BYGONE DAYS: Union is left ‘devastated’ as new EU aid package is revealed

The total value of the package to Northern Ireland was around £14 million, which represented only 20 per cent of the funds available under the European Union mechanisms to offset the effects of Green Pound revaluation and lower producer prices.

UFU president Walter Elliott said that, while the union welcomed the recognition of the position regarding suckler cow producers through a top-up on Suckler Cow Premium and the Hill Livestock Compensation Allowances, “we are devastated and outraged that the case for Green rate compensation presented by the unions for other sectors, especially beef finishers, milk and arable producers, has been ignored.”

He added: “The agri-monetary compensation is designed to offset the income losses incurred following successive revaluations of the United Kingdom’s Green rate in 1997.

“For example, the beef price follows the intervention price, which is automatically reduced by revaluations.

“Yet government has blatantly disregarded the interest of this hard-hit sector.

“Other member states recognise this position by making available at the least the EU component of agri-monetary compensation to beef, dairy and arable producers when faced with revaluations of their own respective currencies.

“Equally disappointing is the omission in the package of support for other sectors. For example, pigs and poultry, which are not covered by the Green rate compensation mechanism but which, nevertheless, have suffered significantly due to the strength of sterling.

“The union however also welcomes the small assistance to sheep producers under the HLCA scheme and also the signal that the government will explore the merits of introducing an EU early retirement scheme,” added Mr Elliott.

He continued: “The union will be considering, in conjunction with the relevant UFU committees, and the other farmers’ unions, what action is now appropriate.”

Sir David Nash, president of the National Farmers’ Union for England and Wales, reminded the government that huge losses being suffered by the whole industry would mean that the package would only answer “a minor part of the problem”.

All sectors of agriculture were facing a continuing crisis. Against a background of farming businesses across the country being driven into the ground, Sir David had also pledged that the NFU’s ‘Keep British Farming’ will continue.

“The government’s funding package will be a lifeline to some individual farmers and we are very grateful,” said Sir David.

“Nobody could believe that this resolves the crisis facing the farming industry. Many farmers are gazing into a total abyss and will go out of business.”

Sir David said: “A retirement package for farmers has been a long-term aim of NFU policy for some time. We welcome the invitation to discuss this issue with the government but, on the face of it, the current schemes available from Europe would not meet the objectives which the government has set.

“Overall, Britain’s farming industry needs to see consistency in the words and deeds that the government does sense, feel and care about the rural community.

“We all believe in the need for reform and welcome the minister’s statement that this has to be dealt with right across the European Union.

“It is vital not to solely penalise British farmers in order to temporarily satisfy Treasury demands. This could well cost the taxpayers and the country dearly in the years ahead.

“For this reason, the NFU’s campaign to keep British farming goes on.”

The lone voice welcoming the special aid package, “predictably,” noted Farming Life was the Ulster Farm Minister Lord Dubs.

The minister said: “I am glad the government has been able to make this package available for farmers who are going through a difficult stage at the moment.”

He continued: “This is particularly the case in Northern Ireland where the beef export ban is having a very significant adverse effect in farmers’ incomes.”

The package, which was announced in the House of Commons by Minister for Agriculture Dr Jack Cunningham, was worth a total of £85 million.

Lord Dubs told Farming Life that the exact division of the money and, “indeed Northern Ireland’s share”, had still to be worked out.

“This will depend on securing agreement in Brussels to the payment of agri-monetary compensation and on the schemes to which it might apply.

“However, it is likely that Northern Ireland will received approximately £14 million.”

Lord Dubs added: “The government is continuing to press to have the beef export ban lifted and I am hopeful the proposals will come forward for this early in the New Year.

“We have also managed to have intervention restored for Northern Ireland, no change in the intervention grades and a smaller than expected reduction in weight limits.

“I very much hope that the result of all these, including the financial aid, will enable farmers to survive this very difficult period and that better times will lie ahead next year.”