Fears for farm machinery business
Farm Tractor and Machinery Trade Association president Edwin Pratt said the Fischler proposals were going to bring about changes on farms that will inevitably impact on their business.
“We need to plan our businesses on the basis of a future with lower numbers of farmers and with a less intensive agriculture,” he told the FTMTA annual general meeting in Abbeyleix.
Mr Pratt said the current proposals, if passed, will result in a serious downturn in the levels of activity in our business, but the exact position is difficult to calculate at this stage.
There are indications of a cut of 25% in farm prices over a five-year programme, while the milk quota regime is expected to last until 2014. The price drops being proposed are estimated to reduce income on farms by over 200 million per year.
Mr Pratt said the cereal sector is seen to be the hardest hit, due to decoupling, a carbon credit proposal and a cut in prices.
Cereal growers are dependent on farm machinery for cost-effective production. The FTMTA is naturally concerned for their future as a result of the proposals. “The likely drop in farm incomes is the biggest challenge facing us.”
