Dáil Éireann Debate, Wednesday - 20 March 2013
419. Deputy Finian McGrath asked the Minister for Agriculture, Food and the Marine his policy on the re-distribution of single farm payment proposals from the European Commission for period 2014-2020; and if he will make a statement on the matter. [13726/13]
View answerThe Commission has proposed moving to a flat-rate payments system. This would, in the case of several Member States (including Ireland), result in significant transfers between farmers. I believe there is a need for redistribution but I am concerned that moving to a flat rate as proposed would be harmful for the Irish agricultural sector and the Food Harvest 2020 strategy. Other Member States, such as the newer Member States are seeking alternative solutions, while others still are happy with the flat rate system. The February Council of EU Agriculture Ministers meeting broadly endorsed a package of measures that I tabled aimed at achieving a compromise on this very difficult issue. The package included the option to take a more flexible approach to distribution, the so-called ‘approximation’ model favoured by Ireland. This would result in a less radical level of redistribution between farmers, moving gradually towards but not all the way to, a flat rate.
As part of a set of proposals giving flexibility to Member States, I have proposed that Member States should be allowed to introduce a minimum payment per hectare if they wish, but some others have suggested that this should be mandatory. Under the Commission proposal, €280m would be transferred between farmers. Under the Irish proposal, a minimum of €74m would be transferred, with flexibility to transfer more if we wished to do so. There will be those who gain and those who lose with either approach but I am working to ensure that those on historically lower payments are adequately supported and those on the very highest payments contribute the most towards redistribution. The key will be to reach a fair compromise, which levels the playing field without putting productive farmers out of business. As is the case with any negotiation, the final position will be somewhere in between my approach and that of the Commission. I am fighting to ensure that the best possible outcome for all farmers is reached, in a balanced and fair way.
