IFA president Joe Healy has demanded the Government make a plan of action to counter the cattle price cuts of over €100 per head in the last month, which have inflicted severe financial damage on the low income livestock sector and eroded confidence in the trade.

Healy said the severe effect of the sterling exchange rate crisis on the incomes of beef farmers and mushroom growers can no longer be brushed aside. He called on Minister Creed to mount an urgent and decisive Government action plan at national and EU level to deal with the crisis.

“Retailers and factories are using the exchange rate crisis to push severe price cuts back down on top of farmers. It is imperative that the Government now seeks urgent EU support, for farm level measures that will counteract the price drops, which are arising directly from the sterling depreciation, independent of other normal market forces,” the IFA president said.

Healy said Minister Creed must pursue the following actions in Brussels as part of a Government plan:

  • Demand that the CAP crisis reserve fund be used to provide direct support to farmers. The crisis reserve is intended to provide additional support for the agricultural sector in the case of major crises affecting agricultural production or distribution.
  • Secure direct support at EU level for affected producers through CAP market support measures, with support sought under Article 221 of the Single CMO, which provides the Commission with the authority to deal with specific problems.
  • Request an increase in EU State Aid de minimis limits to target support at the mushroom sector.

    • Funding support

    In addition, at national level in Budget 2018, the Government must provide funding support to the primary agricultural sector through:

  • Increased farm scheme funding.
  • Delivery of low-cost loans for all sectors.
  • Increased funding for TAMS farm investment and investment aid for commercial horticulture.