How businesses evolve is often fascinating to watch and what wasn’t important at one time in a business can be top of the list at another.

This week, I got a letter in the post to say I could now do my banking at my local post office.

In the same letter was a note to say the rules had changed and there was now the possibility of a negative interest rate, which means if I had money on deposit, the bank are going to start charging me for leaving it with them. Big change.

Shifting sands

Look how the European farming industry is shifting into a model that is not rewarding farmers for producing food, but instead shifting to rewarding farmers on biodiversity, animal welfare and producing less feed for animals, and hence less feed for human consumption.

I still struggle with this concept after visiting many African countries that don’t have the resources we have to produce high-quality nutritious food. Big change.

So the Brussels negotiators trying to hammer out a new CAP deal failed to strike a deal this weekend.

However, the soundings suggest they are close and will be back with a deal the end of June.

Eco schemes

For many dairy farmers, it will mean a shift of maybe 25% of the single farm payment into an eco scheme.

For many, this will involve some measures that involve using new technologies, such as sexed semen or genotyping (DNA profiling) stock.

So, inside the farm gate, farmers can change and are changing as we speak with or without a CAP deal.

Representative structure

The dairy industry representative structure is one that hasn’t evolved a lot in Ireland over the years.

Board members and advisory co-op members often have to be forced into position.

Before I go any further, there are some great farmers on co-op boards. We can't tar all with the one brush.

However, often active, engaged and interested dairy farmers can’t get involved because the local seat is taken or has been passed down through generations and is not up for grabs.

In other situations, the local farmer who stands up and shouts about bad milk prices often gets the nod ahead of someone who may not be as vocal, but might have more strategic thinking and then gets no chance to display or engage because the local representative holds the ticket.

Rules

Imagine in some co-ops we still have rules that farmers must trade a certain amount with the co-op before they can stand for election.

So you might be the brightest and most intelligent mind where the co-op could benefit from your participation, but, just because you don’t spend enough money with the co-op, you can’t stand for election.

Real time for change on this front and we would be delighted to hear your stories on or off the record to try to bring about some positive change for farmers in this space.

Change can happen in other sectors where it makes sense. Farmer representation on dairy co-op boards should also be open to change.

Email jkennedy@farmersjournal.ie or call 087-908 2651.

Read more

Gap between Ornua and farmgate milk price widens

Dairy Trends: arrows point upwards for dairy commodities