Oireachtas Joint and Select Committees

Wednesday, 8 March 2023

Joint Oireachtas Committee on Agriculture, Food and the Marine

Development of Sheep Sector: Discussion

Mr. Tom?s Bourke:

Spring lamb production, in particular early lamb production, is an expensive investment, whether direct or indirect, and it requires a huge labour investment, so a reward is required. Clearly, the religious festivals are kicking off from this month and buying has started for that, and we can see a strengthening price on the ground at the moment, which is certainly welcome. However, it is a long way shy of where it needs to be because, as the president outlined, we are 60 cent or 70 cent a kilo behind last year. Last year, we did not break even without the direct supports and our costs have not reduced in any way since then. There is a real concern that even though there is an expected strengthening in price based on the An Bord Bia analysis of the marketplace and the improved demand over the coming weeks and months, it still will not be enough.

These farmers who have made this huge investment of time and money need to get a clear direction of travel from the Government as to what level of support there is for them, for the work they do and for the value they bring to the broader rural economy. Decisions are going to be made for next year in the next couple of weeks and months. We understand the scheme may not be fully developed or worked out, but if there is a direction of travel or a strong indication that the crisis is recognised and going to be addressed, it needs to come sooner rather than later. The Senator is right. It is the farmers who have been on their knees lambing in the last 24 hours who need a direction of travel, and they need it sooner rather than later. Expecting a farmer to put in that level of work to produce food to the standard at which it is being produced for a return of €7 per ewe, all of which comes from the direct suckler welfare scheme payment - it will be the sheep improvement scheme this year - is not sustainable based on last year's costings.

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