Mixed reactions to Teagasc predictions

TEAGASC predictions have been rubbished by ICMSA, whose president Pat O’Rourke said a 40% increase in the average dairy quota size is predicted. No additional investment requirement other than the cost of extra quota was envisaged – a totally unrealistic and groundless assumption, according to O’Rourke.
Mixed reactions to Teagasc predictions

He said Teagasc once again has produced a report at a crucial time in EU negotiations which is not based on fact. Such reports were harmful to Ireland's case in negotiations. Already, a previous similar report by Teagasc was used by Commissioner Fischler against Ireland at the EU Farm Council, said Mr O'Rourke.

He said Ireland must seek full EU compensation for any reductions in the support prices for milk.

"On the beef side, the Teagasc report highlighted the substantial losses which calf and weanling producers would incur if the Fischler proposals on decoupling were implemented. This must be addressed by the Minister".

Macra na Feirme's new president, Thomas Honner, said the potential impact on young farmers is being forgotten in the rush to embrace decoupling. Young farmers who started farming after December 31, 2000 would have no decoupled payment entitlement.

"The Commission's planned national reserve for new entrants will not work if private trading of payment entitlements is allowed."

Mr Honner also expressed concern that large amounts of supports would end up in the hands of individuals who were not actually farming.

Fine Gael spokesman on agriculture and food Deputy Billy Timmins said the FAPRI prediction that 10% of farmers would destock and leave their holdings fallow is in complete contrast to what his party was told by Commissioner Fischler that to avail of EU payments, farmers would have to carry out some farming activity and not using one's farm was a non runner.

John Deegan, president of ICSA, which supports the CAP proposals, said Minister Joe Walsh must now change his strategy on CAP reform. "This study further vindicates the ICSA position in relation to the Fischler proposals".

Mr Deegan said the second FAPRI report leaves Minister Walsh with no other option but to support full decoupling and to look for concessions in relation to WTO, hardship cases, young farmers and modulation.

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