A delegation from the Irish Co-operative Organisation Society (ICOS) met with Minister Martin Heydon in recent days to discuss its pre-budget submission.

Edward Carr, ICOS President urged the Government to recognise the very significant business uncertainty and volatility affecting the farming and co-operative sector ahead of the budget in the autumn.

He stated that “the extremely high cost of doing business and particularly the costs linked to the current crisis are being experienced right across the agri-food chain from farm level to food processing and farm services.”

“Farmers are bearing the brunt of cost inflation, which has impacted feed, fuel and fertiliser prices, while market returns are experiencing a period of downward pressure and farmers are now having to manage a very challenging period of dry weather. This is adding extra cost and labour pressures. In addition, the sector must deal with complex regulatory, environmental and generational renewal pressures, which require targeted action.”

Edward Carr continued, “ICOS is calling on the Government to retain the funding unallocated under the fuel support scheme for the farming sector due to the unprecedented challenges it is facing.  We outlined to Minister Heydon the importance of co-funding the EU fertiliser package to provide meaningful support to farmers given the risks associated with fertiliser availability, price volatility caused by the Iran war and the ongoing closure of the Strait of Hormuz.

“The conditions of the fuel support scheme steered support towards the heaviest users of agricultural fuels which meant not all farmers applied for support. That said, the funding must be retained for the sector. In a similar way to fuel, fertiliser prices are equally elevated and remain exposed due to the unfolding situation, which must be recognised and acted upon.”

Edward Carr thanked Minister Heydon for a constructive meeting in which ICOS raised its key priorities ahead of Budget 2027.

Mr. Carr added that “the Government must urgently address the funding challenges facing the Farming for Water EIP and the TAMS programme for slurry storage to protect the future of Ireland’s Nitrates Derogation.”

“ICOS is open to working with the Minister to address the income volatility challenges facing the sector. It must also be noted that we remain very disappointed by the unwillingness of Government to engage in the development of a new taxation measure to address the extreme fluctuations in income experienced by primary agriculture, which is unique compared to any other sector in the economy.”