Written Answers Nos. 582-604
583. Deputy Martin Ferris asked the Minister for Agriculture, Food and the Marine if plans to amalgamate Coillte and Bord na Móna in a new entity, NewERA, have been abandoned; and if that was a consequence of the troika's opposition to investment in new public companies. [7104/13]
View answerThe Government established NewERA, in September 2011, to change the way Government manages its shareholding in the semi-state sector by adopting a new portfolio approach. A specific responsibility of NewERA is to review the capital investment plans of selected commercial semi-state companies and to identify possible synergies between investment programmes of different state companies. NewERA will also work with Departments to develop and implement proposals for investment, in line with Programme for Government commitments in energy, water and next generation telecommunications. NewERA has been established initially as a shareholder executive model to better manage the State holdings in commercial semi-states. It is responsible for corporate governance from a shareholder perspective in companies such as the ESB, Bord Gáis, EirGrid, Bord na Móna and Coillte.
As the Deputy is aware, consideration is ongoing in relation to the Government decision that a concession for the harvesting rights to Coillte’s forests be put forward for sale. NewERA has been actively engaged with Coillte, the Department of Public Expenditure and Reform and my Department to examine the financial and other implications of a potential transaction. The consideration process is at an advanced stage. However, no final decision has been made yet regarding any aspect of Coillte’s future.
584. Deputy Sean Fleming asked the Minister for Agriculture, Food and the Marine if he will provide on a county by county basis the number of applications for REP scheme payments made in 2012 that have not yet been paid; and if he will make a statement on the matter. [7106/13]
View answerThere are 30,284 active participants currently in REPS 4. To date 26,145 of these have received their 2012 payments. The remainder of 4,139 have not yet been paid, and these are shown on a county basis in the following table:
|
County |
Number Unpaid |
County |
Number Unpaid |
|
Carlow |
34 |
Longford |
73 |
|
Cavan |
108 |
Louth |
21 |
|
Clare |
72 |
Mayo |
709 |
|
Cork |
604 |
Meath |
61 |
|
Donegal |
118 |
Monaghan |
67 |
|
Dublin |
8 |
Offaly |
81 |
|
Galway |
654 |
Roscommon |
52 |
|
Kerry |
367 |
Sligo |
83 |
|
Kildare |
72 |
Tipperary |
170 |
|
Kilkenny |
55 |
Waterford |
69 |
|
Laois |
143 |
Westmeath |
36 |
|
Leitrim |
196 |
Wexford |
73 |
|
Limerick |
142 |
Wicklow |
71 |
|
- |
- |
Total |
4139 |
REPS 4 is a measure under the 2007-13 Rural Development Programme and is subject to EU Regulations which require detailed administrative checks on all applications to be completed before any payments can issue. This process is nearing completion in respect of the remaining REPS 4 participants.
585. Deputy John McGuinness asked the Minister for Agriculture, Food and the Marine arising from the pigmeat recall scheme, if he will confirm the amount, if any, of pigmeat destroyed in Russia; the total cost to the Exchequer; the total cost paid to the owners of the pigmeat in Russia for the destroyed product; the difference between the invoice value of this product and the amount of compensation paid; and if he will make a statement on the matter. [7183/13]
View answerIn accordance with EU legislation, the responsibility to place safe food on the market rests with the food business operator and, therefore, the consequences of a failure to meet that requirement also rest with the food business operator. The Pigmeat Recall Scheme (PRS), which was approved by the European Commission, provided for a facility of up to €180 million from the public finances to assist processors in funding the recall and destruction of certain pork products. The objective of and rationale for the PRS was to ensure the survival of the pigmeat sector at a time of immediate crisis. It was not intended to compensate for all third party losses incurred at that time. It was, and is, a matter for the Irish pigmeat processing sector to settle and resolve other losses incurred with its customers as considered necessary.
The ex-gratia aid paid as a contribution towards the costs incurred by processors as a result of the recall was subject to State Aid approval as well as the provision of adequate supporting documentary evidence and without any admission of liability whatsoever by the State.
With regard to the operation of the PRS, product in Ireland was destroyed in one of four category 1 rendering plants. Product in overseas markets was either destroyed overseas or returned to Ireland for destruction. Approximately €102 million was eventually paid to processors for product destroyed in Ireland and in overseas markets.
Product exported by Irish primary processors and destroyed under the terms of the scheme was valued at the wholesale market price and paid on that basis. Valuations could not exceed the wholesale market price for the product as recorded and verified by the processor, and had to be net of VAT and any discounts applied. Copies of invoices had to be submitted with claims. Where identical products were marketed and priced at differing values, a weighted average value was calculated and used for all such products.
