According to ICMSA President Pat McCormack, the era of cheap food is over and people who are waiting or expecting food prices to return to their previous levels are “waiting in vain.” ..
At the peak of national economic dialogue, McCormack said food inflation would be “real” and consumers would “get used to paying the actual costs of food, both economically and environmentally.” Will have to consume. “
He said many of the concerns expressed about rising food prices were simply because consumers and retailers of businesses were accustomed to reverting their economic preferences to farmers and primary producers.
“Anyway, the era of’cheap food’has come to an end, but the Ukrainian invasion has greatly accelerated the process. Corporate retailers lose the ability to reverse quantity and margin, and the transition to sustainability is accustomed to paying the actual cost (both economic and environmental) of the food consumers want to consume. It means you have to, “he said.
That’s because IFA President Tim Cullinan sought new financial support to maintain food supply, employment and economic activity in rural Ireland.
He said government policy must reflect changes in the situation over the last six months.
“Farmers are currently in a crisis of input prices and need innovative financial support to maintain food supply, employment and economic activity in rural Ireland in the coming weeks and months. We allow pigs, cultivation and feed plans, but we need to do more. “
He said that Budget 2023 provides a real opportunity to show that this government understands the actual situation of Irish farmers in the field, removing all unnecessary uncertainties to the government and at least existing ones. Promote agricultural activities with all active taxation / intervention. Rural development balanced with asset transfer for at least the next three years.
“The largest cofinancing under CAP and the largest BAR funding for Irish farmers will not only help combat the current input crisis, but many will be in 2023 when the new CAP program begins. It also helps to significantly reduce the basic payments you encounter, “he said. ..
He also proposed to temporarily reduce the VAT rate on some produce. Excise tax suspension on agridiesel and LPG for use on farms to help reduce production costs at the farm level.
VAT exemptions and accelerated capital deductions will further support increased investment and the adoption of more environmentally friendly practices, supporting carbon-neutral climate change ambitions by 2050, he said.
He must also ensure that the Zone Residential Land Tax, introduced in the 2022 Fiscal Bill and coming into force from January 2024, will exempt all production farmlands currently and previously used for food production purposes. He said he had to.
