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IFA president Joe Healy has called for increased Government support for the establishment of producer organisations, which allow farmers to negotiate collectively with processors on issues such as quality bonuses.
The Department of Agriculture currently provides €1,500 towards legal advice to draw up a group's registration documents, and another €1,500 to help recruit members and plan their business.
The scheme is similar to the Knowledge Transfer model, with approved advisers including the IFA receiving the payments to assist producer organisations.
Processors and agents have used every trick in the book to pick off members of producer groups
The IFA said this was not sufficient and groups need ongoing support in the early years to keep going, as they can expect processors to quote lower prices and attempt to undermine advantages negotiated by the groups.
“We are also aware of numerous situations where processors and agents have used every trick in the book to pick off members of producer groups to see if they can divide and break up groups,” Healy said.
Regulations
EU and national regulations have changed in recent years to facilitate the creation of producer organisations in an attempt to balance the weight of processors and retailers in the food chain, especially in the beef sector.
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