Some 211,365 kg of Irish products, valued at €440,060, was destroyed in Russia, while 1,157,258 kg of Irish products valued at €2,530,402 was returned from Russia to Ireland for destruction. My Department also processed associated costs claims from processors totalling €954,856 to cover transport to destruction, overseas storage and destruction costs and non-refundable import duties in Russia. These claims were settled at a cost of €627,911. Thus, the total paid under the PRS in respect of product destined for Russia was €3,598,373.
All of the above costs were paid to Irish processors who were obliged under the terms of the agreement with the industry to pass on the appropriate costs to their customers.
586. Deputy Michael Colreavy asked the Minister for Agriculture, Food and the Marine when a person (details supplied) in County Leitrim will receive an agri-environment options scheme payment for 2012; and if he will make a statement on the matter. [7188/13]
View answerThe person named was approved for participation in the 2011 Agri-Environment Options Scheme with effect from 1st September 2011 and has received full payment totalling €1,333.33 in respect of 2011.
Under the EU Regulations governing the Scheme, a comprehensive administrative check of all applications, including cross-checks with the Land Parcel Identification System, must be completed before any payment can issue. During these checks an overclaim of 0.69 hectares was identified in relation to the claimed areas on the Natura owned parcel. Officials in my Department are now finalising the application of the person named with the intention of issuing payment for 2012 as soon as possible.
587. Deputy Dara Calleary asked the Minister for Agriculture, Food and the Marine the reason farmers who were participants in the dairy efficiency scheme 2010-12 are not deemed eligible for inclusion on the new sheep technology adoption programme; and if he will make a statement on the matter. [7222/13]
View answerThe Dairy Efficiency Programme (DEP) 2010 to 2012 was open to all dairy farmers and its success was the reason I decided to introduce similar programmes for beef and sheepmeat farmers. Indeed the Sheep Technology Adoption Programme (STAP) is based on the same successful discussion group model of the DEP and is a key element in driving the ambitious target for the sheepmeat Sector in Food Harvest 2020.
The STAP is intended to provide participants with the knowledge and the skills necessary to improve on-farm technical efficiency in a number of key areas. The sheep sector is a key part of the Agrifood sector, especially in marginal land areas and there is huge scope to improve farm incomes through focusing on issues such as grassland management, financial management, breeding, health and welfare and environmental efficiency. As funding for this scheme is capped at €3 million for 2013 and as dairy farmers have already benefitted from DEP 2010 to 2012, a policy decision was taken to focus STAP on drystock farmers having sheep or cattle.
588. Deputy James Bannon asked the Minister for Agriculture, Food and the Marine if he will provide an update on payment of area aid and disadvantaged area payments in consideration of the undue delay in issuing same in respect of a person (details supplied) in County Longford; and if he will make a statement on the matter. [7232/13]
View answerFollowing initial processing of the application of the person named, issues arose regarding over-claims on some of the land parcels declared. My Department has been in direct contact with the person named, as a result of which these issues have recently been resolved. Payment under both Schemes issued to the nominated bank account on 7 February 2013.
589. Deputy Tom Fleming asked the Minister for Agriculture, Food and the Marine if he will issue an original horse passport as a matter of urgency in respect of a person (details supplied) in County Kerry; if he will immediately issue the original passport; if he will arrange a meeting with his officials to have the issue finalised once and for all; and if he will make a statement on the matter. [7238/13]
View answerIt is understood that the person concerned registered a foal in 2009 with a passport issuing organisation, a passport was not received and a duplicate passport issued in 2012 that was stamped as ‘not fit for human consumption’ in accordance with national and EU legislation. In such circumstances it is not possible to issue the original passport as a duplicate passport has issued.
590. Deputy Tom Fleming asked the Minister for Agriculture, Food and the Marine if he will make funding of approximately €90,000 available to Kerry County Council as a matter of urgency to upgrade Dooks Slipway, Glenbeigh, County Kerry; if he will take into consideration the current/potential usage of this slipway, that is, commercial fishing, aquaculture, deep sea fishing, leisure activity and so on; and if he will make a statement on the matter. [7241/13]
View answerDooks Slipway is owned by Kerry County Council and responsibility for its repair and maintenance rests with the Local Authority in the first instance. My Department has received an application from Kerry County Council for funding under the 2013 Fishery Harbour & Coastal Infrastructure Development Programme. Dooks Slipway is included in their application.
The Fishery Harbour & Coastal Infrastructure Development Programme for 2013 is currently under consideration and my Department will give full consideration to the application for funding by Kerry County Council in the context of available Exchequer funding and overall national priorities.
591. Deputy John McGuinness asked the Minister for Agriculture, Food and the Marine if payments due to a person (details supplied) in County Kilkenny under the agri-environment options scheme will be expedited and paid; if the delay in the payment is due to penalties; if he will consider paying the amount that is due minus the penalty; if he will confirm the number and value of all the payments being withheld; and if he will make a statement on the matter. [7247/13]
View answerThe person named was approved for participation in the Agri-Environment Options Scheme with effect from the 1st September 2010 and full payments totalling €1,666.62 and €4,999.97 issued in respect of 2010 and 2011 respectively.
