Farm contracting has a long tradition in Ireland that evolved from the concept of working together. Contractors, like many of their forefathers, are today still leaders in adopting new technology systems and developing operational skills to ensure that the latest generation high-output machines perform to the best of their ability.

The Association of Farm & Forestry Contractors in Ireland (FCI) is a national group of farm and forestry contractors who have created a registered organisation that is run by contractors for contractors. The association operates as a fully registered, limited by guarantee company and now has a national office at Portlaoise Enterprise Centre, Clonminam Business Park, Portlaoise.

FCI is run along a regional structure and the eight regional chairs and secretaries are then also the effective executive council or board of the association. They decide the policy direction and prioritise the types of issues that are important to everyday contractors, because that is exactly what each and every one of them is. There is much debate around farm contractors, with ongoing discussion about the difference between a full-time or part-time contractor. There are varying estimates about the numbers of contractors providing services on Irish farms, and it safe to say that there are in excess of 1,000 operators in the sector.

According to FCI chair Richie White, “what nearly all contractors have in common is the skill and the ability to operate machinery to provide their farming customers with cost-effective machinery services”.

White adds: “These services are much more cost-effective for many farmers than ownership of even modest machines to do similar but lower-volume work. Contractors also provide skilled operators, who with experience have been able to adapt to new machinery and farming systems to maximise the machine performance”.

FCI is a member of CEETTAR, the European contractors’ association, and according to White FCI is the only contracting association that CEETTAR recognises in Ireland.

Current CEO Michael Moroney says: “We, in FCI, have defined the current generation of contractors as land-based contractors who are professionals/companies working on behalf of third parties to provide services for arable crops, livestock, forestry and local authority green spaces. They provide mechanisation services employing skilled operators and using the latest state-of-the-art and modern equipment in a sustainable way, for financial reward.”

Moroney added that most of the time FCI carries out its activities in rural areas, but this does not exclude operations in urban areas and cities such as the maintenance of green spaces and other earth-moving activities. FCI land-based contractors have become key players in the agricultural sector, in amenity and forest management.

Current issues for contractors

The issues that affect farm contractors will vary from year to year. The most significant issue is that of tractor-testing. FCI says the Road Safety Authority has confirmed to it that new regulations requiring tractors to be manufactured to operate at speeds in excess of 40km/hr will be required to have a regular roadworthiness test. The directive will be transposed into Irish law in May of this year and then become effective and operational in May 2018. Moroney says that this new additional cost burden of tractor ownership will affect farm contractors more than any other sector of farming. This is because farm contractors operate a higher proportion of tractors in the 40km/h+ category.

FCI believes that, currently, contractor fleets in Ireland account for about 30% of all tractors in use or 20,000 tractors. At least 20% of these are higher-speed tractors, rated at more than 40km/hr, and will be required to have a roadworthiness test four years after their first registration and every two years thereafter.

Richie White is concerned about the uncertainty surrounding a series of issues around the proposed tractor-testing system. For FCI, the important issue is why is there a test at all? White added that the Department of Transport has not consulted or liaised with farming organisations, especially groups most affected, such as farm contractors, prior to its proposed introduction in a matter of weeks.

The proposed test is being introduced for Ireland to comply with the EU Regulation Directive 2014/45. This claims that wheeled tractors with a maximum design speed exceeding 40km/h are increasingly used to replace trucks in local transport activities and for commercial road haulage purposes. Their risk potential is comparable to that of trucks, and vehicles in that category, which are used mainly on public roads, and should therefore be subject to roadworthiness testing it is claimed.

FCI does not think this is the case at all, and that tractors and trucks are in no way comparable in the potential to cause accidents on Irish roads. Michael Moroney analysed the most recent information on the numbers of accidents on public roads in Europe. It showed that just 1% of all fatal accidents will involve a tractor. That does not mean that the tractor is the cause of the fatal accident. Figures for the accidents on Irish roads are more difficult to obtain, he added.

FCI has called on the Minister for Transport, Tourism and Sport, Shane Ross to avail of the opportunity for Ireland to exclude the need for the test. The directive clearly states: “Member states may exclude the following vehicles registered in their territory from the scope of application of this directive: vehicles used for agricultural, horticultural, forestry, farming or fishery purposes only on the territory of the member state concerned and mainly on the terrain where such activity takes place, including agricultural roads, forestry roads or agricultural fields.”

FCI is seeking that the minister invokes this exclusion, so as not to add an additional cost burden on Irish farm contractors.

Labour scarcity

As the general economy starts to lift, land-based contractors are beginning to see the effect of this in terms of higher wage rates and a greater scarcity of skilled drivers.

Margins in land-based contracting are tight, meaning that contractors cannot afford to match the offers being touted in the re-emerging construction sector.

There are limited numbers of younger drivers coming on the scene and this situation is not helped by the additional regulations around the area of N and L plates. FCI has been active in this area also and is seeking clarification from the Road Safety Authority and the Department of Transport on the matter.

FCI says it is clear that a driver who has a W or works vehicle licence is then qualified to drive a tractor on the public road. Many tractors do not have second or instructor seats, so there is no opportunity to accompany that driver.

FCI also believes there is an anomaly whereby a person who has held a W licence for a number of years then applies for a B licence to drive a car. When that person is successful in securing the B licence, they are required to fit an N plate to the rear of the vehicle they are driving. If that vehicle is a tractor and trailer, for which there is no provisional W licence, the confusion is that there is no requirement to display an N plate.

For contractors, this is an additional issue as drivers switch trailers often in the field or yard. This may mean regular N or L plate changes to the rear of the tractor and trailer as the drivers change, which is impractical. This is important as it is also an offence to operate a vehicle with an N plate if you already possess a full driving licence for a period of more than one year.

FCI says it will be meeting with An Garda Síochána and the Department of Transport on this issue to clarify the position in advance of the silage harvest.

Competition

FCI knows that land-based contractors operate in a competitive environment in Ireland, where charges for work done will vary by region. Some areas are more price competitive than others.

FCI advises all contractors to be aware of their costs in order to establish the level of charge that they apply to their various services to allow for payment of staff, repairs and maintenance, a reasonable level of return for their labour, time and investment and to allow for a realistic depreciation rate to provide for the replacement of the machines.

The arrival of new smartphone-based technology systems for contractors has made recordkeeping easier in the field. Contractors need to use this type of technology to keep accurate records of time spent on various jobs in order to establish realistic costs.