Subsidies for Grain Cultivation such as Barley and Wheat in Ireland to Address 'Food Crisis'

[Photo by Reuters Yonhap News]

[Asia Economy Reporter Park Byung-hee] Major foreign media reported on the 22nd (local time) that the Irish government has allocated a budget of 12 million euros (approximately 16.1 billion KRW) to increase grain production and support farmers.

On the same day, the Irish government approved a plan to pay farmers producing barley, wheat, and oats 400 euros per hectare. Subsidies for corn and sugar beet cultivation are slightly higher, and farmers growing legumes receive 300 euros per hectare.

This move comes as concerns over the food crisis have grown following Russia's invasion of Ukraine. The Irish government explained that it has revived a system that was in place during World War II.

The Irish government aims to expand the cultivated area by 25,000 hectares through subsidy payments. Currently, Ireland's cultivated area is 300,000 hectares, which accounts for about 7.5% of the country's total farmland.

However, among farmers, there are criticisms that the subsidy amount is small considering the rising costs of fertilizer and fuel.

Matt Dempsey, who raises livestock and cultivates barley and oats in the southern part of Dublin, said, "There is no spare farmland," adding, "The fertilizer cost, which was 6,000 euros last year, has now risen to 21,000 euros."

Donald Scully, a dairy farmer in County Laois in the central region, said it is difficult to take the risk of converting pastureland into cropland to grow crops. He said, "Fertilizer prices have risen a lot, and there is nothing left over," adding, "Supporting fertilizer costs could be more helpful in increasing production."

Ireland depends on imports for about two-thirds of the grain it consumes. One-quarter of its fertilizer is imported from Russia, Belarus, and Ukraine, and one-third of its corn is imported from Ukraine. Most barley and wheat are imported from the United Kingdom.

The European Union (EU) Commission is also expected to announce measures to support the regional agricultural sector in response to the food crisis on the 22nd. The Commission is expected to announce a plan to support farmers worth about 500 million euros. It is also expected to introduce measures allowing crop cultivation on fallow land banned for ecological reasons and approve member states' plans for agricultural subsidies.

This content was produced with the assistance of AI translation services.