A €650m fund established in Budget 2019 should be dedicated to "Brexit mitigation" over the next three years, Food Drink Ireland said in its pre-budget submission.

The food processing body within Ibec has called for direct capital support for "companies looking to re-tool and re-invest in plant and machinery to produce product lines for new markets" and reduce their dependence on UK exports.

Innovation support

Food Drink Ireland also recommends additional marketing and innovation supports, including a paid internship scheme for PhD students helping food businesses identify new technical and commercial opportunities.

More specifically, the prepared consumer food sector will need more dedicated assistance to develop new products and markets before of its particular reliance on the UK, the pre-budget submission underlines.

Farm schemes

At farm level, food processors would like to see more incentives to produce renewable energy and continued strong funding for knowledge transfer, as well as rural development schemes including BDGP, TAMS and GLAS, "which all contribute greatly to efficiency and improved environmental performance of the sector must maintain a strong budget".

Staff shortages in the food processing industry, especially meat factories, "could seriously hinder industry capability in meeting its growth plans under Food Wise 2025," according to Food Drink Ireland.

While most recommendations here are not budget-related, the body calls for additional funding for enterprise-led training initiatives including skillsnet and apprenticeships.

Read more

Graphs: how diversified are agri-food exports ahead of Brexit?

Ibec demands a pre-accelerated capital allowance to prepare for Brexit