Agricultural sector needs greater support in fuel crisis
Rising diesel costs for farmers are cause of concern. Pic: Getty Images
Mayo councillors have said the farming community cannot be forgotten in the midst of a fuel crisis.
A meeting of Claremorris Municipal District heard the impact of spiraling agricultural diesel costs on farmers and industry.
“The only certainty here is uncertainty. While we are not in a fuel rationing situation at the same time there is huge cause for concern,” said Cllr Damien Ryan.
He welcomed Government intervention on home eating oil costs and the extension of the fuel allowance but believes agricultural diesel has been forgotten.
“I think it’s very important that something happens there as well. We can’t leave that industry behind. If you look at the week before the military action in Iran, agricultural diesel, including VAT, was 98c. It’s somewhere between €1.65 and €1.75 now depending on the the volume that you order. That’s huge, that’s massive. That’s not just about agriculture, that’s about industry at large,” Cllr Ryan stated.
“There needs to be an intervention from Government to deal with the massive spike in agricultural diesel,” he added.
Cllr Ryan was backed by his colleagues in the chamber.
“This is a very important issue for a lot of people and a lot of businesses,” said Cllr Michael Burke.
“The agri sector has been badly hit,” commented Cllr Patsy O’Brien.
He estimated that it would now cost in the region of €500 to fill an ordinary tractor.
The IFA recently met the Tánaiste and Minister for Finance Simon Harris and the Minister for Agriculture Martin Heydon alongside the Farm and Forestry Contractors in Ireland (FCI) to discuss the crisis caused by the spike in agri diesel in recent weeks.
The IFA say it wants the Government properly address fuel costs for farmers and agri contractors.
The Government has passed measures to lower petrol by 15c/l and diesel by 20c/l until the end of May. Green diesel will also be reduced by 3c/l, and the Nora levy will be reduced from 2c/l Carbon tax makes up 17c of the 22c tax on agri diesel. In the last two years, the carbon tax has increased by almost five cents per litre. It’s due to go up by 2.3c on May 1.
Farm organisations and some politicians said the measures will not go far enough to help farmers.
Experts are warning of a jump of up to 10% in food prices as a result of sustained input cost rises for farmers due to the conflict in the Middle East.
