Irish Grain Growers (IGG) chairman Bobby Miller is deeply concerned about the direction of travel forward grain prices are now taking.
“Prices quoted for harvest 2023 are now hovering at around €220/t. That’s €70 below the price available two months ago,” he stated.
“I am very conscious of the projected 2022/2023 breakeven price for Irish grain, published by Teagasc a couple of days ago.
“This is coming in at just short of €210/t. If world grain future continue to slide, we could soon see Irish grain growers facing into big losses next year, irrespective of the final yields they eventually achieve.”
IGG is also highlighting the fact that Ireland’s tillage sector will be negatively impacted by the out-working of the new Common Agricultural Policy (CAP) Strategic Plan.
“As a body, we had been emphasising this possibility for the past couple of years. Official analysis of the new CAP arrangements has confirmed this reality,” Miller continued.
“So government must now step in and rectify these matters.”
Supporting the grain industry
IGG has a priority listing of actions that government can take to support tillage farmers.
Chief among these is the introduction of additional schemes that specifically underpin the growing of crops in Ireland.
“The Protein Aid [Scheme] and Straw Incorporation Measure have worked,” Miller told Agriland.
“But they need to be retained and their footprint widened.
“We also need to see Bord Bia stepping in and specifically promoting Irish grain. The organisation does not have this remit at the present time. In fact there is no body in place to specifically promote and market Irish grain, whether at home or abroad. This situation must be changed.”
The IGG chair confirmed the growing demand for Irish-grown grain.
“In theory, this should be a good news story. But making this happen will require a greater level of investment in food grade processing facilities,” he further explained.
“Companies already in existence need to commit accordingly. But there is also significant potential for new businesses to get involved as well.”
Miller went on to highlight the significance of the public consultation process now underway, regarding the introduction of Ireland’s new Sustainable Use Regulation.
“This issue is of fundamental importance to every tillage farmer in Ireland. So, I would heartily encourage everyone with an interest in crop production to take part in the public consultation,” he said.
“Submissions will be accepted up to January 20 next. IGG will be making its own formal submission to the Department of Agriculture in the early new year.”