Govt Fuel Support Package Must Deliver for Farmers

IFA President Francie Gorman said it’s vital that the Government fuel support package announced today delivers meaningful cost reductions for farmers.

“At the end of the day, farmers sit at the end of the value chain and cannot pass on the massive increases in energy and fertiliser prices we have seen over the past two months. That’s why it is so important that the fuel support package delivers cost reductions to farmer, both directly via the 20 cent green diesel rebate scheme and indirectly by minimising cost increases in agri contracting services.”

The President also outlined how important it is that the fuel support scheme is easy to apply for, for both farmers and contractors, and that funds are paid out as quickly as possible.  

“This support scheme needs to be straightforward to apply for. Those who are heavy users of diesel, be it farmers or contractors, need this cashflow injection as soon as possible.”

“It is also clear that there appears to be no end in sight to the spike in oil prices; the Government has to be ready to extend these supports beyond July if the disruption to energy markets continues into the summer,” the President continued.

Francie Gorman said that further support is likely to be required, particularly on fertiliser.

“When you factor in the rebate scheme, green diesel prices are currently running about 15-20% higher than before the Middle East conflict, which is still a significant increase. But the price of fertiliser is up well over 50% and we have seen no support whatsoever from either or own Department or Brussels in trying to mitigate this.”

“We still have no move on CBAM despite numerous calls across Europe for its suspension. The Minister needs to either deliver on CBAM or else provide alternative supports to deal with the spike in fertiliser prices and ensure we do not have a situation where fodder and feed production across the country is compromised,” concluded the President.