Under the EU Regulations governing the Scheme and other area-based payment schemes, a comprehensive administrative check, including cross-checks with the Land Parcel Identification System, must be completed before any payment can issue. The application was also selected for a Cross Compliance inspection which resulted in a penalty of 3%, equal to €150, being imposed. Officials in my Department are now finalising the application of the person named on this basis with the intention of issuing payment for the 2012 scheme year as soon as possible.
592. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he continues to liaise with the Irish Farmers' Association and other farming organisations regarding the future challenges and developmental needs of the agrifood sector; the extent to which he expects to be in a position to respond in a positive way to such submissions by these organisations if in the context of common agricultural policy or otherwise; and if he will make a statement on the matter. [7368/13]
View answerI have regular meetings with the farming organisations in relation to the future challenges and developmental needs of the agri-food sector and these meetings are supplemented by frequent meetings and contacts at official level. It is established practice in my Department to consult widely in relation to new initiatives and proposals for change and to establish Consultative Committees composed of all stakeholders to inform policy. For example, the Consultative Committee on CAP reform, established by my predecessor, was set up for the specific purpose of obtaining the views of all stakeholders, farming organisations included, on the reform proposals. This committee comprises all the major farming and agriculture related representative organisations involved in Social Partnership as well as a number of academics. It meets at regular intervals, most recently in November of last year.
593. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine if he will outline his expectations for the development of the beef industry in the coming three years with particular reference to maintaining Ireland's share of the international market and retaining a competitive edge; if he anticipates new market prospects in this time period; and if he will make a statement on the matter. [7369/13]
View answerThe preponderance of Irish beef exports are destined for the UK along with France, Italy and the Netherlands. Among the key drivers of future beef export performance in these markets will be the general macro-economic environment, the EU demand/supply balance and exchange rate developments, particularly with regard to the euro vis-à-vis sterling.
The immediate outlook for Irish beef output is that it is forecast to rise by 10% in 2013 as reduced live exports over recent years boost volumes. Global beef supplies are likely to remain stable and, as a result, EU imports are unlikely to increase significantly in 2013. The challenge will be to maintain price levels but continuing tight availability of beef across Europe should help exporters. Concomitant with this broadly positive outlook is a continuing improvement in the positioning of Irish beef exports in key markets with over 60% of export volumes now destined for the higher value standard retail, premium food service, and retail or quick service sectors.
Exploiting the strong sustainability credentials of the grass-fed beef will be a key element in maintaining and expanding markets for the Irish beef industry up to 2015. In this context, the 32,000 members of the Bord Bia Beef Quality Assurance (QA) Scheme are committed to actively measuring and reducing their carbon emissions. This is the only QA programme in the world that has an environmental element operating on a national basis. This important initiative will give Irish beef exports a genuine competitive advantage in securing premium product status in fiercely competitive foreign markets. Innovative product offerings supported by appropriate marketing are the best means of increasing market returns and viability across the supply chain.
In addition, the leading Irish beef processing companies have also embraced the concept of sustainability under Origin Green. This is a comprehensive national sustainability development programme, the first of its kind in the world, designed by Bord Bia to assist Ireland to become known as the optimum source of sustainably produced food and drink. Industry recruitment commenced in June 2012 and to date a total of 188 companies have signed up to the programme. Central to the Origin Green concept is a sustainability charter that will commit Ireland’s agri-food industry, including beef processors, to engage directly and robustly with the challenges of sustainable production: reducing energy inputs, minimizing their overall carbon footprint and lessening their impact on the environment.
Notwithstanding the fact that most Irish beef exports go to other EU member states, it is always beneficial to have a wide range of market outlets available for our beef products. My Department will be working – in collaboration with the industry, Bord Bia and the Department of Foreign Affairs and Trade – to secure access to more third country outlets for Irish beef over the next three years. At present, Irish beef enjoys access to markets in Tunisia, Morocco, Egypt, Indonesia, United Arab Emirates, Saudi Arabia, South Africa, Russia, Hong Kong and Singapore.
I have been assiduous in nurturing relationships in new and growing markets in order to build confidence in Irish production and control systems which will underpin long-term trading relationships in the future. As part of that effort, I headed trade missions last year to China and the USA, during which I raised the subject of access for Irish beef with my ministerial counterparts. Apart from China and the US, other targeted markets for Irish beef access include Japan and Korea as well as North African and Middle Eastern countries. My Department is engaging closely with the authorities in those countries to gain access for Irish beef products. There is a strong demand for beef globally and my Department remains focused, in consultation with the industry, on ensuring that Irish exporters will be able to fully exploit market opportunities as they arise over the coming years.
594. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he expects the fishing industry to develop over the coming four years with particular reference to likely fish catches under various species headings and the anticipated added value to processing arising therefrom; and if he will make a statement on the matter. [7370/13]
View answerAs the Deputy will be aware individual fishing opportunities and quotas are determined on an annual basis by the EU Fisheries Council in line with the mechanisms and procedures laid down in the Common Fisheries Policy (CFP). These take account of best available scientific information and involve all relevant stakeholders. Current proposals for reform of the Common Fisheries Policy process, which have been prioritised by the Irish EU Presidency, encompass a range of innovative proposals for measures to eliminate the practice of discards, that is the dumping fish at sea, achieving appropriate maximum long term sustainable yields (MSYs) and the introduction of effective fair transparent regionalisation mechanisms will, if agreed by EU Member States, all help support the ongoing development of a sustainable and thriving Irish and European fishing industry for the future.
Addressing these issues effectively will also help to ensure the maintenance of jobs in the fishing industry while enabling a climate of innovation to thrive in both the fisheries and aquaculture sector. During the Irish Presidency one of my goals is to make significant progress on the CFP reform agenda to ensure a sustainable, profitable and self reliant industry that protects and enhances the social and economic fabric of rural coastal communities dependent on the seafood sector, while balancing these objectives with the need to deliver sustainable fisheries for future generations. Addressing these issues effectively will also help to ensure the maintenance of jobs in the fishing industry while enabling a climate of innovation to thrive in the fisheries sector.
595. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he continues to review the future prospects for the pigmeat industry with particular reference to meeting the challenges of rising costs and increased competition; and if he will make a statement on the matter. [7371/13]
View answerThe pig sector accounts for approximately 6% of the overall agri-food industry and is the third largest individual component of the agri-food sector. During 2012 output, prices and export values continued the growth seen in recent years, growing by 2%, 10% and 16% respectively.
Currently pig prices are over 15% ahead of the same week last year. This equates to almost 23c/kg. When compared to the same week in 2010, prices have risen by over 46/c per kilo, or more than 38%.
The ‘Food Harvest 2020 Report ’, published in July 2010, sets out the vision for the future of the food industry including the pig sector and targets a 50% increase in the value of output by 2020. My Department carefully monitors developments in the pig sector, both domestically and internationally. Given that cereals account for up to 75% of pig feed, the impact of significant increases in cereal prices in recent years on the pig sector has been considerable. While there has been some easing of soya prices in recent months thus ameliorating some of the consequences, they continue to remain significantly above historic averages. The weather affected harvests with drought in the USA and the Black Sea region leading to lower output and consequent upward pressure on prices.
Following rebuilding and recovery efforts in recent years the future for the Irish pig sector remains challenging. Notwithstanding recent cereal price reductions, input prices are forecast to remain above long-term averages for the foreseeable future. In addition, difficulties in the non-feed elements of production such as credit availability, energy costs and compliance with the EU Loose Sow Housing Directive which came into force in January 2013 together with the decline in the size of the breeding herd pose significant challenges to producers. EU output is forecast to decline by 2-3% in 2013 which conversely will offer increased opportunities to Irish producers. However, the ongoing issues referred to above together with the near 7% decline in the Irish breeding herd in 2012, may limit Irish producers’ scope to avail of these openings.
In relation to the Loose Sow Housing Directive, an on-farm investment aid scheme (TAMS) – the Sow Housing Welfare Scheme was introduced under Ireland’s Rural Development Programme 2007 – 2013, to facilitate producer compliance with the requirements. The scheme has been enhanced and extended on a number of occasions. While the majority of producers have worked extremely hard to achieve compliance, my Department became aware that a small number of producers had experienced difficulties with planning permission. With this in mind, I recently announced a further extension in the deadline for grant applications until 2 April 2013.
I have provided a total of €16 million for this scheme. I should add that this funding is in addition to earlier Sow Welfare Schemes which delivered over €6 million to successful applicants.
With regard to financial support available to the pig industry, Enterprise Ireland operates various programmes relating to company development. Included among these are Research and Development and Innovation Funding. Through a mix of funding, advice and expertise, Enterprise Ireland works with companies planning or engaging in R&D. Assistance for product development is also available through the Teagasc National Food Centre in Ashtown, Dublin 15. A number of businesses within the pig sector have availed of these programmes in recent years.
Teagasc, through its Moorepark pig research facility and the provision of FETAC courses in pig production and benchmarking pig herd performance, plays a critically important role in improving productive capacity at farm level. Teagasc have also circulated pig producers with a number of the options available to them to reduce feed costs and improve feed efficiency.
In addition, Teagasc continues on an ongoing basis to develop enhanced systems of research, technical assistance and knowledge transfer in order to assist the pig sector.
