The extension of the deadline for payment break applications for those whose income has been impacted by Covid-19 has been welcomed by the Irish Farmers’ Association (IFA).

Commenting, IFA Farm Business Committee chairwoman Rose Mary McDonagh said:

“The postponement to Wednesday, September 30, from the end of June for first-time applicants for a loan break is much more realistic and practical.”

Highlighting that the impact on income is delayed for some farmers, McDonagh added:

The pinch is only being felt now, or certainly will be in the next few months. Farmers who need this break must make sure they avail of this opportunity and avoid falling into the non-performing loans category.

“Whilst these payment breaks will assist in the short-term, the IFA is urging the incoming government to urgently legislate for the Covid-19 Credit Guarantee Scheme and the second phase of the Future Growth Loan Scheme to support farmers.”

The chairwoman noted that, while both are open to farmers, it is imperative to establish the terms and conditions, as well as eligibility criteria.

Farmers are going to have increased costs, as well as credit and cash-flow problems due to this crisis.

“These schemes must be low-cost and be open to farmers across all sectors to assist with working capital, investment and credit issues,” McDonagh concluded.