Ciaran Fitzgerald
Agri-food economist
Where is the vision?
It is important in the context of a general election (incoming) and against a Budget 2025 backdrop (Apple fund included) to reflect on two relationships: that of the agri-sector and the Irish Government; and that of the agri-sector and the Irish mainstream media. The ultimate objective should be to consider the future rather than to bemoan the past, but this does not always happen.
Noises and signals
It is my belief that the relationship with Government gives out the ‘signal’ (meaningful), while the relationship with the media generates a proportion of ‘noise’
(distraction). The former is more important, but they are not always exclusive, and the latter can be influential.
To meaningfully assess this – with the noise turned down – let’s review the guiding principles of the relationship between the Irish agri-sector and Government. The critical elements of this relationship are and will continue to be, based on the economic and social relevance of agriculture to the Irish economy, and making sure that the sector can address its climate and environmental challenges through scientifically validated efficiency measures.
The alternative to this will result in a dramatic reduction in the national herd, given Environmental Protection Agency statistics that confirm that Irish agriculture was responsible for 37.8 per cent of greenhouse gas emissions in Ireland in 2023. While there have been gripes about the extent of some measures of support for the agri-sector in Budget 2025 and, indeed, over the last four years, the ‘signal’ has been broadly positive. But this is at odds with the mainstream ‘noise’ that has been generated in that time. One of the main reasons for this, I believe, is because the national media has not addressed the economic relevance issue in any meaningful sense at all.
Government support
At its core, I would suggest that Government is signalling an intent to support constructively decarbonising the Irish agri-sector while maintaining and sustaining it. Transition policy for Irish agriculture is, thus, focused on delivering a more carbon-efficient and environmentally sustainable agri-sector and most critically a transition that still maintains a livestock-based sector that currently accounts for one job in 10 in the Irish economy. That’s 220,000 jobs across rural and regional Ireland, plus €18bn in exports annually and €20bn annual
expenditure in the Irish economy. The Government ‘signal’, in my view, reflects the current and future importance, socially and economically, of the sector but also that it is accountable for its actions and opinions, as the election process clearly demonstrates. This is in contrast to a chattering-class's position, which has largely dismissed the economic and social questions and, moreover, lacks real accountability. Any small fact check of recent outbursts will confirm the comfort of opinion without the discomfort of thought or fact.
Balancing the signal
In terms of delivering on this crucial nationally important journey to a lower-carbon future, there are several real-world challenges – in terms of the balance to be struck – here in Ireland, and across the EU. For example, can the increase in regulatory costs associated with reduced inputs and higher environmental standards in the evolving ‘green economy’ be recovered through better targeted supports in the next CAP? Maybe more wishfully, this can be achieved through a new deal whereby the price of food in the EU reflects the real costs of production (see October article), and so, underpinning future Irish and EU production in an economically and environmentally sustainable manner.
It is hugely important, in my view, to increase the information flow about the agri-sector’s unique economic and social bandwidth. This helps to counter the ‘noise’ and ensure that there is more balance in the coverage and the general debate. I don’t think it is helpful in that context, if the main, or sole public conversation about the performance of the sector is the annual release of the Teagasc farm income surveys and outlook reports. While this publication and the information therein has its place in terms of negotiation with Government and the EU in relation to low farm incomes, I believe the sector also has a range of other sources of substantial economic performance indicators that must be as equally highlighted.
The Annual Business Survey of Economic Impact published by the Department of Enterprise, Trade and Employment, consistently shows that the Irish agri-food sector is the biggest spender in the Irish economy across all industry, local and FDI. This should be at the heart of an improved communication focused on both the current economic and social relevance of the Irish agri sector and its sustainable future.