Farmers warn cuts to farm schemes will hurt economy’s ‘leading sector’

THE Budget needs to recognise the key role of farm schemes in driving production and economic activity in the rural economy, according to the Irish Farmers’ Association.

IFA president John Bryan said: “It would be counterproductive for the Government to cut farm schemes, given the strong export performance of the agri-food sector this year.

“As it finalises Budget 2012, Agriculture Minister Simon Coveney and the Government must prioritise funding for the sectors that are expanding. Agriculture requires Government investment through funding for farm schemes, which are a critical support for farm income and production.”

He said farm households will be hit by increases in charges and taxes that flagged ahead of the budget.

“Any cut in farm schemes, which are a central part of income, would be a double whammy for households that are already under severe pressure. Farm schemes and investment programmes, such as REPS/AEOS, the Suckler Cow Scheme Disadvantaged Areas, Forestry and TAMS, are vital in underpinning agricultural production and maintaining farm viability,” said Mr Bryan.

Meanwhile, the Irish Cattle and Sheep Farmers’ Association (ICSA) has also called upon the minister to do everything in his power to protect the agri food sector in the forthcoming budget.

ICSA president Gabriel Gilmartin said: “December’s budget is set to be one of the toughest rounds of austerity in the history of the State but people cannot get carried away with the hyperbole and simply slash without realising the consequences.

“Farming has taken a disproportionate level of cuts over recent times and the same simply cannot happen in this budget, we have been an easy target for too long for cuts.

“Let’s face facts here, we have seen in recent weeks that the agri food sector continues to go from strength to strength with a 14% increase in exports recorded for the first eight months of this year compared with the same period of 2010. It makes little to no sense to pillage the only sector that’s leading the way in the economy.”