In regard to the operational programmes which will be put into effect shortly under this national plan, agriculture will continue to play a central role in the rural economy in Ireland for the forseeable future but the full exploitation of rural potential will be dependent on the degree to which we succeed in integrating agriculture into wider rural development.
The National Development Plan will play a vital role in this because there will be major investment available under the plan. For example, under the current operational programme for rural development we have begun the process of encouraging the development of farm diversification and other off-farm activities for farmers and rural dwellers in general with a view to increasing the income levels of those who live in these areas. The measures to which I refer include livestock enterprises such as sport horses, deer, horticulture enterprises, agri-tourism and farm relief services, as well as a whole plethora of other good ideas and opportunities that come from the farm communities. All of these measures are contained in our programme which, as I have already indicated, is under negotiation with the Commission at present.
While on the subject of rural development, I will refer briefly to the Leader programme. Leader has certainly captured the imagination of people living in rural areas and they feel they now have some say in the development of their local communities and how those development programmes are to be brought about. Those of us at central level recognise that genuine local and community development will only occur at the instigation of local people, backed up where necessary by the support of official agencies. The key point is that the ideas come from the local communities and the support comes from central authorities.
Turning to the question of income support, it must be acknowledged that there are many small farmers who would never be able to survive on the income generated by their farm activities, especially in the handicapped areas. It is for this reason that the European Union has prepared a comprehensive plan to compensate farmers who live in such areas by headage and premia payments. These compensatory payments are vital and enable farmers to remain in these areas which would otherwise become even more depopulated, leading to long term economic, social and environmental problems. I would refer those who suggest that all farmers are extremely well off and make large incomes to the Teagasc reports on family farm incomes. The survey of those reports shows that a number of the farmers in the severely handicapped and coastal areas depend on income supplements. In the new round, therefore, we will continue to substantially fund this area; but in line with the commitment in the Programme for Competitiveness and Work, we will be examining it to ensure it is effectively meeting its objectives.
Forestry is another natural resource area which has tremendous potential and in the programme we will continue an accelerated programme of planting. The targets set for these forestry programmes are being achieved and in many cases exceeded. In the coming period the main investment in the forestry area will come from the new CAP reform forestry programme but the Structural Funds will provide backup measures, especially in the training and research and development areas. In addition, funding will be available for the timber processing sector under the operational programme for industrial development. This is the further processing of this natural resource area in which we have a tremendous record over the past number of years. There will be accelerated development in the added value of this large natural resource.
In regard to the research, training and advisory services, support measures in these areas are essential if the objectives of an effective and competitive agriculture, food, and forestry sector are to be achieved, and a special section of our proposed operational programme is devoted to this area. Under the new programme considerable funds will be available for agriculture, rural development, forestry and, of course, food.
We forwarded our operational programme's to the Commission in December 1993 and had lengthy discussions since then through the spring. Our programme is being revised to take on board the various points raised in the discussions and we expect to have a revised version by the end of this month.
In a few weeks, therefore, we can begin implementing the valuable operational programmes to draw down this substantial amount of money and I would prefer to hear spokespersons, either inside or outside this House, making effective and constructive contributions as to how best we could spend this large amount of money under the national plan rather than continually moaning and whingeing in a begrudging manner about the amount of money we have or have not received. This is a worthwhile plan and the programmes under it will change the face of our economy and make us internationally competitive at the production, processing and marketing level and will enable us enter the new century with a dynamic international economy at all levels.