Teagasc's research yields rich returns

The return on investment in agricultural research in Ireland is 10 times the level advocated by the Department of Finance for…

The return on investment in agricultural research in Ireland is 10 times the level advocated by the Department of Finance for public-sector investment projects, according to an analysis published at the weekend.

The analysis, carried out by Prof Gerry Boyle of NUI Maynooth, showed that the average return on investment in seven areas of agricultural research conducted by Teagasc over the past 30 years was 47 per cent.

He said that this compared with a recommended minimum rate of 5 per cent advocated by the Department of Finance for public-sector investment projects.

Prof Boyle said that the agriculture and food development agency's research compared very favourably with rates of return on similar research projects internationally. His research showed that the rate of return of the seven selected research projects ranged from 9 per cent to 95 per cent.

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The project which gave the highest estimated rate of return was research on malting barley by Teagasc Oak Park, Carlow, which led to substantial increases in yield and quality, resulting in a return of 95 per cent on research investment.

Extensive research on quality silage-making conducted by Teagasc at Grange, Co Meath, gave a return of almost 50 per cent, Prof Boyle said.

There was a similar high rate of return on mushroom research at Kinsealy, Co Dublin, where a new system of mushroom production resulted in the development of a major industry, which grew from €10 million in 1980 to €130 million in 2001.

Prof Boyle estimated that the return on research in dairying in Moorepark, Fermoy, Co Cork, was 45 per cent, with increased milk yields and better animal health.

The Teagasc potato breeders at Oak Park in Carlow developed 20 new potato varieties and were leading the field internationally over the past two decades. "The return on investment in potato breeding to the Irish economy was around 10 per cent. However, this greatly underrates the value of this work, as the vast bulk of the benefit was accrued to overseas producers," Prof Boyle said.

Analysis of research on phosphorous use by Teagasc at Johnstown Castle, Co Wexford, showed major savings on fertiliser costs. The environmental benefits in terms of improved water quality were said to be unquantifiable.

The report was welcomed by the director of Teagasc, Mr Jim Flanagan.