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Reacting to the budget on Tuesday, IFA president Joe Healy said that Ireland faces “agricultural Armageddon” and that the agricultural sector did not receive enough funding.
He said: “While the €110m committed to the Department of Agriculture for next year is a step forward, much more will be needed now as farmers are already suffering huge losses due to Brexit uncertainty.
“Beef farmers have incurred huge losses since May 12 when the Beef Exceptional Aid Measure (BEAM) was introduced and these have to be covered.
“Now that the Irish Government has set out its plans, we need the EU Commission to put its Brexit funding cards on the table.”
He also said that more clarity is needed on the implications for schemes such as the Beef Environmental Effeciency Scheme (BEEP) for suckler farmers introduced last year. Healy also called for clarity on Minister Michael Creed’s plans for the €20m underspend on BEAM.
Right direction
In reference to the allocation of €3m for pilot agri-environmental schemes, the IFA president referred to the payment as “modest”.
However, he did acknowledge that the increase in the National Parks and Wildlife Service farm plan funding to €1m is also welcome and a step in the right direction.
The carbon tax will disproportionately affect farmers and rural dwellers
The €150 increase in the earned income tax credit has narrowed the gap that exists between the self-employed and those in the PAYE sector.
However, the shortfall has been deemed disappointing by Healy, as the allocation has not yet met the full €1,650 as committed in the programme for Government.
He said the carbon tax will disproportionately affect farmers and rural dwellers, as they don’t have an alternative.
“We expect a significant amount of the funding to be ring-fenced for agri-environmental schemes, renewable initiatives that have a farmer and community focus.”
Stamp duty
IFA farm business chair Martin Stapleton said the increase of 1.5% in stamp duty would hit farmers who were trying to expand their holdings.
“[The] IFA has been seeking to have a separate stamp duty rate for farm transfers. Not introducing this was a missed opportunity by the minister to show a better understanding of agriculture,” he said.
IFA rural development chair Joe Brady has welcomed the increase of €12.1m in Targeted Agricultural Modernisation Schemes (TAMS). It brings the overall allocation to €82m.
However, he expressed concern that the overall RDP budget of €395m will not be spent unless Minister Creed takes urgent action.
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