The revision of the reference costings under the Targeted Agriculture Modernisation Schemes (TAMS), have been described as "hopelessly short of what was required" by the Irish Creamery Milk Suppliers' Association (ICMSA).
According to the organisation, an opportunity to modernise TAMS and make it fit for purpose has been 'spurned', as the Department of Agriculture, Food and the Marine (DAFM) announced lower than expected increases in the reference costs.
The chairperson of the ICMSA's farm and rural affairs committee Denis Drennan, said that all those interested in copper-fastening Irish farming in a leading position of economic and environmental sustainability would be disappointed.
"Steel, concrete and timber are all rising on a weekly, if not daily, basis and year-on-year would all be in the high double-digits of increase," he said.
Drennan added that he doesn't believe that anyone in Ireland can think an increase of 5%-15% will come close to covering the significant rise in construction costs.
The ICMSA chair has also raised questions over the department's ability 'to do a simple calculation' on rises in construction materials versus the grant rates being provided for them.
Drennan also commented that there was a contrast between the government's response to the crises in the pig and poultry sector versus the 'low and slow' response to the dairy side of TAMS.
According to the ICMSA, the revised costings will inevitably have to be revisited and revised upwards. It said that "it would save time, and restore the department's credibility, if this was done sooner rather than later".