The Irish Farmers' Association - IFA

Lobbying Organisation The Irish Farmers' Association - IFA

Date published 21 Jan, 2022

Relevant Matter Public policy or programme

Public Policy Area Finance

Period 1 Sep, 2021 to 31 Dec, 2021

Specific Details Green Party's Position in Supporting the Finance Needs of Irish Farmers

Intended results To highlight recent correspondence of Green Party MEP Ciarán Cuffe to the main financial institutions querying lending to young farmers. To seek that the Green Party leader would ask Mr. Cuffe to withdraw his correspondence immediately. There are a number of facts we wish to bring to the Ministers attention in relation to this vindictive correspondence - • Irish farm families are well accustomed to market volatility, and as evidenced by most recent COVID-19 challenges, are particularly innovative and resilient in sustaining food supply chains to meet ongoing consumer demand • Access to bank finance has been a longstanding and recurring challenge for many IFA members, particularly young farmers. Agri lending applications are currently exposed to high levels of stress testing (e.g. business stress; CAP stress; Brexit stress; reduced off-farm employment; interest rate rise etc.) and conservative projections when undertaking repayment capacity analysis. Lending is fundamentally based on cash flow generation rather than being asset backed lending. • For the Agri sector as a whole, total debt or outstanding balances have been in decline in recent years. The Central Bank of Ireland report that outstanding balances to the Agri sector, at c.€3.1bn end H1 2021, are back 41% (c.€2.1bn) from their peak in 2009. • Preliminary 2020 Teagasc National Farm Survey estimates suggest almost two-thirds (65%) of Irish farmers have no farm debt. Of those that do, average debt on-farm is sub €60,000. • Higher concentrations of dairy farmers have farm debt (64%), however averaging just c.€1,400/cow (roughly equivalent to current market value of a mature dairy cow), it is well below international norms (e.g. Netherlands; New Zealand), and indeed at/below past sector trend (e.g. €1,430/cow in 2015). Average on-farm debt on suckler beef farms, where held, is only €25,642/farm. On cattle finishing and sheep farms on-farm debt, where held, is only €38,634 and €30,894/farm respectively. Total cattle numbers nationally have remained largely static in recent years (June 2017 7.365m head vs. June 2021 7.359m), with decreases in the suckler herd (-c.141k cows) offsetting largely the increase experienced in the dairy herd (+c.172k cows). Average herd size since 2017 has increased 6 cows on dairy farms to 82 head; and decreased 3 cows on suckler beef farms to 23 head. The average herd size of dairy new entrants is 81 cows. To seek a reply on this matter.

Name of person primarily responsible for lobbying on this activity Tim Cullinan IFA President

Did any Designated Public Official(DPO) or former Designated Public Official(DPO) carry out lobbying activities on your behalf in relation to this return? You must include yourself, and answer Yes, if you are a current DPO or a DPO at any time in the past. (What is a Designated Public Official?) No

Did you manage or direct a grassroots campaign? No

Was this lobbying done on behalf of a client? No

Lobbying activity

The following activities occurred for this specific Subject Matter Area.

Letter (1)

Email (1)

Informal communication (2-5)

Designated public officials lobbied

The following DPOs were lobbied during this return period on this specific Subject Matter Area. These DPOs were involved in at least one of the Lobbying Activities listed above, but not necessarily all of them. As returns are specific to a Subject Matter Area the above Lobbying Activities may be associated with multiple returns.

Eamon Ryan Minister (Department of Environment, Climate and Communications)

Micheál Martin An Taoiseach (Dáil Éireann, the Oireachtas)

Leo Varadkar An Tánaiste (Dáil Éireann, the Oireachtas)

Charlie McConalogue Minister (Department of Agriculture, Food and the Marine)

Martin Browne TD (Dáil Éireann, the Oireachtas)

Jackie Cahill TD (Dáil Éireann, the Oireachtas)

Matt Carthy TD (Dáil Éireann, the Oireachtas)

Michael Collins TD (Dáil Éireann, the Oireachtas)

Michael Fitzmaurice TD (Dáil Éireann, the Oireachtas)

Joe Flaherty TD (Dáil Éireann, the Oireachtas)

Paul Kehoe TD (Dáil Éireann, the Oireachtas)

Brian Leddin TD (Dáil Éireann, the Oireachtas)

Michael Ring TD (Dáil Éireann, the Oireachtas)

Victor Boyhan Senator (Seanad)

Lynn Boylan Senator (Seanad)

Paul Daly Senator (Seanad)

Tim Lombard Senator (Seanad)

Denis O'Donovan Senator (Seanad)

Barry Andrews MEP (European Parliament)

Billy Kelleher MEP (European Parliament)

Chris MacManus MEP (European Parliament)

Ciarán Cuffe MEP (European Parliament)

Clare Daly MEP (European Parliament)

Colm Markey MEP (European Parliament)

Deirdre Clune MEP (European Parliament)

Frances Fitzgerald MEP (European Parliament)

Grace O'Sullivan MEP (European Parliament)

Luke "Ming" Flanagan MEP (European Parliament)

Maria Walsh MEP (European Parliament)

Mick Wallace MEP (European Parliament)

Seán Kelly MEP (European Parliament)