Minister accused of failing farmers with deal

The Minister for Agriculture, Mr Walsh, was accused of failing Irish farmers at the talks in Luxembourg this week by Mr Paul …

The Minister for Agriculture, Mr Walsh, was accused of failing Irish farmers at the talks in Luxembourg this week by Mr Paul Connaughton, the Fine Gael spokesman on Agriculture.

Mr Connaughton said the deal to which Mr Walsh agreed was particularly bad for farmers dependent on fattening cattle over the winter.

"As winter fatteners lost money last winter, despite a slaughter premium of £60 per head, it is difficult to see how they will be any better off next winter when that premium is being reduced to £36 per head," he said.

However, the Irish Farmers Association President, Mr Tom Parlon, praised the Minister for securing the reduced winter premium agreed at the talks.

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In a statement, he said the Minister has fought hard to retain the so-called "deseasonalisation" premium which is vital for winter finishers and the Irish beef sector.

"Mr Walsh must insist that it became a permanent support mechanism in the Santer Agenda 2000 negotiations. It is highly unsatisfactory that Ireland must negotiate this premium on an annual basis," he said.

While producers would be unhappy with the drop in the premium from £60 per head to £36 per head, which would reduce the level of support by 3p per lb, progress had been made in preventing the funding coming from other beef schemes, he said.

The Irish Creamery Milk Suppliers' Association President, Mr Frank Allen, welcomed the continuation of the support but expressed disappointment at its reduced rate.

However, he complemented Mr Walsh for achieving the retention of the principle of differential aid for the beef industry to off-set some of the higher winter production costs.

The organisation representing drystock farmers, the ICSA, also welcomed the retention of the premium but expressed disappointment at its reduction.

In his statement, the Minister said that the premium would be worth £16 million this winter to beef farmers.