News – February 2009
27th February 2009 – Closure of Agricultural Colleges Another Blow to Young Farmers
ICSA rural development chairman Gabriel Gilmartin has described the planned closure of four agricultural colleges as another blow to young farmers hoping to get into farming.
“At a time when we need to be encouraging young blood into farming and when there has been a resurgence of interest in agriculture as a result of the economic downturn, the proposed closure of Pallaskenry, Mountbellew, Gurteen and Clonakility colleges shows a lack of foresight especially in light of the fact that enrolment numbers have increased by 50% in two years as young people look towards farming as a viable career for the future.”
“Farming has become much more technologically advanced in recent times and the Agricultural Colleges have a huge role to play in training young farmers how to operate their farms as a viable business. As well as equipping young farmers with the skills they need, the colleges are operating at the heart of rural communities and are making significant contributions to rural life”.
“It would seem that this decision, along with the suspension of the Installation Aid and Early Retirement Schemes, will all contribute to pushing young people out of agriculture. ICSA vows to support the colleges in fighting these closures,” Mr Gilmartin concluded.
26th February 2009 – Fertiliser prices €100 too Expensive
ICSA president Malcolm Thompson has said that fertiliser prices are approximately €100 too expensive in the Republic of Ireland. Mr Thompson explained that fertiliser can be purchased for €100 less in the UK and that prices being charged in the Republic are unjustified.
“Farmers should be aware of the price differential when negotiating with their co-ops and consider what purchasing decisions to make. Fertiliser accounts for a large proportion of expenditure on most farms and farmers cannot afford to carry this inflated price at a time when cattle and sheep are being produced at below cost.”
“I am calling on Irish co-ops and agricultural suppliers to rethink their pricing policy so that additional business is not being lost to the Irish economy at a time when every cent counts.”
25th February 2009 – ICSA Calls for Electronic Tagging Proposals to be Scrapped
ICSA sheep chairman Mervyn Sunderland has said the proposals to introduce electronic tagging for sheep must be scrapped immediately.
“This proposed regulation is a glaring example of European bureaucracy gone mad with no thought given to the implications for the industry or for farmers on the ground. ICSA will oppose this madness to the bitter end as we cannot stand by and watch our sheep farmers disappear like snow off a ditch. The sheep sector is already under enormous pressure to survive and the additional headaches and costs implications that this new system will require will push many sheep farmers out of business. In the current economic climate we need to be focussing on cutting costs rather than adding to them.”
“There is no direct benefit to farmers or consumers by the introduction of electronic tagging. The current system that’s in place is working well at ensuring traceability and disease control. Electronic tagging will introduce another unnecessary burden on farmers that are hard pressed to make a living as it is.”
ICSA president Malcolm Thompson concluded, “We are investigating every avenue and we believe that with a huge effort and a little common sense this mindless bureaucracy can be overthrown.”
23rd February 2009 – Farmers Continue to Fight Factories Attempt to Push Down Beef Prices
ICSA beef chairman Seán Scully said today that there is resistance at farm gate level to attempts from factories to push down beef prices. “Trade is steady with prices holding at last week’s levels and if farmers continue to resist the pressure from factories this will result in upward improvement.”
“U, R and O grade bullocks are making at 319c/kg (£1.14/lb), 314c/kg (£1.12/lb) and 302c/kg (£1.08/lb) respectively. Heifers are trading at 319c/kg (£1.14/lb) and cows are making anything from 269c/kg (£0.96/lb) to 280c/kg (£1.00/lb). Bulls are holding at 319c/kg (£1.14/lb).”
“We have seen an improvement in prices in the UK this week also with R grade steers making up to 330c/kg (IR£1.18/lb) in some places. It would seem to many farmers that beef processors are intent on introducing a form of euthanasia on both the beef industry and family farms in rural Ireland.”
“All aspects of the industry will have to move forward together in order for there to be a future in beef farming. With this in mind, ICSA will hold a regional beef meeting in Grant’s Hotel Roscrea on Monday 2nd March at 8pm. Speakers will include Dr. Pierce Kelly, Teagasc Beef Specialist, Joe Burke, Bord Bia and Sean Farrell, ACC Bank. All are welcome to attend.”
