Farming in Lincolnshire will become 'unsustainable' if prices continue to slump, the chairwoman of the Lincolnshire branch of NFU has said.
Lincolnshire's farming sector has seen considerable decline, with income falling to its lowest figure in almost 20 years.
Minty Willoughby, Lincolnshire NFU chairwoman, believes it is becoming 'tight' for many farmers, particularly those who deal in livestock.
She said "If prices do not improve it will become unsustainable, there are farmers going out of business every day.
"Whatever you are producing at the moment is below the cost of production."
She went on to claim that some farmers are delving into their own savings to keep the boat afloat.
Cash flow problems are arguably the biggest threat for farm businesses at present.
NFU President Meurig Raymond said that the union has been working directly with the banks to ensure a "positive dialogue" continues in the face of "external factors", which are having an impact on farmers’ bottom lines.
"Farmgate prices for key commodities are in a markedly different place than they were two years ago, leading to lower margins and profitability across the sector," Mr Raymond said.
