The Kerryman (South Kerry Edition)
Farmers being ‘driven down into the ground’
FARMERS are suffering one of the greatest crises in the sector in years with current milk prices, regulations and fast-rising overheads driving many ‘down into the ground’ according to one politician living close to the land.
Independent TD Danny Healy Rae said farmers’ livelihoods are now in a ‘deplorable state’ in a recent address to the Dáil on the issue. With the cost of milk production now greater than what farmers are earning from milk, it’s time the State moved fast to support the dairy sector, he warned.
The warnings come as the IFA lay out the scale of what they now describe as a ‘crisis’ before new Agriculture Minister Michael Creed.
“My question is on behalf of the farming community in Ireland,” Deputy Healy Rae told the Dáil.
“It was never worse off and I hope the new Minister for Agriculture, Food and the Marine is aware of that. The first issue is the price of milk. Never before has a community had to work for an amount below what it costs to produce a product. People are getting less than what it costs them to produce it.”
Red-tape by way of blue card provisos that drive down the price of animals post multiple herd transfers is also helping to cripple the industry, Deputy Healy Rae said.:
“Another issue is that if the blue card of an animal states that the animal moved more than four times into four different herds, one will get €50 or €60 less for that animal in the factory. This is simply because there were more than four movements for that animal. Then there is the price of fertiliser, plastic, tyres and batteries, even though oil has never been at a lower price.
“We were always told that the price of oil dictated the price of these items. Why is it that the costs have gone beyond the beyond? Farmers are being driven down into the ground. They are in a desperate state. They do not have a bob or a copper, and the new Minister should know that.”
The IFA had already laid it out clearly for the Minister, the agency said this week. In a meeting last week, the body highlighted ‘priority areas and actions required’ from the Government to address what it termed the ‘income crisis’ across the main farming sectors.
“The IFA outlined very clearly to Minister Creed the financial pressure farm families are under this year as a result of lower prices, higher costs and reduced direct payments.”
President Joe Healy told the Minister that immediate action is needed in terms of state aid on the following: low-cost credit; a full draw-down of farm schemes; 70 per cent payments advance’; retail regulation and trade deals.
IFA Dairy Chairman Sean O Leary said urgent action is needed by the Government to provide low-cost short–term loans to alleviate cash flow pressures and reduce the high cost of merchant credit.
He added that the EU Agriculture Council has already given the go ahead for this state aid in this area.
Minister Creed said his Department is sheep sector and outlined to Minister Creed that the working on this and recognised the financial new €10-per-ewe scheme must be simple, farmer pressure on farms, which is being compounded friendly with minimal costs and bureaucracy on by Superlevy bills and taxation bills later this farmers. autumn. The Minister also said he had met all He said proposals from the factories and others of the main banks and encouraged individual to link the scheme to EID were being received very farmers to engage with them around interest negatively at farm level. and payments deferrals. He said the EU Commission has made it very
IFA National Livestock Chairman Angus clear to the IFA that the current derogation on Woods told Minister Creed that factories had EID for lambs directly to slaughter will remain in started putting unnecessary pressure on cattle place. Minister Creed said it was clear that the sheep prices, claiming that they are unable to handle sector needed additional support and he noted the supplies even though the kill is less than 30,000 views of farmers on EID. head per week. IFA National Grain Committee Chairman Liam
He said it is very clear the beef sector needs Dunne asked Minister Creed to support grain more competition and live export markets to farmers and the sector in the IFA campaign for Turkey and other North African and Middle the removal of tariffs and duties on fertilisers, Eastern markets need to open up as soon as the Glysophate challenge in the EU, on quality possible. Minister Creed responded positively assurance with Bord Bia and by clearing the way to the IFA request to convene a meeting of the to introduce TAMS for grain farmers. Beef Forum and said he would do so in mid-July.
The Minister said he is working hard on market access issues to the US, China and Iran as well as live export markets and he noted IFA’s request that more Departmental resources should be committed to this work. Angus Woods also requested the Minister to reopen the Beef Data Genomics Scheme for sucklers.
IFA National Sheep Committee Chairman John Lynskey welcomed the positive response from Government to provide an additional €25m funding for the