The current method of revising costs for farmers applying for TAMS is “not working” according to the Irish Farmers’ Association (IFA) rural development chair Michael Biggins.
His argument is that farmers who apply for TAMS Tranche 25 can’t be expected to work off costings that are 12 months out of date.
“We are seeing an unprecedented rise in inflation, meaning the price of building materials such as steel and timber has soared,” he said.
He added that the current costings, which were updated as far back as March 2021, “are completely out of line with the price of materials today”.
This, he said, is making it impossible for farmers to begin their projects.
Michael Biggins said the Department of Agriculture's current system of revising costs is not able to cope with the pace of changes in the price of materials.
“The war in Ukraine has stretched supply chains to breaking point.
“Even the most recent revision last November is hopelessly out of date, and that isn’t available to farmers applying under this tranche,” he said.
Farmers are being forced to work with reference costs which are completely out of date
He added that at a recent meeting with the Department of Agriculture, the Department confirmed to IFA that the revised reference costings prepared in November would be implemented for TAMS Tranche 26 which is due to open on April 9th.
However, Biggins has said that recent events have overtaken that revision.
“Farmers are being forced to work with reference costs which are completely out of date,” he said
He argued that this means they won’t receive a rate of grant that is reflective of the actual cost of investment incurred.
Michael Biggins called on the Minister of Agriculture Charlie McConalogue to:
SHARING OPTIONS