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Dáil Éireann debate -
Tuesday, 7 Oct 1997

Vol. 481 No. 1

Priority Questions. - Rural Renewal Incentives.

Willie Penrose

Question:

17 Mr. Penrose asked the Minister for Agriculture and Food the plans, if any, he has to implement policies aimed at keeping people in rural areas and to ensure that people living in rural heartlands benefit from the current economic prosperity; if he will consider in this context implementing rural renewal incentives to help stop the drift from the land; and if he will make a statement on the matter. [15669/97]

There is a wide range of policies already being implemented by my Department, including direct payment programmes for farmers, aids for "on farm" investment, structural improvement and environmental protection in addition to the Leader programme to support rural communities. It is also envisaged that rural development will form a very important element of Agenda 2000 in addition to which the European Union Commission has undertaken to present detailed proposals. I will seek to ensure that a coherent and integrated rural development package forms a central part of any reform of the Common Agricultural Policy. Moreover, I will shortly submit proposals for consideration by Government on the scope of a White Paper on Rural Development which will address the issues raised by the Deputy.

While the decline in farm numbers and those employed in agriculture will continue unabated in the absence of radical policy initiatives and changes affecting agriculture generally, does the Minister agree that increasing emphasis is being laid on alternative enterprises in the case of suitable farms and greater "off farm" employment? Is the Minister aware the current drift from farming runs at an average of some 5,000 to 6,000 persons per annum; that whereas in the late 1950s in excess of 300,000 people were engaged in agriculture, that figure has dropped to 100,000 and continues to drop to the extent that, presumably over the next decade, it will reach an all time low of some 30,000 farmers? What is worrying is that if this continues it will create problems in urban areas.

A question, Deputy.

I am prefacing my question. Will the Minister implement a rural renewal scheme similar to the urban renewal scheme? Will he also consider giving special taxation incentives to entrepreneurs and business people who locate much needed industry in those areas? There is a commitment in the programme for Government to ensure support for the maximum number of family farms and to achieve a more equitable distribution of support payments by reforming the direct payments scheme. Has the Government taken any action to implement that? Reform of the direct payments scheme is fundamental if farmers are to remain in rural Ireland. Has the proposal put forward by the Irish Cattlebreeders and Stockowners Association been given any consideration by the Minister?

In the past three years, over £2.35 million has been spent on rural development. The Leader programme, for technical rural development, has £88 million in funds to be disbursed. A rural renewal scheme is a matter for the White Paper and I suggest the Deputy and any others have as much input in it as possible. The Land Act, 1965, stated that 45 acres was an economic holding. The White Paper will be important and will be shortly discussed by Government. I hope everyone will have an input to it.

I am not sure what is the proposal of the ICSA to which the Deputy referred, but I know it proposes to take premia from smaller farmers and I would not be in favour of that.

It is not proposing that.

The Minister is misrepresenting the ICSA's position.

The matter does not arise now.

I must correct the matter.

We are dealing with priority questions.

This is a priority question. I asked the Minister——

Supplementaries should take the form of a question, not a statement.

Is the Minister prepared to reform the direct payments scheme, as set out in the programme for Government, to achieve a more equitable distribution of support payments?

I am delighted the Deputy has converted to the MacSharry plans. We will ensure a cornerstone of all reforms of the Common Agricultural Policy will be that any loss in prices will be directly matched by compensation.

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