23rd February 2009 – No Relief for Farmers as REPS Payments Still Delayed
The precarious financial position that many farmers find themselves in has not been improved by the fact that many are still awaiting payment under REPS. Despite assurances from the Minister for Agriculture that he hoped to have REPS payments made by the end of January, the majority of the 12,700 farmers have still not been paid.
ICSA rural development chairman Gabriel Gilmartin has said “this is a financially crippling time for farmers. The delay in the REPS payment, coupled with the appalling situation regarding the Farm Waste Management grants has pushed many farmers to the pin of their collar financially.”
“It would seem that the government is hell bent on bringing one of our most viable industries to its knees by continuing to delay in paying money that is owed to farmers. Our repeated calls for the Department of Agriculture to clear up this mess as quickly as possible are being met with silence. We are asking the Minister to clarify the position with regards to the REPS payments so farmers can make some attempt at financial planning for the months ahead,” he said.
19th February 2009 – FWM Grants: “We must find a way” says ICSA
ICSA President Malcolm Thompson has said that it is imperative that a way forward be found out of the present impasse on Farm Waste Management (FWM) grant payments. Following a meeting with the Minister for Agriculture today Mr. Thompson said “we made it clear to the Minister and his officials that ICSA cannot accept an arrangement which results in any interest cost to farmers or other borrowing complications with their banks. We pointed out that farmers are extremely distressed at the uncertainty caused whereby payments that were promised are now being reneged on. In particular we objected in the strongest possible terms to the proposal to delay some of the money to 2011.”
ICSA pointed out to the Minister that the cost to the Government of borrowing the additional €300m would be less than €10m, whereas farmers would be forced to borrow at much higher rates. “The cost of breaking the agreement for the government in political terms would far outweigh this relatively small sum. The reputation of the Minister for Agriculture, the former Minister for Agriculture who introduced the scheme and the government would be blemished beyond repair in the eyes of every farmer in Ireland,” he said.
“The introduction of this innovative capital spending scheme and its implementation to date has been hailed as a huge success. It would be crazy to jeopardise the entire scheme for the sake of a few million euro. I am determined to find a solution so that farmers are not out of pocket. There can be no turning back. We simply must find a way forward,” concluded Mr Thompson.
16th February 2009 – Farmers Resist Downward Pressure on Beef Prices
ICSA beef chairman Seán Scully has said that farmers are continuing to resist efforts from factories to drive down beef prices. “Although prices being quoted are at 5c/kg (2p/lb) less than last week, cattle are still being bought in some places at last week’s prices”.
Mr Scully said “U grade bullocks are being quoted at 319c/kg (£1.14/lb), R grades 314c/kg (£1.12/lb) and 308c/kg (£1.10/lb) for O grades. Heifers are trading at 319c/kg (£1.14/lb), cows at 280c/kg (£1.00/lb) and bulls at 319c/kg (£1.14/lb). Prices are down 20-25c/kg (8-10p/lb) from this time last year which works out as a drop of €100 per animal. We are also running approximately €100 per head behind British prices.”
“It has been a disastrous year for winter finishers. We need some one to show leadership in guaranteeing a supply into the continental markets going into the future,” he said.
11th February 2009 – ICSA Reacts with Fury over Phased Payment Schedule for Farm Waste Management Grants
ICSA president Malcolm Thompson has expressed fury at the announcement today by the Minister for Agriculture that payment of grants under the Farm Waste Management Scheme will be made on a phased basis, spread over three payments in 2009, 2010 and 2011.
“It is an absolute disgrace to expect farmers to wait until 2011 for full payment. This arrangement will financially cripple farmers. They invested heavily in farmyard improvements for the benefit of the environment in good faith and now they have been kicked in the teeth. Farmers feel they entered into a contract with the government whereby upon completion and approval of works they would be paid the grant in full within five weeks.”
“It is not good enough that the Minister is making representations to the banks to appeal for ‘understanding’. The reality is that this announcement has huge implications for farmers who may or may not be in a position to carry this financial burden. At best it is a disaster in terms of additional interest costs; at worst, farmers who are unable to negotiate finance could face bankruptcy.
ICSA is meeting the Minister this evening in an effort to reverse this calamitous decision.
“Minister Smith needs to wake up and realise that farmers cannot handle the consequences of government failure to meet their obligations under the Farm Waste Management Scheme,” he said.
