Six changes Covid-19 is bringing to the rural economy that may outlast the crisis
The coronavirus pandemic could have long-term implications for how we live and how the rural economy operates
writes Darragh McCullough.
Large farmers’ markets run by local authorities in Dublin and elsewhere have been cancelled, leaving small producers scrambling to reach customers.
Dublin-based McNally Family Farm has had all three of its key markets closed .
They are now hoping that an online order-and-collect system will help carry them through this crisis.
“We don’t import any produce and still have enough roots and leafy salads coming out of the fields to be able to cover the wages at this time of year,” said Jenny McNally.
Meanwhile, suppliers to supermarkets reported up to eight times normal volumes in orders for staples such as potatoes, while fruit orders such as oranges and apples were four times normal levels.
Potato farmer Ivan Curran from Stamullen, Co Meath said deliveries were running at double the amount he had ever experienced in his 40 years supplying potatoes.
The ICSA and ICMSA have called for all meat factories to quickly move to paying for livestock by electronic fund transfer in response to the Covid-19 pandemic.
ICSA beef chairman Edmund Graham said the option of electronic fund transfer (EFT) of monies should be on offer to all farmers “in order to minimise unnecessary trips to the bank to lodge cheques”. “Obviously, the farmer would still get a kill sheet, but the farmer would also have the option of this by e-mail,” he said.
“Overall it would be more efficient and lead to money being in the farmer’s account quicker.”
ICMSA livestock committee chairman Des Morrison said the option of payment by electronic transfer by meat plants made sense — to save time and on the grounds of reducing social contacts and therefore minimising the possibility of Covid-19 spreading.
However, Meat Industry Ireland (MII) said there were few enquiries so far from farmers for EFT.
With many rural towns already struggling to keep afloat, the closure of small businesses will add to the pressure.
But social distancing queues have formed outside many butchers and greengrocers, as shoppers avoid busy supermarkets that have seen shelves emptied from panic buying.
Smaller, local food shops may get a new lease of life if further social restrictions are implemented and people form the habit of choosing to shop closer to home.
What we’re buying has also changed as more and more people work from home.
Demand has swung away from cafes, restaurants and hotels to home-cooked meals, which may have a significant impact on processors, used to selling large amounts to a smaller number of buyers in the food-service sector.
A huge fall-off in demand from the food-service sector in Europe could significantly impact Irish beef exports.
With footfall drastically reduced in fast-food restaurants, Irish dairy and beef exporters will suffer. One in every five McDonald’s burgers sold in Europe is made from Irish beef, while reduced demand for dairy from Asian food-service markets will impact world demand.
For years cash has been king in farming and rural Ireland. However, that looks set to change irrevocably, as the demand to use cards increases for hygiene reasons.
But cash is still the preferred option for many, from the factory cheque to the ill-advised hidden cash at home. Rural Ireland for the most part still operates on a cash basis, but moving to a card-only society
even in the short-term will speed up the demise of cash.
New restrictions at the mart could have far-reaching implications on the cattle trade.
The crisis will increase the pressure on the already beleaguered marts, while perceptions of reduced buyer numbers around the ring may make farmers wary about trading stock and significantly reduce throughput at a critical time of the year.
The restrictions may also spark a rise in the number of deals done privately with many older farmers unwilling to risk attending the mart.
The impositions around social distancing mean there’s no longer a good chat with the neighbour popping in, or with other farmers about the price of cattle at the mart.
Instead, we’ve become wary of being in close proximity to people, afraid they may be carrying the virus.
Mart restriction could spark a rise in deals been done privately