On June 20, EU member states agreed with the proposal of the European Commission to provide 50 million euros of support for Irish farmers, which can be added to national funds in order to receive a maximum of 100 million euros of support.

The creation of the fund reflects the Commission’s recognition of the particular challenges facing the Irish beef and veal sector due to market uncertainty and an unprecedented and prolonged period of low prices.

This exceptional measure, envisaged by the EU Common Agricultural Policy (CAP), will provide significant support to affected Irish farmers.

Due to falling prices, when profitability declined by 11–19% in the beef and veal sector last year, Irish authorities estimated that their beef farmers lost just over 100 million euros.

Irish Commissar for Agriculture and Rural Development Phil Hogan said: “This fund is a recognition by the European Commission of the particular difficulties faced by Irish beef producers due to a significant drop in prices and market uncertainty.

EU money, together with funds allocated by the Irish government, will protect the fragile but important agricultural sector. Moreover, the fund will provide direct support to affected farmers and ensure the long-term viability of the Irish beef sector. The Commission will continue to closely monitor the overall market situation. ”

After a formal decision by the Commission at the beginning of next month, the Irish authorities will have to develop criteria by the end of July within the established framework for the provision of assistance.

They should avoid distortion of competition in its distribution. One of the key objectives should be to ensure the long-term viability of the beef and veal production sector, for example, by developing new markets, introducing quality schemes or improving the environmental sustainability of farmers.