Dáil Éireann debate -
Thursday, 28 Jun 1984

Vol. 352 No. 5

Written Answers. - Farm Modernisation Scheme.

275.

Mr. N. Treacy

asked the Minister for Agriculture if, in view of the quality of the land in the western counties and the many disadvantages which farmers in this area encounter, he will now direct both his Department and ACOT to re-categorise the large number of small farmers in the western area who have operated under the farm modernisation scheme since its inception, and who have failed to reach development or other status; if he will ensure that all farmers in the 12 western counties will be able to avail themselves of all grants through his Department provided they meet the necessary amended criteria; if he will allow a specific period of time to ACOT and the Farm Development Service to include the large number of farmers who have failed to get grants due to the suspension of the farm modernisation scheme in 1983 to be re-categorised now; and if he will make a statement on these matters.

276.

Mr. J. Leonard

asked the Minister for Agriculture if he proposes to review the farm modernisation scheme to include the category "others low".

Minister for Agriculture (Mr. Deasy)

I propose to take Questions Nos. 275 and 276 together.

The categories of farmers eligible for aid under the revised farm modernisation scheme are development, commercial and other (i.e. the category formerly referred to as "other high").

Applicants in the development or other category may remain in their respective categories for a maximum of six years (eight years in the case of development farmers in the disadvantaged areas).

Development and other farmers are being allowed an additional period of up to 11 months, to complete items of investment on their plans on 10 February 1983 which are still eligible for aid under the revised scheme. The additional period is in lieu of time lost during the period of suspension of aid for certain investments.

In view of the limited resources available it is not possible at this time to provide aid under the farm modernisation scheme to farmers outside of the categories listed above. However any farmer who is not eligible for the farm modernisation scheme on the basis of his present category is free to apply to ACOT for reassessment.

I would add that in the West of Ireland aid is available under the programme for western development and the western drainage scheme. Some farmers, who do not qualify for aid under the Farm Modernisation Scheme, may be eligible under these schemes.

277.

Mr. J. Leonard

asked the Minister for Agriculture the terms of the farm modernisation scheme for interest subsidy for farmers in the "commercial" category.

Minister for Agriculture (Mr. Deasy)

Aid to commercial farmers under the farm modernisation scheme is by way of an interest subsidy equivalent to a 15 per cent capital grant. The subsidy is available for approved investment in land improvement, farm buildings and fixed assets and will be payable directly to the farmer in 14 instalments, with interest, over seven years — payments to be made on 1 May and 1 November each year. It is expected that the first payments will be made on 1 November, 1984.