Macra has expressed serious concern following an Irish High Court ruling that has made potato and onion storage buildings liable for commercial rates, warning that the decision could have far-reaching consequences for farmers and horticultural producers across Ireland.

The ruling in the case involving Castlecor Potato Company and Tailte Éireann raises significant concerns about the potential for rates to be applied to other essential agricultural and horticultural storage buildings, placing further financial pressure on producers already facing high costs. These facilities play a vital role in protecting farm produce, maintaining quality and ensuring a reliable supply of food.

Macra president Josephine O’Neill said that farm buildings which are integral to agricultural production should not be treated as commercial premises for rates purposes.

She said: “Whether a farm building is used to house a bulk tank to cool milk, store potatoes or onions, or keep hay and straw, these facilities are essential to the day-to-day operation of a farm and have traditionally been exempt from rates under the Valuation Act.

placeholder image — Macra president Josephine O’Neill

“They are also critical to our food security, allowing producers to store and protect food and agricultural inputs.

“It is madness to me that the storage of potatoes and onions could be described as an act of processing.

“The issue of the potatoes and onions not being produced on lands attached to the buildings is also a bizarre conclusion to come to.”

Farmers and horticultural producers should not face additional costs for infrastructure necessary to protect their output and maintain a secure food supply.

Extending commercial rates to these facilities would create further uncertainty for farm viability and investment, particularly at a time when generational renewal and the future sustainability of family farms remain key challenges.

Macra is calling for urgent action to address the implications of this ruling and for the decision to be overturned on appeal, should the case proceed to the Supreme Court.

Essential agricultural and horticultural storage buildings must be protected from commercial rates.