The Irish Farmers' Association will hold an emergency meeting of its national executive on Sunday to discuss the impact of the CAP reform proposals on the sector.
The meeting will be held before the first round of negotiations on the proposals in Brussels on Monday.
At that meeting of EU farm ministers, the Minister for Agriculture and Food, Mr Walsh, will represent Ireland's interests.
Meanwhile, as the far-reaching proposals are being scrutinised, the Fine Gael spokesman on agriculture, Mr Billy Timmins, said he feared the reform proposals were "a Trojan horse".
Mr Timmins said farm numbers would face a rapid reduction and the landscape of Irish farming would be dramatically changed if the reforms were fully implemented.
"Farmers and related industries bought into the deal from 2000-2006 and now they are being asked to about-turn and adopt a diametrically opposed policy of area based payments instead of direct payments," he said.
"Reforms may, on the surface, contain some attractive proposals, but overall I fear it may be a Trojan horse, with the main components liable to change the Irish agricultural landscape negatively," he said.
The 20 per cent decrease in direct payments contrasted sharply with the concept of public-sector benchmarking, and it was important that the Government co-operate with like-minded states in an effort to reject these proposals and reforms, he said.
The Labour Party spokesman on agriculture, Mr Jack Wall TD, said the proposals struck a reasonable balance between the need for enhanced rural development and the future viability of Irish farming.
However, the issue of declining farm incomes and the detail involved in decoupling and modulation would need to be addressed in the discussions with the EU on the new proposals in coming months.
He said Mr Walsh must explain where the funding for rural development would go if the Fischler proposals were accepted.
He feared that if the proposals went ahead, the funding might be used as a "political slush fund" to counteract dissatisfaction with the Government rather than given back to the farmers who had lost out.
The executive director of Oxfam, Ireland, Dr Brian Scott, said the European Union would be making a terrible mistake if it botched what was its best chance to reform the CAP, which had been devastating the livelihoods of millions of small farmers around the world.
He said the reforms offered a historic opportunity to lay the foundations of a new CAP which would be both sustainable and fair to developing countries.
"If the EU decides to continue supporting intensive farming and does not make a firm commitment to eliminate export subsidies, European taxpayers will be coughing up €40 billion a year to sustain a CAP with no internal or external legitimacy," said Dr Scott.
The Green MEP, Ms Patricia McKenna, said her party welcomed the general direction taken by the Commission in the reform package, especially the linking of direct payments to food safety, environmental standards and animal welfare.