‘Woe, woe and thrice woe’

With the festive season now a distant memory, we wonder what lies in store for all those involved in agriculture for 2025 and beyond. I would like to predict a wonderful year ahead but it feels like we are entering a ‘woe, woe and thrice woe’ (as comedian Frankie Howard said in the TV comedy ‘Up Pompeii’ when doom was approaching) kind of scenario.
I will, however, try not to be too pessimistic, but we must face reality. This year will be a worrying time for the Irish economy, with Donald Trump’s presidency and the threat of his tariffs on imports, along with impending action against US companies who avail of our low rate of corporation tax. This, along with the European Commission’s kamikaze approach to the proposed Mercosur agreement and other trade deals, and we will need to batten down the hatches and pray it won’t be too rough a ride.
Farmers have lobbied for changes to Mercosur and the free trade agreements with New Zealand and Australia in an attempt to save the future of agriculture across Europe. How can farmers have confidence in the European Commission, which negotiates with Mercosur countries that have such disregard for climate change and the environment, while loading European farmers with unbearable and costly legislation in the name of saving the planet. The Commission’s own audit has stated it cannot guarantee that the beef imported from Mercosur countries will comply with the standards required by Europe.
In summary, because of the differences in standards and the cost of production, these countries have a huge advantage over European farmers. This can be measured by the fact that Mercosur countries can produce and fly their products around the world cheaper than European farmers can produce for the home or world markets, thus leaving European farmers at a complete disadvantage.

Questionable approach

This approach must be questioned. I have written before that it is my view the Commission is hell bent on reducing its Common Agricultural Policy (CAP) payments by importing cheaper agricultural products. One must seriously question this approach when the world has never been so unstable. War does not need to reach our shores for the supply chain to be disrupted with serious knock-on effects on our economy and cost of living; we are still suffering the effects of the war in Ukraine. I have said it before, this is a very, very risky path to take.
Our MEPs must stand up and denounce the agreement and vote against it in its present format and our government must lobby other members states to follow suit. The good news is, it would only take 15 Member States to reject the Mercosur agreement as it stands. This would give some hope to Irish farmers and agricultural contractors, who will be the biggest losers, facing a reduced income at a time when the Teagasc Farm Survey reports that beef farmers are unable to maintain viability due to low market returns.