IFA demands Government intervention to end ‘unviable’ selling of potatoes

Potato farmers are threatened by rising costs and a falling share of the consumer price, a conference has heard.

Irish Farmers' Association president Eddie Downey believes market prices in the €80 million industry is "unsustainable" and farm gate prices must rise as growers' incomes are "unviable".

Addressing the National Potato Conference in Dublin, he said retailers had making a mockery of the work and value of fresh vegetables with giveaway prices in the run-up to Christmas.

“The Government has a responsibility to deliver retail regulation which will restore equity to the food supply chain,” he said.

“Farmers are not getting the recognition or the reward for the investment involved in producing 370,000 tonnes of potatoes each year. Retailers will have to return a viable price to growers that cover their costs and gives them a margin. We have received numerous commitments from the Government on this issue; it is time for action.”

Current figures are simply unsustainable, he added.

“Costs of production are running at over €200 per tonne, while the producer is receiving much less than this. Potato growers’ incomes are unviable and the farm gate price of the product must rise as the price they receive from the market is the most important factor in determining their incomes.”

The growers’ share of the consumer price had fallen to 26 per cent from 36 per cent four years ago. This decline needed to be addressed urgently “if retailers want the security of Irish potatoes available to the Irish consumer,” he added.

Retailers should realise that potatoes carry a value in the minds of consumers and this must be reflected in what growers are paid,” he said.