Taoiseach pressed to release income aid

By Des Maguire and Paul Mooney

The Taoiseach Bertie Ahern was urged to make an immediate response to the farm income crisis yesterday (Wednesday) by releasing £150 million worth of suckler cow, beef and ewe premia and Euro-compensation in January.

Mr. Ahern was met by IFA president Tom Parlon following the publication of C.S.O. preliminary estimates for 1999 which indicate that farm incomes this year will be down by 13.3 per cent on last year, much higher than expected.

The C.S.O. figures also confirm a decline in the value of all major agricultural commodities this year.

The IFA president told the Taoiseach that at a time when all other sectors of the economy were enjoying rising prosperity they were looking towards the Government for a supportive response.

He said that given the extent of the crisis confirmed by the C.S.O., clearance should be obtained from the E.U. for the pay-out of a further 20 per cent advance of the suckler cow and beef premium payments, as well as the third and final instalment of the ewe premium. This should be made in January to help the cash flow of farmers.

He also called for the immediate payment of the £27 million compensation due to the switch to the EURO which was announced last week and for the additional £14 million compensation for the EURO on the REPS and early retirement schemes

"At a time when other sectors are arguing about how much more they should be paid virtually all farmers are getting less," Tom Parlon told the Taoiseach.

All sectors hit

Farm incomes in money terms have fallen by £444 million or 22 per cent since 1996, on the basis of this week's C.S.O. figures. This does not take inflation during the period into account.

Farm incomes in 1996 exceeded £2 billion for the first time. This week's C.S.O. preliminary estimates for 1999 put agricultural incomes at £1.617 billion.

A comparison of the 1998 and 1999 figures shows that:

• The value of cattle output was down 8.2 per cent or £89.5 million.
• The value of pigs and sheep output fell by 10.4 per cent and 6 per cent respectively.