Farm Business Council Report July 2026
Budget 2027 Submission
The IFA Budget Lobby event took place on Wednesday 15th July in the Mansion House Dublin was well attended by both TD’s and Senators. The IFA submission has been received by the Department of Agriculture and Department of Finance. The IFA will meet with the Minister for Agriculture Food and the Marine, Martin Heydon, and DAFM officials on Thursday 23rd July to discuss the IFA Budget 2026 submission in detail. A further IFA meeting with Minister for Finance Simon Harris and Minister for Public Expenditure Jack Chambers will take place in early September.
Budget 2026 Priorities
- Increase in overall Agri Budget and no liner cuts
- €300/cow on all suckler cows
- €35/ewe to all breeding ewes & €45/ewe for Hill ewes
- Beef Calf from Dairy herds Scheme – €100/calf
- Beef Sustainability Scheme – €100/head for cattle aged 1-2
- Cost of doing Business supports
- Additional Accelerated Capital Allowances
- Residential Zoned Land Tax- Agricultural land should be removed from RZLT
- Ring fence Climate and Nature Funding to support investment on farm
- New SEAI Roof Top Solar scheme
- Increase in overall TAMs budget
- Tillage Supports and full payment for all SIM applicants
- Horticulture support scheme to alleviate cost of production including labour
- Sector Specific supports for Mushrooms & Potatoes farmers
- Pigs & Poultry- additional Tam’s grant supports and animal health measures
- Forestry supports
- SBCI Agri Finance fund
- Volatility mechanism scheme open to ALL farmers
- Restore ANC payment
VAT – Livestock marts
The reduction of the Flat Rate Addition VAT from 5.1% to 4.5% in 2026 has created a visible loss of vat for sellers of livestock through marts due to the discrepancy with the livestock VAT rate which remains at 4.8%. This is resulting in a loss of €2.85 per €1000 achieved in the sales ring. IFA have engaging with the Department of Finance on this issue, and this is a priority for IFA that this is resolved in the upcoming Budget27. Flat rate farmers selling animals to the factories or milk to co-ops processors has also seen their rate of flat rate addition reduce on their sales from 5.1% in 2025 to 4.5% in 2026 while commodity prices have fallen and the cost of production continues to rise.
Fuel Income Support Scheme
The Department of Agriculture, Food and the Marine (DAFM) have indicated that payments under the €85million Fuel Income Support Scheme will begin in late July. Payments to contractors will be later due to the paper based application system, envisaged to be in late August.
The Government announced the following restoration of excise duty and NORA rates to pre-reduction levels on Petrol, White Diesel and MGO (Green Diesel)
| Petrol | Diesel | MGO (Green Diesel) | |
| 1 September Excise and NORA | 9c increase | 10c increase | 2c increase (NORA Levy) |
| 1 October | 8c increase | 8c increase | No increase |
| 1 November | 5c increase | 7c increase | 2.7c increase |
| 1 December | 5c increase | 7c increase | 2.7c increase |
Fertiliser Cost
Despite Ireland and other members states calling for the CBAM to be paused on imported fertiliser, the EU Commission have persisted with the implementation of CBAM. It is adding c. €60 per tonne on many fertilisers used on Irish farms. While Global fertiliser markets have receded since the high of the Middle East conflict, prices to Irish farmers remain at inflated levels and are projected to be c. 25% higher for new season 2027 fertiliser in comparison with January 2026 prices.
EU Fertiliser Support Package
The EU Commission announced a support scheme to allow member states assist farmers with the high cost of fertiliser. This is a €540 million package that also allows member states to add national funds up to 200% in addition. Ireland’s share of this fund from the EU will be €15.3 million and the Government are permitted to co-finance this up to a total of €46 million. IFA are calling on the Department of Agriculture to ensure this co-funding is to the maximum permitted.
