The Irish Farmers' Association (IFA) has said that the first forward offer for 2025 for malting barley from Boortmalt is "very late and very disappointing".

Kieran McEvoy, the IFA's grain chairperson, said that the offer of €230/t will leave tillage farmers "frustrated", particularly in the context of the recent increase in the price of a pint of Guinness by Diageo.

"Farmers will be very frustrated when they see this price as they are getting no benefit from the price increase to the consumer. Once again, farmers are at the bottom of the barrel," McEvoy said.

According to the IFA, for the past number of years, there have been two forward price offers issued before widespread planting of the spring barley crop takes place. In 2024, offers of €270/t and €240/t were made prior to the crop being planted.

McEvoy also said that the IFA was concerned over "cuts to the contracts allocated to merchants".

"These cuts will have impacts on farmers, and it does not make sense in the context of the planned expansion of the sector," he said.

He added that, earlier this week, the IFA asked Boortmalt to attend a growers’ meeting to clarify its plans for this year and subsequent years.

"We hope [it] agrees to this so the meeting can take place urgently," the IFA grain chair said.

McEvoy said that incomes on tillage farms "have been decimated in the last two years", dropping to between €21,000 and €30,000.

He added that costs on tillage farms look set to increase again in 2025 for fuel, fertiliser and contracting.

According to IFA analysis, tillage farms incurred the largest sectoral cost increases of 106% in the period between 2017-2023. Access to rented land is also proving to be a major challenge for the sector.

"A forward price offer of €230/t for a portion of malting barley contracts in 2025 is just not enough given the precarious financial situation the tillage sector finds itself in," McEvoy claimed.