Farming News - ICSA: budget 2025 must focus on beef, sheep, suckler, and tillage sector viability

ICSA: budget 2025 must focus on beef, sheep, suckler, and tillage sector viability

ICSA president Sean McNamara has called on Minister McConalogue to stop the decimation of vital farming sectors and preserve the fabric of rural Ireland by delivering for low-income beef, sheep, and suckler farmers in Budget 2025. "Farmers in these sectors are counting on this budget to provide the additional support needed to remain viable and for future generations to even consider continuing in their footsteps," he said.

 

Mr McNamara was speaking following a meeting with Minister McConalogue and senior Department of Agriculture officials in Dublin yesterday afternoon (17 July).

He said, "Today, we gave the Minister an opportunity to do the right thing by cattle and sheep farmers. The numbers are stark in terms of incomes in these sectors, and in terms of the numbers choosing to exit due to lack of economic viability. The current perception should not suggest that the state would prefer these farmers to give up so that climate targets will be easier to meet."

"If these sectors are not supported, the consequence will be a further shift towards dairy farming. This will include suckler farms converting to dairying and supporting the expansion of existing dairy herds through contract rearing or land leasing. Both scenarios will inevitably lead to greater intensification, which will exert additional pressure on climate and water quality. If the Government is genuinely committed to meeting climate targets, protecting biodiversity, and improving water quality, then it must protect and support these sectors."

Outlining ICSA's key demands for Budget 2025, Mr. McNamara stated that the current National Beef and Sheep Welfare Schemes fail to provide adequate financial benefits to participants.

"ICSA contends that the current Beef Welfare Scheme lacks ambition and fails to instil confidence that the government is committed to maintaining current suckler cow numbers. The scheme, as it stands, does not provide sufficient farm income support for suckler farms. This is illustrated by the fact that only €14.2 million of the allocated €28 million was drawn down by suckler farmers in its first year. To add insult to injury, funding for the scheme was reduced to €20 million for this year."

"We believe that the scheme was badly designed and needs to be restructured so that the suckler sector can benefit properly from this scheme, which is supposed to provide badly needed income support for suckler farmers. For Budget 2025, we recommend increasing the funding to deliver €300 per cow when combined with the SCEP."

ICSA proposes that the scheme should offer options for a payment of €60 for meal feeding, a payment of €50 for two vaccinations, and a payment of €40 for myostatin testing and animal welfare protocols around weaning and dehorning. Additionally, the cap limiting payments to 40 eligible animals must be removed, as it unfairly disadvantages commercial suckler farmers striving for long-term sustainability.

For sheep, ICSA has proposed increasing payments to the sector, with a view to delivering a total possible payment of €35 per ewe when combined with the Sheep Improvement Scheme. This to include €7/hd per completed action in the Sheep Welfare Scheme, with dipping becoming a standalone optional add-on with a payment rate of €9/hd due to the increased prevalence of sheep scab.

ICSA is particularly concerned about the future of the beef finishing sector, which is crucial for sustaining the €2.7 billion worth of beef exports. The sector plays a vital role in utilising calves not destined for replacement in the dairy and suckler herds, making the dairy industry unsustainable without it.

ICSA is proposing support payments, including a €150/hd payment under a dairy calf to beef scheme focused on calf rearing, targeting not the breeders but those rearing the calves. Additionally, ICSA proposes a beef carbon efficiency payment worth up to €150/hd for feeding and weighing animals between 12-24 months, with the target of early finishing, to a maximum 150 animals, and a calf vaccination programme worth €50/hd.

Referencing the tillage sector, Mr McNamara said the Minister's commitment to pay €100/ha for crops planted in 2024, though welcome, is not nearly enough to stop the rot within the sector following some particularly challenging years. As part of ICSA's Budget 2025 submission, ICSA has proposed a €250/ha, five-year payment for tillage farmers.