In light of the current economic climate, The Irish Farmers Association (IFA) in Wicklow has highlighted the fact that as farmers’ escalating costs drive up food prices, consumers may need to prioritise food costs over other luxury spend.
Treasurer James Hill commented that, “Food supplies are suddenly being threatened as farm inputs escalate in price – a tripling of fertiliser price and a doubling of fuel and energy cost, and machinery and every other cost showing very significant increases.”
“For the last 30 years people have become accustomed to a wide range of evermore affordable food. This has been largely due to globalisation of supply chain, together with cut throat competition between a decreasing number of supermarket chains. This has led to diminution of the proportion of income spent on food. Real farm incomes have suffered.”
As such, Hill emphasizes that perspectives will need to change.
He explained that while costs have been rising, farmers have had some compensation as prices of grain, edible oils, dairy, beef and sheep sectors have increased. But, not all farmers are getting this respite – with pig, poultry and egg producers, and those in the potato and mushroom businesses among the worst hit.
The treasurer said that, “Ultimately, consumers dictate how they spend their money. If they want an assured supply of a variety of quality produce they will have to prioritise food over consumer goods, fast fashion, leisure and entertainment until a balancing of world commodity and energy markets takes place.”