NFS Results for Suckler and Beef Farmers Serious Wake-up Call for Government

IFA National Livestock Chair Declan Hanrahan said there is no hiding place for the Minister for Agriculture Charlie McConalogue or his Government colleagues as the National Farm Survey results from Teagasc lay bare the harsh realities of the income situation of suckler and beef farms, with suckler incomes dropping to the lowest levels recorded.

He said low incomes and a flawed approach to the CAP, which has drained supports from our most productive suckler and beef farmers, is leaving the entire sector in a very precarious situation.

Declan Hanrahan said the exodus from suckler production is evident for all to see.  If meaningful actions don’t happen, we will lose this vital national resource which is the bedrock on which our €3bn in beef exports is built and the lifeblood of rural communities throughout the country.

A drop of 15% in Family Farm Income in this already low-income vulnerable sector has brought incomes to the lowest levels ever recorded for suckler farms, a situation that is not sustainable and cannot be allowed to continue by the Minister for Agriculture and Government. The upcoming Budget provides the opportunity for this crisis to be addressed before it is too late.

“Suckler farmers depend on direct supports for over 230% of FFI. While the figures show an increase in the levels of the supports to the sector, the reality of how these supports are structured is contributing to the fall in cow numbers,” he said.

He said the decline of the suckler herd will only be stopped when the direct supports on the cow are brought to at least €300/cow in schemes that are practical to implement.  We have €200/hd in supports for the first 22 cows, but a significant chunk of these supports is eroded from costs, which is reducing the value of the supports and also hindering farmer participation.

Declan Hanrahan said beef farmers, who play a pivotal role in finishing cattle from our suckler herd and the surplus calves from the dairy herd, have been the most impacted livestock sector from the flawed flat earth policy of the current CAP, with their payments severely eroded and ultimately the viability of their enterprise. These farms experienced a drop of 19% in income last year, with almost 40% having a Family Farm Income of less than €5,000.

IFA has consistently called for targeted supports for farmers rearing and finishing cattle of €100 for the rearing phase and €100 for the finishing phase to underpin the viability of these farms and offset the impact of the CAP cuts on the viability of these farms.

“We have heard from the Minister for Agriculture and his Government colleagues how important suckler and beef farmers are to the national economy.  We have heard from all of our newly elected MEPs how much they value the job suckler and beef farmers do. It’s time to turn these words into meaningful actions.”

The IFA National Livestock Chair said our MEPs must urgently engage in the process of framing a CAP that is fit for purpose and supports the farmers of Ireland in producing food to the highest standards.

However, Declan Hanrahan said the most immediate actions rest with the Minister for Agriculture and his Government colleagues.  They must come forward with funding in the upcoming Budget to provide total targeted payments of €300/cow for suckler cows and cattle rearing, and finishing supports of €100/animal for both the rearing and finishing phases for beef farmers.