Moves on EU beef support package offers 'a glimmer of hope' - ICSA

Reports that the Department of Agriculture, Food and the Marine has moved on an EU support package for beef farmers in light of current market challenges offers a “glimmer of hope” to the struggling sector, a drystock lobby group has stated.

Earlier today, AgriLand revealed that the department submitted “a detailed case” to the European Commission for support and exceptional aid – specifically for beef farmers – in response to current market conditions.

According to a Government source, the department made the submission for a “significant, multi-million euro fund” two weeks ago.

The exact figure has not yet been disclosed.

Losses

In a statement this evening, the Irish Cattle Sheep Farmers’ Association (ICSA) welcomed the development.

Edmund Graham ICSA Beef Committee chairman said: “In recent weeks ICSA has laid out the case for such exceptional aid to both the Minister for Agriculture, Food and the Marine, Michael Creed, and to the European Commissioner for Agriculture and Rural Development, Phil Hogan.

The evidence is clear that beef farmers have taken a big Brexit hit already. Losses are running at €4 million a week due to price cuts, and this can only be attributed to Brexit instability.

“Any EU beef support to alleviate the consequences of Brexit must be directed at those who have taken the hit – beef producers.

“While we await more detail on the support package sought, ICSA believes that beef processors have made beef farmers carry all of the can when it comes to Brexit instability.

Therefore, it is the beef farmer who must be supported by Brussels. Nothing less than €100 per finished animal will do as compensation for hard pressed beef farmers.

“In fact, the losses by bull beef producers are substantially higher. The most efficient way of dealing with what has happened so far is to pay beef farmers directly,” said Graham.

The ICSA representative acknowledged that there are “no easy solutions” to the Brexit mess.

“One thing is certain – unless there is a real urgency about securing this EU support package for Irish beef farmers, the sector will not survive the ongoing Brexit instability,” concluded Graham.

Multi-million euro beef fund

It is understood that the economic argument put forward by the department to the commission is “quite complicated” for a number of reasons.

These include: the fact that a “significant ask” for aid in the context of a no-deal Brexit is still on the table; that the threat of a no-deal Brexit is still very real, albeit the timeline has been deferred; the fact that the UK continues to be a member of the EU and by extension still has a seat on the EU Council of Agriculture Ministers; and in light of current beef price difficulties due to increased kill from the dairy herd and the overhang of last summer’s drought across the continent.

It is understood that the department is yet to receive a response from the commission on its latest submission.