Seán Sherlock (Cork East, Labour) | Oireachtas source

I am taking this important matter on behalf of the Minister, Deputy Coveney, who wishes me to convey his apologies to the House regarding the fact that he is not able to be present to discuss it. I fully acknowledge the concerns that have been raised. We have all received visits to our constituency offices from farmers in recent weeks. I am aware that the Dairygold Co-op in my area is planning to import hay from the UK in order to try to alleviate the shortage. We are very conscious of the situation in which farmers, particularly those who live in more disadvantaged areas, find themselves at present.

The Minister has asked me to convey his acute awareness of the difficulties being experienced by some farmers as a result of recent unseasonable weather. The difficult conditions which obtained on farms last summer have been compounded by the extended winter. We acknowledge that the harsh weather of recent weeks has led to delayed grass growth and to increased demand for fodder and feed. Animals which, in normal conditions, would be on grass at this time of year have had to be kept indoors. While it is important to record that the outlook for our livestock sectors remains positive and that prices are relatively strong, it is clear that the conditions prevailing at present have resulted in short—term but significant management challenges. These include cashflow and credit issues - to which the Members opposite referred - for affected farmers who are faced with the burden of fodder shortages and additional feed costs.

In the context of the measures which can be taken to alleviate the problems on farms, the Minister urges farmers to contact their local Teagasc advisers. Where winter fodder is limited, Teagasc is providing specific advice and assistance on how to cope with the consequences of the weather conditions experienced this spring. Staff at all Teagasc offices are available to provide advice to farmers over the phone. Agricultural advisers are equipped and ready to outline the options open to farmers facing difficulties and to make plans which best suit their situations. Teagasc has also made extensive use of national and local media to provide farmers with advice and has co-ordinated with farm organisations, marts, local authorities, co-ops and other suppliers to provide targeted advice to all who need it. Advice for farmers on coping with fodder shortages has also been published, including guidelines to dairy and drystock farmers with little or no grass on feeding this spring. The Minister takes this opportunity to thank Teagasc for its efforts to date and asks that these be intensified in the coming days until the problems being experienced are alleviated by grass growth.

The Minister also notes that farm bodies have urged farmers to assess whether they have surplus fodder in stock and whether they are in a position to make some available to others in difficulty. These efforts are to be commended and the Minister echoes the call for those in need of assistance to be supported and urges people who have fodder to spare to be proactive in making it available to neighbouring farmers who are encountering severe problems. This is an occasion when solidarity is needed among the farming community. It is also the case that farmers have increased the usage of concentrates to fill the fodder gap. While addressing the fodder issue, in some cases this has resulted in problems with cashflow and access to working capital on farms. In response to farmers' concerns in this regard, the Minister has already written to the banks and will meet them shortly to highlight the extreme challenges facing farmers as a result of the weather. At that point, he will urge them to take a flexible approach to dealing with short-term credit issues. He will also write to the grain and feed merchants to urge them to be flexible during this difficult period.

It is important that financial institutions take into consideration the fact that while the current difficulties may cause cashflow pressures for farmers, the overall outlook for the sector is favourable. Commodity prices are very strong and the positive expectations for dairy, beef and lamb prices mean that farmers should see improved market return for their produce this year. The Minister would also ask that co-ops and others operating in the agrifood sector be sensitive to the particular difficulties being experienced by farmer suppliers this spring. The Minister recently announced an extension, to 15 May 2013, for the closing off of the traditional hay meadow measure in the agri-environment options scheme. He has allowed a deferral of one month to the closing-off date and this will help to maximise grass utilisation in the critical recovery period as the weather improves and grass growth resumes.

There is no doubt that the availability of forage on farms presents an ongoing challenge. The Minister has great confidence, however, in the resilience and ingenuity of the Irish farming community. The improvement in soil temperatures during the past week is very welcome and should see a return to more normal growth rates for grass and crops alike. This, together with relatively positive market conditions, should see a significant improvement in the situation in the coming weeks.

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