Mattie McGrath (Tipperary, Independent) | Oireachtas source

The Minister present is the Minister for agriculture. We are talking all the time about the crisis in agriculture due to the weather. The Association of Farm and Forestry Contractors of Ireland has been appealing to the Minister and the Minister for Finance not to go ahead with an increase of 2 cent per litre, plus VAT, on agricultural diesel on 1 May, which is next week. The estimated cost to the farm contractors is €10 million. The association added that it will not be possible to pass on the increase to farmers because, as we know, they are struggling already. It brings into question the future viability of agricultural contractors and raises the issue of whether farmers will have enough fodder next winter. There is a ripple effect all the way along. We are rubbing our hands saying we will do something for farmers, yet we are imposing a carbon tax on 1 May, in addition to removing the rebates. This is putting the whole industry, including the farm and forestry contractors, in jeopardy because they will be unable to provide the services given the extra costs, which will result in a shortage of fodder next winter.

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