
Tom Murphy
Professional Agricultural
Contractors of Ireland
Stormy times ahead
As we head into the winter, agricultural contractors and farmers face an uncertain time. The next Common Agricultural Policy (CAP) budget has not been set and could drag on well into 2027. One thing we can be sure of is that if the CAP budget will, once again, be reduced, it will put more financial strain on farmers with the inevitable knock-on effects for agricultural contractors.
The continuing situation in the Strait of Hormuz and the Bab-al-Mandeb strait means there is no glimmer of hope that fuel prices will stabilise. And in addition, the cost of energy, manufacturing, and transportation, etc. will also increase. It’s worth noting that the Irish Road Haulage Association (IRHA) has already sent a shot across the bows of Government warning of fresh protests if plans to phase out temporary fuel support go ahead. Inflation is on the rise bringing higher interest rates, which will weigh heavily on contractors and farmers who operate on overdrafts for many months during the year. Most worrying, is a potential food shortage, because we as a nation are not in any way self-sufficient. Ireland, according to the Irish Grain Network, imports more than 80 per cent of all its fruit and vegetables. Sources indicate that more than 60 per cent of grain required for animal feed, and around 90 per cent of milling grain flour are also imported. That is a terrible indictment on our policy makers. Now is the time to call a meeting of the National Emergency Coordination Group to work closely with the stakeholders. All cards must be put on the table as to how the Government will deal with any impending crisis. before the irresponsible rabble rousers take to the streets again.
Sustainability
In the past, I have raised the issue of food security and sustainability, which seem to have been relegated by Government in the wake of other world crises. You don’t need a university degree to see the dangers. Successive Governments have ignored this, playing the short hand that might bring short-term monetary gain and popularity but can damage the economy in the long term. In simple terms, it means the average Joe carries the real cost when politicians kick the problem down the road.
The EU and our Government should be offering incentives to grow the food we need as a nation. That is real sustainability: subsidies to build massive greenhouses, with solar panels to produce our food; support setting up local food markets around the country where fresh food can be bought; giving the farmer a fair price while giving the consumer fresh produce and value for money. And I hear people saying this is not possible? Anyone lucky enough to holiday in Europe will have visited markets, offering an array of fresh fruit, vegetables, meats, cheeses etc. As we travel around, we see vast acres of glasshouses with trucks waiting to transport the produce around the world. Anything is possible. This is possible.
Following World War 2, Britain decided to implement policies for food self-sufficiency and food security with the Agriculture Act of 1947:
- It guaranteed fixed minimum prices to farmers for core products;
- It introduced deficiency payments if prices dropped below the guarantee;
- Under the assured market policy, the Government committed to buying up domestic agricultural output, so the farmer always had a buyer; and
- Intensive modernisation saw the State heavily subsidise modern farm machinery and farming methods to increase productivity.
In the period 1950-1970, self-sufficiency rose greatly, and by the mid-1980s, reached around 80 per cent. After Britain joined the EU, it fell to around 60 per cent. Why do I refer to this? Because it clearly shows that with a determined Government, change can happen. If Europe is really concerned about climate change and believes that agriculture is a major contributor, it must urgently rethink its agricultural policies and in doing so admit the lunacy of flying agricultural produce all around the world, and admit that doing this is a major contributor to climate change. That’s without going into the Mercosur agreement, the deforestation of the Amazon forest, and mining of components for electric cars.




