McCormack on the home straight
Pat became chair of the ICMSA Dairy Committee in December 2009: “I was six years in that role. During the last four of those years, I was deputy president and, after a further two years as deputy, I was elected president six years ago, come December. Farm politics and the challenges facing farmers have been coming hot and heavy in recent weeks and months and, without doubt, in the next few months there will be no slowdown. So, it will be full speed ahead until the election of my successor at the AGM in December.”
Reflections
Pat’s representative role had two distinct periods, reflecting the change in farm policy over that time, he said. “From 2009 to 2015 and beyond there was huge enthusiasm and optimism about the dairy sector with the opportunity to develop and expand after quotas were abolished. That was followed by active investment on dairy farms and in processing facilities. Unfortunately, over the past months, that enthusiasm has been drained and the challenges are clear around the difficulties of keeping the family farm vibrant and viable.
“We have seen the changes in the Nitrates Derogation, shifting from 250kg to 220kg and the likelihood that it will be very difficult to change that. Clearly, there must be some tweaks and compromises made to prevent serious damage to the viability of many dairy farms.”
Incessant criticism
Pat agreed that the constant criticism of Irish milk production is eroding confidence: “Farmers are doing a lot of work to manage their farms in an environmentally responsible manner. They are under pressure between the physical work involved as well as the management and the endless paperwork and compliance issues involved. We may be responsible for a third of the emissions, or water quality issues, but we are taking 100 per cent of the blame.” He said farmers are seen as a ‘soft target for criticism’ but pointed out that when there is a national challenge such as a snowstorm or a pandemic closedown, it is Irish farmers’ products that are most in demand.
“The first products to disappear from supermarket shelves are food essentials, whether that’s meat, milk, flour or vegetables,” he said. “It’s at these times that consumers prioritise the essentials. Food security is a huge issue and shouldn’t be undermined. We heard President Higgins talking about people changing their diets. The proven diet, over thousands of years prioritised animal-sourced protein as being essential.”
Quota abolition
The ICMSA president reflects on the game-changer of quota abolition: “In the run-up to abolition there was a huge apprehension for the family-farm model. ICMSA expressed that worry for a significant period. However, once the support mechanisms were reduced for European and Irish dairy farmers, there was only one approach to be taken.” And, quota abolition served rural Ireland extremely well since 2015, he said.
“Going back to 2009, when the country was driven into a deep recession, thousands of people were looking for work. If you look around rural Ireland today, anyone that wants work can get it. Thousands of young people at school or college can earn money milking cows during holidays or weekends. That has helped so many people finance their education and lifestyles. Farm contractors are another source of casual and permanent employment. There is more opportunity now than in the past 40 years. Dairy expansion at production and processing levels has driven economic growth in rural Ireland.”
The priorities ahead
Looking to the short-term and the upcoming budget, Pat said he would be disappointed if robust measures to alleviate volatility for the sole trader are not introduced. “Our proposal for a management deposit scheme would be a positive delivery. Recent milk-price reductions only highlight the fact that volatility has to be managed. Farmers are challenged by this, especially in terms of cashflow and pending tax liabilities. If a scheme had been in place 12 months ago, the finance would have been in place to cover the likes of tax bills.
“Managing environmental challenges is another big ongoing issue. Calf welfare is a priority. Something needs to be done around recognition of different crude protein contents in livestock feed. We need differentiation between the use of a 12 per cent and an 18 per cent protein feed that is then reflected in the kilogrammes of organic nitrogen per cow excreted.”
Lack of representative cohesion
Pat had this to say about farmer representation, and the recent meeting with the Minister McConalogue: “I have had a very good working relationship with the Irish Farmers Association (IFA) during my years as a farmer representative. I served on the Farmers Charter with various IFA representatives. We made progress together. Unfortunately, they decided not to go into that meeting with the minister. We went in about our business. We felt that our members were affected by the nitrates changes and needed to be represented. Regrettably, we were left with no choice only to pass a protest.
“Minister McConalogue needed to be told about the impact on farmers. When we came out, we treated the IFA with respect and engaged in media briefings later as to what happened at the meeting. I don’t believe there is anything to be gained from shouting at each other. It’s unfortunate there wasn’t more dialogue prior to that confrontation. The issues are too big. For the average herd owner, there is the prospect of upwards of 20 per cent herd reduction between changes in cow banding and the prospect of a 30kg reduction in nitrates by next January. Ultimately, we all stand shoulder to shoulder in defending Irish farmers.”
The stand-out moments
The Tipperary-based milk producer reflects on some of the stand-out moments of his ICMSA presidency: “I was heavily involved in the beef talks. The inclusion of the O3 and the 4+ were significant developments. I was alone in proposing those immediate changes, even though they were introduced six weeks later. It was disappointing that there was a lack of support on the day. For those farmers who finished those categories of cattle during that interim period, they suffered as a result of the delay in implementation.
“Coming back to quota abolition, that was, without doubt, a stand-out moment of my period as a farmer representative. There was €70m of a super-levy fine in the year before abolition. Despite that, there was a huge buzz as well as an understandable apprehension at the scale of change coming. The delivery, in terms of increased production and the development of additional processing capacity, ultimately built with farmers money, was a source of great satisfaction. The 2020 targets were met almost three years early. That’s success, by any measure. The national as well as the rural economies have benefitted and must benefit future generations. That’s why it’s so important to protect not only our generation of farmers but those coming after us. At a basic level, that includes the proposed 220kg derogation limit, if there is no concession on the reduction. I see any rolling back on the reduction as a huge challenge, but we must do our utmost to protect the viability of our farms and of rural Ireland.”