gross Margin average:

£387.08

6.3% interest on Tenant's Capital saved

£35.53

Average gross margin (net of savings) A:

£351.54

Gross margin - extensive unimproved wet grassland

Livestock' Gross Margin (average) - non-intensive grassland

177.98

75% 'beef suckler, sheep & dairy followers' production

133.48

Adjusted gross margin B:

£133.48

Income foregone (loss of output):

Gross Margin A less Gross Margin B:

£218.06

£216.29

Additional costs:

Weed control by topping (twice) during establishment

£49.40

per ha

Cost spread over 5 years:

£9.88

£9.88

Sub-total:

£227.94

£226.17

Overall cost:

£227.94

£226.17

per ha

*Average Tenant's Capital
for
Farm Types: Scotland General Cropping Farms & Mixed Farms

£564.00

per cow

per ha

*Upland/Lowground Suckler Cows - mainly silage diets

Feb-Apr

0

0

May-June

17

30.36

Aug-Oct

26

40.625

Average =

23.66

Dairy Cow - silage ad lib

av. Annual yield 7,000 litres

1290.75

per 100 ewes

Crossbred Breeding Ewes - Finished/store lamb

Upland

1601

128.08

Lowground

2293

208.45

Av. Upland/lowground

1947

168.27

Average 'Livestock' Gross Margin

494.23

per cow

per ha

*Upland/Lowground Suckler Cows - mainly silage diets

Feb-Apr

0

0

May-June

17

30

Aug-Oct

26

41

Average =

23.66

Replacement heifer rearing (average)

342.00

per 100 ewes

Crossbred Breeding Ewes - Finished/store lamb

Upland

1601

128.08

Lowground

2293

208.45

Av. Upland/lowground

1947

168.27

Average 'Livestock' Gross Margin - non-intensive improved grassland

177.98

Assumptions: 1. Normal grass production with application of 220 kg N/ha and 25% reduction in productivity when no fertiliser applied

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Page updated: Tuesday, April 1, 2008