The Ulster Farmers’ Union has welcomed the increase in the sterling value of CAP payments, describing this as a welcome boost for farmers as feed and other winter bills start to rise on farms across Northern Ireland.
The figure used to convert euro payments from Brussels to sterling will be 0.85228. This is up by 16.5 per cent on last year, thanks to the weakening of sterling. The weaker pound has also brought a welcome increase in some commodity prices.
“The combination of a better conversion rate and early payments will be a welcome cash flow boost for farmers at the end of that has been a very difficult year across all commodities,” said UFU president, Barclay Bell.
The UFU says it recognises that when CAP funds go into bank account there will be many demands on them, but it has urged those owed money by farmers to remain patient and allow time for the recovery now emerging to take hold.
Barkley Bell added: “We have secured assurances from banks that they will not grab CAP funds going into accounts to pay down debts more quickly. While we recognise that debt is a problem for everyone, we would urge other suppliers to the industry to remain patient.
“Farmers have a track record as people who want to pay off debts. They will do so again, and this boost in CAP payments will certainly help ease some cash flow pressures,” said the UFU president.”
