INPUT costs for the horticulture sector have risen by 51% over the past five years, according to a new report which tracked the rise since 2021.
The Horticulture Crop Input Prices 2025 report, the fifth of its kind produced by the Teagasc Horticulture Development Department, shows that input price inflation has been significant in raising costs.
However, the impact of weather-related events in the 2024 growing season, followed by significant storm damage in January of this year, have also impacted the sector negatively.
The report notes that the operating environment for Irish horticultural producers is constantly evolving.
In keeping with 2024, this year’s report focuses on the challenges that climate change and labour availability are having on the horticultural sector.
Specifically, the increased frequency and spatial pattern of extreme weather leading to difficult growing conditions, especially planting conditions in early 2024, and the impact of storms in January 2025.
The report also points out that technologies to reduce the reliance on labour are beginning to be trialled in some key horticultural sub-sectors.
However the financial cost of these technologies is significant and availability likely to be limited in the short to medium term.
The sourcing of labour continues to be a significant challenge.
The sector needs to avoid a gap between the availability of labour and availability of labour saving technologies.
Technologies exist to extend the growing season of existing crops and also diversification into new market opportunities.
Growers need to be incentivised to invest in these systems to bring production closer to consumption while reducing labour requirements, food waste and packaging associated with long supply chains.
In 2025, labour continues the trend of 2024 in being a key driver of inflation.
However, unlike in 2024, other important cost categories such as energy and fertiliser are increasing in 2025. According to Teagasc, investment from the sector to reduce the reliance on labour and the impacts of climate events will require a market response to ensure the economic and environmental sustainability of Irish horticultural production into the future.
