Delegates attending the annual general meeting of Ireland's largest agricultural organisation, the Irish Co-operative Organisation Society, decided yesterday to participate in the new partnership programme, "Sustaining Progress", writes Seán MacConnell, Agriculture Correspondent.
The acceptance of the deal came at the end of a lengthy board meeting where strong opposition to taking part in the programme was voiced, according to the Director General of ICOS, Mr John Tyrell.
He said there had been complaints from the board members that the deal did not properly address the income problems being faced by the farming community at this time.
"However, a decision was taken to take part in the programme. It will be better to be in a partnership in the present circumstances where we can influence policy, rather than remain outside where the farmer will have no influence," he said.
The acceptance by ICOS, which is the umbrella body for the Irish co-operative movement meant that all the main farming organisations are now taking part in the programme.
Talks to encourage the farming sector into the agreement continued for a number of weeks after the acceptance of the deal by the Irish Congress of Trade Unions.
Yesterday, Mr Tyrell predicted that there was not a very bright outlook for dairy markets for the foreseeable future and pressure would have to be applied on the EU through government to have export refunds increased.
"The EU product prices are at or below intervention levels and stocks of butter and skim milk powder are growing. Despite an improvement in world prices for skim milk powder before Christmas, the EU price remains weak because the Commission has cut export refunds as the world price increased," said Mr Tyrell.
He said the weakening of the dollar and inflation in Ireland presented a real threat to the dairy industry in Ireland.
Both Mr Tyrell and Mr Dessie Boylan, the outgoing President of ICOS, called for serious discussions on the future of the dairy industry in the State.
"The Strategic Review of the Irish Dairy Sector, which was carried out by Prospectus Consultants, challenges our industry to improve its competitive position and develop in a way which responds to the market in order to develop and thrive in the future," said Mr Boylan.
Mr Tyrell said that "standing still was not an option" for the dairy industry now and ICOS was available to facilitate mergers and other ventures between co-operatives.
The election to replace Mr Boylan, who has led the organisation for the last four years, takes place at the end of June.