Dáil Éireann debate -
Wednesday, 10 Feb 1993

Vol. 425 No. 7

Written Answers. - Early Retirement Scheme.

Ivan Yates

Question:

361 Mr. Yates asked the Minister for Agriculture, Food and Forestry if he will clarify in relation to the early retirement scheme proposed for farmers whether the transferee has to own land, or have leased land, prior to the transfer from the retiring farmer; if the total holding of the transferee has to be greater than that of the donor farmer; when it is proposed to introduce the scheme if this is an EC condition which will exclude many family farm transfers; and if he will make a statement on the matter.

Minister for Agriculture, Food and Forestry (Mr. J. Walsh)

The EC aid scheme for early retirement from farming which was established under Council Regulation EEC/No. 2079/92 requires an increase in the size of agricultural holding of the transferee so as to improve its economic viability. As Community funding for the scheme will be provided only where an expansion has taken place, the intention is that the transferee must be in possession of some other land by lease or ownership prior to the transfer of land by the retiring farmer. The size of the transferee's enlarged holding resulting from the transfer need not be greater than the transferor's original holding but must be such as to be capable of reaching an acceptable level of economic viability.

It is considered that the enlargement provision laid down by the EC will not create undue difficulties for inter-family transfers. Details of the scheme to operate in Ireland are at present being drawn up by my Department and it is expected that the scheme will be introduced, following clearance by the EC Commission, by the end of the summer of this year.