ICMSA Welcome Increased Powers For Agri-Food Regulator But Questions Detail.

Speaking on the announcement of increased powers for the Agri-Food Regulator, Mr. Denis Drennan, President of ICMSA has cautiously welcomed the Government decision to provide additional powers to the Regulator and expressed the hope that the proposed changes will to an extent lift the lid on who is getting what from the final consumer price.   For too long, mystery has surrounded margins and prices outside the farmgate and the impact of a downturn, look at milk prices at present, has always been passed back in full to the primary producer which was never sustainable and will not be sustainable into the future.

Farmers, Mr. Drennan said, are very clear, over decades, whether it is milk, beef and other meats, grains or vegetables, farmers have been critically undermined by the links further up the supply chain at critical times and successive Governments and indeed the EU has allowed this to happen with the result that many farmers have been forced out of business.   Everything goes up when markets are good whether its wages, bonuses, general costs but only the primary producer price goes down in the downturn and the additional cost incurred in the upturn have also to be catered for.   Farmers for too long have been used as the risk management and profit management tool and it cannot continue.

It is essential that the proposed additional powers for the Regulator delivers improved transparency along the food supply chain and let people see who is getting what.    It is quite clear from Teagasc and other analysis that farmers have been working with unsustainable margins for decades, it is there for everyone to see and we need similar clarity along the food supply chain and indeed, such powers should be extended to EU level.

Obviously, the success of this measure will depend on what is in the legislation and ICMSA has concerns in this regard and indeed, the Chief Executive of the Food Regulator will be addressing ICMSA’s National Council on Thursday (18^th December) and farmers will be very interested to hear her perspective on the changes.   Mr. Drennan expressed deep concern that the Regulator will only be allowed to request product data once in a 12-month period, this is hugely disappointing and how will it work for example with milk where the price of milk has dropped by over 12 cents in three months.   The Minister has let farmers down badly in this regard, farmers are expected to provide real time data to the Department almost on a daily basis and no effort is made to reduce the administrative burden on them but the Minister applies a different standard to the large corporates across the food supply chain, once in 12 months.   Will the Minister adopt a similar position for farmers?

Concluding, Mr. Drennan said, the 12-month rule is an obvious weakness in the Government decision and it needs to be addressed and the regulations should be introduced immediately, not pushed a year down the road.   The Regulator must deliver for farmers and critically, people need to know the real cost of producing food at farm level which has been underpriced for too long to the detriment of the primary producer.

ENDS  16 December 2025

Denis Drennan is at (086) 8389401.

ICMSA Head Office (061) 314677.