Support funding for farmer incomes in the event of a Brexit deal being agreed and implemented (as opposed to ‘no deal’) is “likely”, according to a government source.
Earlier today, AgriLand reported that financial support for farmers post-Brexit is currently in the works, with Minister for Agriculture, Food and the Marine Charlie McConalogue in talks with other ministers.
Sources have indicated that this support would amount to some €400 million, which would be based on a no-deal scenario.
However, it appears that some provision will also be made for funding for income supports in the event that a deal is agreed and signed off on by the European Parliament.
The level of support in a deal scenario is not known as of yet, but it would appear certain that it wouldn’t be at the same level of the no-deal support.
‘Temporary tariffs’
Even with a deal agreed, concerns have been broached that, without support, farmers would still take a hit to incomes in the event of a deal not being fully ratified before the year is out.
This would likely lead to a situation where there are tariffs on Irish agri-food produce for a period of time in the new year, before a deal is properly implemented.
Speaking to AgriLand, Eddie Punch, the general secretary of the Irish Cattle and Sheep Farmers’ Association (ICSA), said the situation is not “black and white”.
“There is a perception that if it’s no-deal, it’s economic disaster, and if there is a deal then everything is rosy,” Punch said.
Negotiations between UK Prime Minister Boris Johnson and European Commission President Ursula von der Leyen are continuing at the moment, with a view to securing a free trade deal that would allow EU products – including Irish agri-food produce – avoid heavy tariffs when moving into the UK.