Agricultural contractors may increase their charges by almost 6%
28th April 2025
Agricultural contractors are planning to increase their service charges by almost 6% to reflect rising costs and inflation.
For the first time, the National Association of Agricultural Contractors (NAAC) has asked its members if they put up their prices annually by a percentage to reflect increasing costs and, if so, what percentage rise they would be introducing to cover inflation and labour increases this year.
The average increase is 5.7%, although there was a wide variation of predicted rises from 2-12%. The NAAC survey has shown a range of price changes reflecting a similar margin, in a general upwards trend.
Jill Hewitt, NAAC CEO, said: “A trusted partnership between a professional contractor and farmer will be essential this season, to successfully and safely look after the soil, environment, livestock and cropping in increasingly turbulent weather conditions.
“Working with a professional contractor gives the exciting opportunity to use everyone’s experience to maximum benefit. Many contractors will have vast knowledge working on different soil types, with different cropping and cultivations, they will have invested in machinery, staff and technology and can bring huge benefit on farm.
“However, professionalism comes at a price, and the 2025 prices have generally gone up to take account of inflation and employment costs, but carefully calculated costs on both sides of a partnership will ensure everyone can benefit.” NAAC Members have been encouraged to calculate their individual costs using the NAAC’s costing tool to ensure that quotes are accurate and sustainable.
As machinery expenditure continues to climb, it is vital that prices are calculated to ensure businesses can keep pace with depreciation and replacement costs.
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