In so far as international trade in Irish pigmeat is concerned, my Department has been extremely active in developing relationships in new and expanding markets in order to build the kind of confidence in Irish production and control systems that provide a platform for long term trading relationships in the future.
And of course Bord Bia continues, through its promotional activities, and through the pigmeat quality assurance scheme, to help consolidate the position of Irish pigmeat on the domestic market and to expand its presence on EU and international markets. This is proving particularly successful in international markets, primarily Russia and China where the value of Irish pigmeat exports grew to over €110 million in 2012.
It is important to remember that pigmeat remains the most consumed meat worldwide and this will continue to present opportunities for Irish producers, given our self-sufficiency. In addition, the measures outlined above, together with the progress made in the last few years in establishing and consolidating a presence in important international markets will better position Irish producers to take advantage of growing demand.
596. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which the farming community has been in a position to comply with requirements arising from animal welfare requirements in the context of the provision of improved animal housing arrangements; if adequate resources have been made available by the lending institutions to meet such requirements, if any outstanding issues remain; and if he will make a statement on the matter. [7372/13]
View answerNew EU Animal Welfare rules setting down new standards in relation to the housing of sows came into force on 1 January 2013. A significant number of producers have undertaken the necessary work required in order to upgrade their facilities in order to comply with the new rules.
My Department is aware of the scale of the challenge facing pig farmers in respect of the new requirements. To this end, the Department introduced a Targeted Agricultural Modernisation Scheme (TAMS) for Sow Welfare in June 2010. Grant-aid is available at a rate of 40% to eligible producers with a maximum investment ceiling of €300,000, i.e. a maximum grant of €120,000. A total of €16 million has been allocated to this scheme under the Rural Development Programme. It follows two earlier schemes in 2005 and 2007 and payments of €6.2 million have already been made to pig producers.
The scheme has been enhanced and extended on a number of occasions including provision being made to allow producers make multiple applications in instances where the producer has more than one sow house. While the majority of producers have worked extremely hard to achieve compliance, my Department is aware that a small number of producers have experienced difficulties with planning permission. With this in mind, I recently announced a further extension in the deadline for grant applications until 2 April. The final date for completion of work and the lodgment of payment claims is 30 September 2013.
I and my Department are in regular contact with farm bodies, various national banks and the Banking Federation concerning the availability of credit to farmers, including those in the pig sector, who are under financial pressure. The banks provide information online, via the Irish Banking Federation, as to the type of information that they require when making a decision on a loan request in the agriculture sector. However, farmers who are not satisfied with the service provided by their banks can ask for an internal review by the relevant bank and if they are still not satisfied can apply to the Credit Review Office to have their case reviewed. Despite concerns, a relatively small number of cases from the Agri-Food sector have come before the Credit Review Office.
597. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine if in the context of common agricultural policy negotiations and his Department’s plans for the future of the agrifood sector, he expects to be in a position to ensure that the prospects for young persons remains sufficiently attractive in the face of competition through alternative employment and recognising the need for the promotion of the family-farm concept in the future as an attractive vocation; and if he will make a statement on the matter. [7373/13]
View answerOne of my goals as Minister for Agriculture is to promote generation renewal in farming. Achievement of our Food Harvest 2020 strategy is predicated on smart, green growth in the sector with an emphasis on investment and innovation. In this connection, I have concerns about the current age profile of our farming population and I firmly believe we must actively encourage the younger generation to view farming as an attractive and sustainable career.
It is for this reason that I have promoted the introduction of a number of tax reliefs aimed at bringing young people into the sector.
The proposals for reform of the Common Agricultural Policy contain a number of measures designed to attract young farmers to the sector. These include a proposal for a 25% top-up payment, over and above the normal single farm payment, to farmers under 40, for a five year period. I, along with a number of other Member States and the Commission, would prefer if this proposal was mandatory for Member States. However, given that a large number of Member States would have difficulty with a mandatory scheme, I am prepared to live with an optional scheme although I can confirm that I have every intention of applying it in Ireland.
There are also proposals for enhanced investment opportunities for young farmers within the draft Rural Development Regulation.
Of course, these measures form part of the CAP reform negotiations which are not yet finalised. My aim is to finalise the Council position on the CAP reform dossier and obtain a negotiating mandate by the end of March, leading to inter-institutional trilogues, with the aim of overall political agreement by the end of June.
I am confident of navigating through the diverging positions of Member States with a view to ensuring that the new CAP contains measures that will continue to attract young farmers into the sector.
598. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the steps he proposes to take in conjunction with his EU colleagues to protect the concept of the viability of the family farm enterprise throughout Europe; and if he will make a statement on the matter. [7374/13]
View answerNext year, 2014, will be celebrated by the FAO as the International Year of Family Farming. The EU will prepare for this by facilitating discussion and organising a conference under the auspices of DG-Agri in Autumn 2013.
