Significant progress has been made on a number of issues relating to agriculture in the government formation talks between Fine Gael, Fianna Fáil and the Green Party, the Irish Farmers Journal understands.

Speaking to sources close to the talks, the Irish Farmers Journal understands the three parties are close to agreement on the delicate issue of nitrates.

It’s understood the Green Party had asked civil servants in the Department of Agriculture to map out potential scenarios of what would happen to Irish farming if nitrates limits were cut by up to 40%.

Softened position

However, the Green Party’s delegation has since softened its position on nitrates and a compromise agreement is close to being agreed that would see the development of a voluntary nitrates reduction programme similar in design to the very successful ASSAP water quality programme.

Agreement is also close on a new biodiversity improvement programme. As reported in this week’s Irish Farmers Journal, a new REPS scheme could be on the cards under the next government.

Fine Gael negotiators are proposing that carbon tax revenue be dedicated to a new agri-environmental programme, described as “REPS mark II”.

It would see farmers rewarded for reducing emissions from their farm, enhancing biodiversity, improving water, soil and air quality and planting forestry rich in native species. The carbon tax is set to bring in €600m per year by 2030.

Live exports

While significant progress has been made on nitrates and biodiversity issues, the Irish Farmers Journal understands that all three sides have some way to go to find agreement on live exports and animal welfare.

The Green Party is pushing hard for a total ban on all live exports to countries outside the EU, describing it as a “red line” issue.

Almost 33,000 cattle were exported from Ireland to countries such as Egypt, Libya and Turkey in the peak year of 2017, with 24,000 exported last year.

The UK would be designated a third country for Europe by the WTO should there be a no-deal Brexit at the end of the year. This could complicate live exports across the border with Northern Ireland and no solution has been proposed for this major hurdle.

Methane

The other major issue that remains to be agreed by the three parties relates to emissions, specifically methane in the case of agriculture.

The Irish Farmers Journal understands this issue has been moved away from talks on agriculture and will be agreed as part of a deal on overall emissions reductions targets.

Sources close to the government talks have mooted the idea of separate emissions reductions targets for methane, similar to what has been agreed in New Zealand.

While this would acknowledge that methane is different to other greenhouse gases in terms of its lifespan, it would not mean a free pass for agriculture and could likely result in binding reduction targets for methane emissions from cattle.

Programme for government

Overall, the three political parties have made significant progress on some very tricky issues in the last couple of days and negotiations will continue over the weekend. It’s now likely a programme for government document will be published early next week.