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Catherina Cunnane
Catherina Cunnanehttps://www.thatsfarming.com/
Catherina Cunnane hails from a fifth-generation drystock and specialised pedigree suckler enterprise in Co. Mayo. She currently holds the positions of editor and general manager at That's Farming, having joined the company in 2015.
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‘The total tax take on diesel is now 92.5c’ – Healy-Rae on fuel prices

“Act now because October will be too late,” – that is the clear warning Independent TD, Danny Healy-Rae, issued to the government during a debate on the price of fuel earlier this week.

On Tuesday, June 21st, 2022, he told the Dáil chamber that it is “clear” that many sections of our community are “suffering” daily because of “significant” fuel price hikes.

Fuel price

He said: “For people on the road, petrol costs €2.20/L and diesel costs €2.15/L. The total tax take on diesel is now 92.5 cent.”

“When diesel cost €1.20/L in January 2021, which was only a little over a year ago, the tax take was 53 cent.”

“The government has wriggle room. It [government] is taking in 40 cent extra. After the 15-cent reduction that it made a few weeks ago, it still has 25c to play with. That would mean a great deal to people on the road,” the deputy concluded.

FCI contractor rates

Last week, the Association of Farm & Forestry Contractors in Ireland (FCI)  published its revised and updated FCI Contracting Charges Guide 2022.

According to the association, its latest guidance reflects the “huge” increases in agri-diesel costs and machinery inflation, along with other “significant” input cost hikes.

Against this inflationary background, the FCI is “satisfied” that this revised averaged price guide continues to provide “fair and reasonable” guidance for farm and forestry contractors and their client farmers.

However, it stressed that all parties concerned must remember that this is only a guide.

The updated FCI Contracting Charges Guide for 2022 seeks to reflect the “huge” input cost increases that farm & forestry contractors face.

The FCI stressed that these alone are not restricted to fuel cost increases.

Furthermore, the revised guide also includes VAT on all charges quoted, as most Irish farmers are not registered for VAT.

The association highlighted that quoting charges inclusive of VAT for non-VAT registered farmers is “in line” with customer requirements.

It stressed that the actual guide charge may vary between:

  • Regions;
  • Across soil types;
  • Distance travelled;
  • Contract size;
  • Size and type of equipment;
  • Scale of work.

Read more on this.

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