Vol. 458 No. 5
179 Mr. Kenneally asked the Minister for Agriculture, Food and Forestry the compensation, if any, he proposes for land owners who will be disadvantaged by the proposed introduction of the IBA system in relation to producers of arable crops; and if he will make a statement on the matter. [17140/95]
EU legislation provides an option for member states to change the system of compensatory payments for producers of arable crops under the national base area system to one based on individual base areas. Arable aid was introduced as part of the CAP reform to compensate cereal producers for reductions in EU support prices. Under EU legislation only farmers who had land in set-aside during the 1989-91 period or who were producing arable crops in that period on owned or rented land would be entitled to IBAs. The current legislation does not provide for a reserve to deal with the legitimate claims of other farmers, whether or not they are existing land owners. I have been seeking to have introduced EU legislative and administrative arrangements, including provision for a reserve, which would open the possibility of IBAs being implemented.
I am not in a position to say when such arrangements might be introduced but in any event, it is not my intention to apply IBAs unless the eligible land rule is changed and there is a danger of an overshoot of the national base area which would trigger penalties for existing producers.
