Boortmalt must scrap drying charge - Irish Grain Growers

The Irish Grain Growers Group (IGGG) has called on Boortmalt to scrap the newly introduced drying charge to its farmer suppliers.

The main reason for dropping the charge, according to the group, is as a result of where gas prices are now compared to when Irish Boortmalt management decided to introduce the charge.

"What's illogical to us is the way Boortmalt is imposing this charge. It only applies to grain delivered that has not been forward sold by the farmer - all grain delivered usually has to be dried for storage," an IGGG spokesperson said.

The cost of growing spring barley in 2023 must also be highlighted, they said.

"Teagasc just recently published figures where they had a real concern for spring barley profit margins.

"The majority of the crop was sown late with unkind growing conditions to follow.

"This comes on the back of reduced support from the new CAP for the majority of tillage farmers and land availability being driven out of the hands of tillage farmers due to nitrates and lower profit margins v dairy," they said.

This move, IGGG said, would potentially set a precedence for all other Irish grain buyers to impose which it is "vehemently" opposed to.

Tillage experts currently walking spring barley crops in regions predict yields as low as 2t/ac in instances, according to IGGG.

"As farmers should we tell Boortmalt that we will do likewise and insist on a surcharge of €20/t to €30/t to cover a fraction of the increases in machinery costs, fertiliser, inputs, fuel, labour, transport or weather losses? What would their reaction be to such demands," IGGG asked.