A recent report from the Central Statistics Office (CSO) to mark the 50th anniversary of Ireland joining the EU (then known as the EEC) in 1973 “illustrates the value” to Irish society of Common Agricultural Policy (CAP) supports.
That’s according to the Irish Natura Hill Farmers’ Association (INHFA), which said all members of society have benefitted from lower food prices relative to income, which has provided a direct benefit along with additional benefits “evident through better societal support”.
Speaking today (Monday, October 23), Vincent Roddy, the INHFA president, said that CAP “has been a major factor in shaping the Europe we have today”.
“While CAP was first introduced in 1962 to ensure Europe had enough food, and recognised the need to support farmers as an essential component in the delivery of this, it has since developed into ensuring food is affordable for everyone.
“This is very evident in the CSO report. Here we see close to a thirty-fold increase in the average income since 1973 and while the price of food increased, the rate is less than one-third of this. On the back of this we have also seen a major reduction in the level of household income spent on food,” Roddy added.
He said that, while improvements in technologies and increased mechanisation has played a part in this, the stability of CAP supports has provided “a critical element in the subsidisation of food and improved living standards”.
“We have seen a significant increase in the level of disposable income available to most people. This has been major factor in the development of other industries, most notably manufacturing and services,” the INHFA president commented.
“With more money to spend, these industries have benefitted not just in Ireland but across Europe. This in turn has helped to create further employment and additional taxes, taxes that are instrumental in delivering improved healthcare and social protection.
“We must recognise how CAP isn’t just an income support for farmers, but is also a critical element that has helped to underpin economic activity across western society and in doing so had helped to fund the social and healthcare services that are an integral part of our society,” he added.
Roddy called for careful consideration over the future direction of CAP.
“The CAP budget in its current form is incapable of delivering affordable quality food produced in a sustainable manner and fully traceable while also meeting the additional societal demands around climate change and biodiversity loss,” he said.
“While the current budget is in place until the end of 2026, it is vital that the EU and all governments recognise the enormous challenge and unfair burden they are placing on farmers.
“On this basis, it is vital that the EU now start planning for the new CAP programme in 2027, planning that at its core must involve a significant budget increase,” Roddy added.