The Taoiseach, Leo Varadkar, has highlighted the “acute difficulties” in the agriculture sector during a meeting of European heads of state and governments.

Speaking after a video conference meeting of the European Council, the Taoiseach outlined the impact of Covid-19 on Irish farming and food processing, due to what he said was a collapse in exports and prices.

The Taoiseach called for “urgent financial support” for farmers, under the provision of the Common Agricultural Policy (CAP).

At the council meeting today, Thursday, April 23, EU leaders endorsed a economy-wide package for the bloc to “chart a path towards economic and social recovery”, worth up to €500 billion. Leaders asked that the package be operational by June 1.

At the meeting, the European Commission stated its intention to undertake a sector-by-sector analysis – including for agriculture – on the economic impact of Covid-19, so as to “better target supports for recovery”.

A possible recovery fund was also looked at during the meeting.The council members asked the commission to look into how such a fund could be linked to the forthcoming EU budget, the Multiannual Financial Framework (MFF).

Farm organisation response

The move by the Taoiseach to highlight the pressure on the Irish agriculture sector was welcomed by the Irish Farmers’ Association (IFA).

Tim Cullinan, the association’s president, said it was important that the Taoiseach raised the need for further support at the council meeting.

“The package announced by the EU Commissioner for Agriculture is a long way short of what’s needed, given the major collapse in exports and prices that agricultural markets have taken,” Cullinan said.

Our Government needs to increase the pressure at EU level for a much more substantial financial package, including direct payment aid.

The IFA president added: “Additionally, the Government must also look at its own resources to help beef farmers. State aid limits have been increased which would allow our Government to step in and help beef finishers in particular, who are being wiped out financially at current prices.

Cullinan called on Minister for Agriculture, Food and the Marine, Michael Creed, to “immediately introduce” a direct aid scheme for beef finishers, utilising unused funds from last year’s Beef Exceptional Aid Measure (BEAM) scheme.