Family farming has always been the main form of farming in Ireland. The key difficulties that I have seen are the lack of succession planning and the lack of availability of farm land for new entrants. To meet these challenges new taxation measures were introduced in the last two budgets aimed at improving land mobility and farm consolidation, and encouraging transfers to younger, more progressive farmers. Stamp duty on agricultural land was reduced from 6% to 2%. In addition, half the rate (1%) is now applicable on transfers to close relatives until the end of 2014. This change substantially reduced the stamp duty payable on transfers of farm land by gift or by sale. The measure promotes inter-generational transfer, as the cost of lifetime transfer to transferees who do not qualify for the young trained farmer stamp duty relief has been reduced considerably.
Budget 2012 also restructured the retirement relief available on Capital Gains Tax in order to incentivise the earlier transfer of farm assets to the next generation, and to encourage the sale of land by those farmers with no successors.
Retirement relief was restructured in order to encourage farmers around the normal retirement age, who have successors, to transfer their land and holdings to young, innovative, ambitious, prospective farmers. This measure encourages an improvement in the age profile of farmers, and should ensure that farmland is put to more productive use.
It should be noted that there has been no change to the very important 90% agricultural relief on Capital Acquisitions Tax (CAT). This means that farms worth up to €2.5 million will continue to be fully exempt from CAT with regard to transfers to a child.
I am also happy that the new restructuring relief has been announced in the 2013 budget. This is the result of detailed work which analysed the reasons why the old consolidation relief was not working. I am confident that the new relief in relation to Capital Gains Taxes, once State Aid approval has been received, will be more effective, especially given that Stamp Duty rates have been reduced. Re-structuring is essential for us to meet the Food Harvest 2020 targets. We need to use land more productively and encourage more young farmers to make the best use of the land. A recent EU Commission study found that
‘younger[farm] managers tend to perform better than the EU average, with 46% more area and 57% more economic potential for 21% more labour force’ [[1] Commission Staff Working Paper, Impact Assessment, CAP towards 2020, Annex 1: Situation and prospects for EU agriculture and rural areas, p. 25. Brussels, 12/10/2011.1].
Ireland has a very low level of land sales, with most land staying within the same family for generations. Only 0.4% of land changes hand in any given year. Young farmers that want to expand need to be able to access land. According to the latest census of agriculture the average farm has 3.8 land parcels. This means that our farmers are wasting time and diesel driving between plots of land, increasing the stress and the risk of accidents. Young farmers will now have an opportunity to consolidate their holdings and increase efficiency.
I also believe that family farms are the places where young people can learn the required skills in partnership with parents and other family members. Indeed Irish farming greatly benefits from the pooling of skills and knowledge of all family members and in this regard I would strongly encourage greater participation by women in farm decision making and management. I am confident that providing an additional incentive to farm partnership formation will encourage farmers to consider more closely the benefits of farm partnerships to their farming business and in providing a better work-life balance.
Encouraging farm partnerships will also support the dairy herd expansion required over the coming years, enabling Irish farmers to avail of the opportunity presented by the abolition of EU milk quotas in March 2015.
599. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the degree to which he and his Department expects to be in a position to counter any negativity arising from recent traceability or quality breakdowns with particular reference to quality assurance on worldwide markets; and if he will make a statement on the matter. [7375/13]
View answerFollowing the findings of the FSAI Survey on the authenticity of meat products (published on January 15), which disclosed the presence of horse meat in burgers and the identification in the follow up investigation of the source, the problem has developed into a pan European investigation of food fraud involving a range of meat products and traders/food business operators.
My aim throughout this situation has been to ensure that everything possible is done to fully restore consumer confidence in the Irish meat sector. I asked Bord Bia to maintain constant contact with our export markets to reassure international buyers that there is no food safety issue involved and that the issue has been dealt with swiftly and appropriately by the Irish authorities. Initial market impact at consumer level (weekend of Jan 20) indicated that the controversy was largely confined within the UK and Irish markets, where the affected products were on sale and taken off the shelf, where the media coverage has been intense and consumer awareness very high. The research indicated that consumers were ring-fencing the problem to this particular segment of the market, and not extending or generalising it to the wider industry. The processed meat sector is a relatively limited segment of the total Irish meat market and is not otherwise impacting on Irish food exports. Beyond these markets, media coverage, interest and awareness has been limited and no concerns whatever have been reported to Bord Bia by trade buyers or consumers. The fact that our controls identified this particular issue and the manner in which it has been addressed will assist in maintaining the confidence in Irish food.
