A new report on the impact of the proposed Fischler reforms will be prepared for the Minister for Agriculture and Food, Mr Walsh, it was announced yesterday.
The report will be compiled by the Food and Agricultural Policy Research Institute which is comprised of Teagasc, a consortium of Irish universities and the Food and Agriculture Research Institute at the University of Missouri.
It has already reported to the Minister on the impact of decoupling direct EU payments from production on the industry.
That report was published on January 21st, the day before Dr Franz Fischler, the EU Agriculture Commissioner, published his wide-ranging package. It predicted an initial fall in production in the beef and sheepmeat sectors but said that by 2010, aggregate farm income would probably increase by 11 per cent.
The findings were rejected by the main farm organisations which sought another report covering all eventualities in the reformed sector.
As the steering committee of the policy research institute met in Dublin yesterday, the Department said it had sought an additional study. A Department spokesman said the institute had been asked to extend the report to cover the impact of "modulation", i.e. proposed cuts in direct payments on farming.
He said the team had also been asked to look at the possible impact of increased imports which would come as a result of the next World Trade Agreement.
Before the steering committee meeting, the IFA president, Mr John Dillon, had called for a fresh report from the institute as the previous report was based on totally unrealistic assumptions.