Reacting to the announcement from the EU Commission that it is
re-introducing Aids to Private Storage for pig producers, IFA Pigs Chairman
Tim Cullinan said the market measure must support the price of pigmeat and
deliver an immediate price increase back to farmers. However, he said this
was not a long-term solution for production.

“An immediate introduction of the scheme may put a floor under EU markets by
removing excess product thereby bringing about price increases in
 countries.”

Mr Cullinan said the introduction of export refunds when this meat is
released is vital.  There is a real danger that even if the release is over
a considerable time frame , a negative impact on the market will be
experienced.

He said, “Long-term realistic prices are vital for the future production of
pigs in Ireland.  Any measures implemented must ensure that a viable price
covering the cost of production and a margin is achieved for producers who
are under severe financial pressure because of rising feed costs and credit
restrictions.”

Mr Cullinan said a significant price increase for the primary producer is
needed to stem the losses on farms and to safeguard pig production in this
country.

Concluding, he said IFA would be seeking a commitment from the banking
sector that farmers would be supported through this crisis.