The Irish Farmers’ Association (IFA) is seeking a direct payment for sheep farmers based on the latest cost of production increases identified by Teagasc.
It is among a series of proposals sent by the IFA to Minister for Agriculture, Food and the Marine Charlie McConalogue aiming to “protect and maintain” the current sheep market against the “input inflation crisis”.
In the submission, IFA Sheep chair Kevin Comiskey highlighted that the production cost increases sheep farmers are now exposed to have very serious consequences for the sector.
In a revision of its annual Situation and Outlook for 2022, Teagasc stated that the average income on sheep farms is forecast to reduce by 20% this year, based on increased production costs of 30%.
Comiskey said that the sector is at a “critical juncture” as farmers look to plan for the coming years, and warned that without support from government the sector is vulnerable.
Sheep farmers
The IFA Sheep chair said that there is an urgent need to provide an inventory of fertiliser and fuel supplies along with a full appraisal of available and projected feed supplies for the rest of the year.
He noted that the sector already has issues around guaranteed levels of year-round supplies and this cannot be exacerbated.
“Decisions to put ewes in lamb or purchase store lambs require a financial commitment into 2023 with no guarantee of a return.
“The stakes in the current climate are too high for sheep farmers to take these decisions without direct supports,” Comiskey said.
He added that the direct payment should be based on the latest cost increases identified by Teagasc and on a farmer’s production level.
Comiskey suggested that the €16 million provided by the EU Commission to Ireland as part of a wider crisis fund could be used to fund the payment.
He said that there is a real concern the store lamb trade will be severly disrupted if there is a failure to put guarantees in place for farmers who would finish lambs in the autumn and into next year.
The IFA Sheep chair also called for restrictions on land use under various schemes to be removed so farmers can use all available acreage to produce food.
He said that food security must be protected and food producers should be valued.
“The relentless pursuit of a cheap food policy; erosion of supports for food production; and the trade-off of Irish and EU farmers in trade deals for the benefit of large corporations and industrialists has undermined Irish and EU food sovereignty.
“Sheep farmers must be provided with €30/ewe payment in the Strategic Plans for the new Common Agricultural Policy (CAP),” Comiskey said.