Carolyn Quinn: "It is yet to be ascertained whether the lifeline will be enough for those in need"

The emergency cash is compensation for the crisis in the farming industry caused by the ban on beef exports, the strong pound and the collapse of meat markets in Russia and eastern Europe.

Details of the scheme will be unveiled in the next few days by Agriculture Minister Nick Brown.

He is said to be still in tough negotiations with the Chancellor, Gordon Brown, concerning the final details and funding of the package.

Not all farmers will benefit from the aid package. It is aimed as a short-term measure to help mainly sheep and beef farmers, with extra help for hill farmers.

However, Mr Brown and the prime minister were also meeting privately with farming leaders at Westminster on Wednesday evening to discuss the state of the industry as a whole.

One of those attending the meeting was Ben Gill, president of the National Farmers' Union.

Mr Gill says farmers are desperate

He said financial assurance from the government was a much needed measure.

"We need to have that indication because people are desperate," Mr Gill said.

"The package itself is not going to redress all the income collapse... it's just a small part - but a very important part to allow us to address other issues and help the industry help itself."

Earlier this week, Mr Brown visited the south west of England, where beef and dairy farmers have been hit badly by the strong pound and the BSE crisis.

Many farmers are saying they badly need the government's help to cover their most basic costs.

They also criticise the government for being too slow to wake up to what they consider to be the worst farming crisis since the 1930s.