THE MIDLANDS and the southeast have been hardest hit by recession where unemployment is running above 17 per cent in both regions, the National Rural Development conference in Tullamore was told yesterday.
Economic consultant Jim Power told 250 delegates from across the State that regional imbalances made the nurturing of rural enterprise an essential component of a sustainable economic model.
“At the end of September last, unemployment nationally stood at 13.9 per cent. It was 17.6 per cent in the southeast region and 17.3 per cent in the midlands. The figure for Dublin was 11.8 per cent,” he said.
He called for a radical reform of local authorities with the savings being passed back to business in the form of lower commercial rates and local authority charges. He said the recession should be used to improve the structure of the Irish economy.
Former secretary general at the Department of Agriculture John Malone said that despite fading from headlines during the boom, agriculture was now viewed in a new light as an important driver of recovery. He told the conference which was run by the National Rural Network, Teagasc and Leader, the programme to develop rural enterprise and create jobs, that rural areas had been hard hit by the recession.
He said one-third of off-farm jobs were lost in 2009 and Ireland was back to first principles in rural development, requiring a co-ordinated effort by all agencies to encourage an enterprise culture.
He said increased farm incomes last year would affect local economies nationwide this year as he expected farmers to have increased purchasing power.
Peter Quinn, the Fermanagh-based business consultant and former president of the GAA, said it did not matter whether there was a boom or bust economy, there would always be opportunities for small businesses.
“All that is needed in a rural area is for a small cohort of small businesses working well and this will generate a viable economy,” he added.
A senior researcher with Teagasc, David Meridith, said a study carried out by the organisation last year found 45 per cent of farmers were willing to diversify, and this was a change in recent years. He said most of the farmers willing to be involved were younger, with higher levels of education. He said only 4 per cent, or 5,000 farmers, were involved in diversification. In Britain the figure was 51 per cent.