ACA says 25% will change or give up in 2005
Con-acre and grazing prices declining by one third, and a 2005 surge in forestry on marginal land, are predicted by Mr Fitzsimons, in the ACA Farmers Handbook 2005.
Many of our larger, intensive farmers will benefit from the inflow of East European workers, according to the Cork based consultant.
“The availability of well paid jobs as a result of the Celtic Tiger has attracted labour away from farming, which has been identified as a significant obstacle to progress in the post subsidy era. The availability of suitable labour from within the EU may prove to be an essential component in re-energising agriculture to respond to the challenge of greater market opportunity.”
Mr Fitzsimons said REPS 3 is an opportunity to increase farm income by up to €8,550, equivalent to an extra 20,000 gallons of milk, 20 hectares of grain, 10 hectares of sugar beet, 30 suckler cows or 20 hectares of forestry. Uptake has been slower than anticipated, partly due to farmers opting to finish out five year REPS 2 plans before joining REPS 3. In many cases, REPS 2 land leases have not been renewed for five years, due to Single Payment uncertainties. Some farmers perceive the cost of extra compliance for REPS 3 as unjustifiable.
However, Mr Fitzsimons anticipates that REPS 3 participation will increase substantially, when farmers come to terms with the Single Farm Payment. “In the context of Cross Compliance and the Nitrates Directive, it is difficult to see how REPS should not prove attractive to most farmers,” he said.
“There is much debate about what the post-Fischler Ireland will look like. There is broad agreement however that many commercial farms will increase substantially in size. At the same time, vast areas of the countryside will be owned and farmed by people who have made a life style choice to live in the country side, but who do not expect to derive their principal income from farming.”
“I predict that two distinct groups of farmers will develop, a highly commercial efficient dairy, beef, and tillage farmer who will need cutting edge support on technical and financial aspects, and the second main grouping will comprise a larger number of part-time farmers who will require a socio-economic agri-environmental advisory service. It is vital that state funding continues to finance such support services, but I believe that the time has come to look at broadening the base to include private service providers. The REPS Scheme has proven that private consultants can deliver as effective a service as their state sponsored counterparts and are ready, willing and able to fill an expanded role.”
“I believe that farming would benefit hugely if both private consultants and Teagasc were permitted to compete on equal terms and that the funding of service delivery was given a broader spread.”
The Handbook 2005 is available for €18 including post and packing from O’Sullivan & Co, Bank House, Carrick-on-Suir, Co Tipperary.