The Irish beef industry has a blue chip portfolio of high end supermarket and food service business in Europe’s consumer markets that is without parallel. The industry’s success is based on robust relationships with premium customers built up over an extended period and based on a track record of high quality standards, underpinned by our green credentials. More than 75% of all Irish beef exported is produced from some 34,000 farms which are members of the Bord Bia Quality Assurance Scheme. Similarly, under Bord Bia’s Origin Green programme, most of our meat exporters have also signed up to the implementation of a sustainability plan that commits them to the achievement of stretch targets in key areas around emissions, water, biodiversity and health and well-being. Based on these programmes Bord Bia will continue to strongly assert our high quality standards and green credentials at every opportunity. Recent and forthcoming international trade events at which Bord Bia have participated included Sirha Trade Show (Lyon), where Irish beef was selected to be the ingredient in the prestigious Bocuse D’or competition, Prodexpo (Russia) and Gulf Food – the world’s biggest food and hospitality exhibition. All of these trade events will be attended by a number of Irish meat companies who will be promoting the quality and sustainability of Irish beef, emphasising that we continue to adopt the highest standards of traceability and safety in our meat industry.
600. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine if he will outline, in the interests of food traceability, accuracy of description and origin, the way he will ensure the authenticity of the description of all such products imported into this jurisdiction or slaughtered and-or processed within the jurisdiction reflect their origin with particular reference to the integrity and credibility of the food-producing sector; and if he will make a statement on the matter. [7376/13]
View answerUnder EU Food Safety legislation, primary responsibility for the safety of food placed on the market place lies with the food business operator. Controls on the import of food are implemented by a number of agencies, including my Department, through service contracts with the Food Safety Authority of Ireland (FSAI).
The main food products within the responsibility of my Department are products of animal origin. As regards intra community trade such products can be traded freely within the Community provided they originate from EU approved plants. Consignments of these products imported into Ireland from third countries are checked at a Border Inspection Post (BIP) on arrival in Ireland. There are two product BIPs in Ireland, at Dublin port and Shannon airport, operated by my Department. Controls on imported products consist of three types of checks – documentary, identity and physical. All consignments have a documentary and identity check and a proportion of products as laid down in legislation are subject to physical checks.
Arising from the disclosure in the authenticity survey conducted by the FSAI of equine DNA in certain beef burgers, I have requested manufacturers of processed meat products to carry out DNA testing and to work with the FSAI in developing testing protocols for this purpose. Given the pan European nature of the problem I have also arranged to have it discussed at EU level.
601. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine in respect of food traceability, if he will ensure that those responsible for breaches of the existing code are dealt with in such a manner as to discourage and prohibit such breaches in the future; and if he will make a statement on the matter. [7377/13]
View answerUnder EU Food Safety legislation, primary responsibility for the safety and traceability of food placed on the market place lies with the food business operator. The role of my Department and other agencies working within a service contract with the Food Safety Authority of Ireland (FSAI) is to verify compliance by the food business operators with this requirement.
Whenever a non-compliance with this legislation is uncovered, appropriate action is taken by the control agency which is consistent with the seriousness of the breach concerned.
602. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent, if known, to which all EU countries including Ireland continue to enforce fishing quotas; and if he will make a statement on the matter. [7378/13]
View answerIreland manages and enforces its Fishing quotas in accordance with the specifications of the EU Common Fisheries Policy (CFP). This involves regular consultation with fishing industry interests. Our existing quota management system is designed to ensure the rational management of the available quotas, having regard to fishing patterns and market conditions, the best possible spread both between fishermen and also in terms of take up of quota during the year. A key objective is the avoidance of very early closure of fisheries through rapid exhaustion of quota. Under the current arrangements, fishing industry representatives are consulted formally through the Whitefish Quota Management Advisory Committee on a monthly basis and their views are taken into account as far as possible in the determination of monthly regimes for particular stocks. The Sea Fisheries Protection Authority is the national body for the control and enforcement of sea fisheries law and work with the Naval Service to control and enforce compliance with quota management arrangements and accurate reporting of landings.
The CFP itself is currently in the process of undergoing significant reform, a process which has been prioritised for action under the Irish EU Presidency. Particular emphasis in the reform process will be on measures to eliminate discards, achieve appropriate maximum long term sustainable yields from annual fisheries and moves toward the introduction of fair and transparent regionalisation mechanisms. If as I hope, the Council and the EU Parliament reach agreement on these measures, the process should help support the ongoing development of a sustainable and thriving Irish and European fishing industry into the future.
In common with procedures which operate here in Ireland individual EU Member States have similar responsibilities for the management of fisheries quotas. Inevitably the precise nature of these enforcement procedures may vary from one Member State to another. Any issues which may emerge in terms of management by individual member states are a matter for the EU Commission in terms of its responsibility to ensure the rules of the CFP are fully respected.
603. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the lessons, if any, to be learned from the recent breakdown in the labelling, quality and description of some meat products or ingredients with particular reference to the need to ensure that any such future breaches are dealt with quickly and effectively; that the laboratory and other testing facilities required are updated in accordance with the need to preserve the highest possible standard in the meet industry, if indigenously generated or imported, from other EU countries or elsewhere; that in conjunction with his EU colleagues, a reliable regime can be established whereby there is a strict adherence to the highest possible standard of traceability and that all labelling accurately describes the product, its ingredients and its origin; and if he will make a statement on the matter. [7379/13]
View answerUnder EU Food Safety legislation, primary responsibility for the safety of food placed on the market place lies with the food business operator. The role of my Department and other agencies working under service contracts with the Food Safety Authority of Ireland (FSAI) is to verify compliance by the food business operators with this requirement. This is done by a combination of inspection of establishments and by audit of the food safety management systems which operators are required to have in place. These controls are applied at different stages in the food supply chain. It is important to point out that the key controls carried out by my Department, under its contract with the FSAI, relate to food safety. The matters that were the subject of the recent incident did not give rise to a food safety issue.
The FSAI, as part of overall surveillance and monitoring of the food chain, carried out this random survey against a background of increasing prices of raw materials used in food and feed manufacture, and the global sourcing of ingredients. In conducting this survey, a problem was uncovered which might otherwise have gone undetected here, or been discovered first in out overseas markets. I am confident that the eventual impact and outcome will be positive for consumers and for the reputation of Ireland as a producer of safety and wholesome food. As seen from recent developments, the problem has developed into a pan European investigation of food fraud involving a range of meat products and traders/food business operators. Accordingly, I have arranged a meeting in Brussels tomorrow with EU Commissioner for Health and Consumer Policy Borg and other relevant Ministers to consider the wider EU implications of the recent revelations concerning the presence of horse meat in beef products. I have also requested Irish manufacturers of processed meat products to carry out DNA testing and to work with the FSAI in developing testing protocols for this purpose.
604. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which any remaining farm payments have yet to be paid under each heading; the cause or causes of any delays in this regard; the extent to which he expects to be in a position to deal with any such issues at an early date and; and if he will make a statement on the matter. [7380/13]
View answerIn a ten week period from late September to early December 2012, the amount paid by my Department way of direct payments to farmers was in excess of €1.4 billion. By any measure, this is both a very significant sum in itself and a very commendable achievement in terms of delivery. To date, over 123,000 farmers have been paid in excess of €1,210 million under the 2012 Single Payment Scheme. With regard to the Disadvantaged Areas Scheme, I can confirm that payments worth in excess of €204 million have issued to some 93,000 applicants. Under the Grassland Sheep Scheme payment cannot commence prior to 1 December. I can confirm that these payments commenced on 10 December last and, to date, payments worth some €18 million have issued to 28,152 applicants. The budget for the scheme is €18 million.
Payments under the Beef Technology Adoption Programme commenced on target in late December, with some €4.4 million already paid to in excess of 4,800 participants, while payments under the Dairy Efficiency Programme, worth in the region of €5.5 million, are on target to issue in the coming weeks, to some 5,500 participants. Payments worth up to €1 million are also on schedule to shortly issue to those successfully participating in the Burren Farming for Conservation Programme.
Area-based schemes under the Rural Development Programme, 2007-13, are subject to EU Regulations which require detailed administrative checks on all applications, including cross checks with the Land Parcel Identification System, to be completed before payments can issue. Payments under the agri-environment schemes, REPS and AEOS, in 2012 exceeded the levels of payments achieved in 2011. Under REPS 4 all payments due in respect of the scheme years prior to 2012 have been made and a total of 26,145 of the 30,000 applicants have been already been paid their 2012 payment.
Under AEOS I all outstanding payments due in respect of both 2010 and 2011 have been finalised and of the 7,500 participants remaining in that scheme over 6,200 have received payment in respect of 2012. Under AEOS II 5,070 of the 6,250 approved applicants have been paid in respect of 2011. Applicants have been informed of outstanding queries. 2012 represents the first full year payment for AEOS 2 applicants and in order to activate payment where non productive capital investments were selected a valid capital investment claim form must have been submitted. The high level of queries and farmer delays in submitting valid claims has resulted in a lower than expected level of 2012 payments under AEOS 2. Nearly 2,100 have received payment at this stage and to deal with outstanding queries additional resources have been directed to this area with the intention of clearing the backlog as soon as possible. Requests and reminders have issued to farmers that have not submitted valid claim forms and where applicants have received correspondence in this regard they should respond as soon as possible.
Grant payments under Targeted Agricultural Modernisation Scheme (TAMS) are also subject to eligibility checks including on farm inspections in order to assess eligibility and payments are dependent on the completion of the project concerned and submission of a valid, documented claim. There is no undue delay between the date of receipt of the payment claim and its verification and the subsequent issue of payment.
