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Thursday, 6 Feb 2014

Written Answers Nos. 164-174

Commonage Framework Plans

Questions (164)

Michael Healy-Rae

Question:

164. Deputy Michael Healy-Rae asked the Minister for Agriculture, Food and the Marine his views on correspondence (details supplied) regarding the way in which commonages have to be farmed; and if he will make a statement on the matter. [6052/14]

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Written answers

Commonage lands form an important part of the farming enterprises of many farmers, particularly along the West Coast. They also form an important part of the local environment from the point of view of bio-diversity, wildlife, amenities and economic returns e.g. tourism. However, there is a substantial risk of land abandonment as under-grazing becomes more of a problem. Under-grazing leads to an increase in ineligible land under Direct Aid and Agri-Environment Schemes and leads to risk of financial corrections being imposed by the EU Commission. It is vital, therefore, to maintain the commonages in GAEC (Good Agricultural and Environmental Condition), or where there is under-grazing, to return the habitat to GAEC.

The agreement reached following the successful completion of negotiations on CAP reform provides that where there is marginal land the applicant or applicants must graze that land if he or she is to satisfy the eligibility criteria to be deemed an active farmer for the purposes of benefiting from payment under the Direct Payment Scheme. As most of the commonage land declared in Ireland can only be maintained by grazing, this matter will also have to be dealt with in the context of maintaining commonages in Ireland.

My stated aim is to ensure that a practical solution is reached, which will ensure that the current farmers actively farming these lands are protected; that the land is maintained or returned to GAEC and that the requirements of the governing EU Regulations are met. In my view, this can best be achieved by working with the farmers directly managing the lands, relevant State Agencies, the farming organisations and all other interested stakeholders.

Direct Payment Scheme Eligibility

Questions (165)

Michael Healy-Rae

Question:

165. Deputy Michael Healy-Rae asked the Minister for Agriculture, Food and the Marine with regard to the establishment of entitlements, if he will make clear the way entitlements will be established under the new system; and if he will make a statement on the matter. [6053/14]

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Written answers

Any farmer who received a direct payment in 2013 (Single Payment, Grassland Sheep Scheme, Burren Life Scheme, Beef Data Scheme) is automatically eligible to receive an allocation of entitlements under the Basic Payment Scheme in 2015. As the Minister announced recently, the number of entitlements that will be allocated to a farmer under the new Basic Payment Scheme will be based on the number of eligible hectares the farmer declares in 2013 and 2015, whichever is lower.

The value of entitlements that will be allocated to a farmer in 2015 will be based on a percentage of the value held by the farmer in 2014. A decision is due shortly to decide whether the ‘value’ will be based on the total value of ‘entitlements’ held by a farmer in 2014 or on the value of the ‘payments’ received by the farmer in 2014. The value that is carried forward from 2014 is spread across the ‘number’ of entitlements that is allocated to the farmer in 2015 to give the farmer’s Initial Unit Value.

All entitlements are subject to convergence whereby those with an Initial Unit Value that is below 90% of the national average entitlement value will see the value of their entitlements increase gradually over the five years of the scheme. Those who hold entitlements that have an Initial Unit Value that is above 100% of the national average entitlement value will see the value of their entitlements decrease gradually over the five years of the scheme.

Single Payment Scheme Eligibility

Questions (166)

Michael Healy-Rae

Question:

166. Deputy Michael Healy-Rae asked the Minister for Agriculture, Food and the Marine the position regarding entitlements in respect of farmers (details supplied); and if he will make a statement on the matter. [6054/14]

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Written answers

Farmers who hold low value entitlements under the current Single Payment Scheme will benefit significantly from the process of convergence that will apply under the Basic Payment Scheme. The purpose of the convergence model adopted by Ireland is to achieve a phased redistribution of payments between those who currently hold high value entitlements and those who hold low value entitlements. It introduces a fairer more equitable distribution of funds between farmers while avoiding the negative impact of a sudden move to a ‘flat-rate’.

Persons aged 40 or under in 2015 who established their farming enterprise in their own name after May 2010 and meet the other ‘young farmer’ criteria will be eligible to receive a top-up on their entitlement value from the National Reserve in 2015 where the existing value is below the national average value. They will also be eligible to participate in the Young Farmers Scheme. Participation in this Scheme is limited to a five year period which dates from the year of set-up.

Single Payment Scheme Appeals

Questions (167)

Éamon Ó Cuív

Question:

167. Deputy Éamon Ó Cuív asked the Minister for Agriculture, Food and the Marine when an appeal made by a person (details supplied) against a cut of €1043.88 in their payments due to the issue of eligible hectares will be heard; if an oral hearing is planned; and if he will make a statement on the matter. [6064/14]

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Written answers

A review of the land declared by the person named under the Single Payment Scheme revealed that three of the land parcels declared on his application contained ineligible features. The applicant has sought a review of the decision, which is currently being processed. In order to clarify the position regarding the area of the ineligible feature this case will be the subject of a ground verification check on one of the parcels. My Department will be in direct contact with the person named regarding the outcome of this review as soon as the verification check is carried out. If the applicant is not satisfied with the outcome of the review he can appeal his case to the Independent LPIS Appeals Committee.

Common Agricultural Policy Reform

Questions (168)

Éamon Ó Cuív

Question:

168. Deputy Éamon Ó Cuív asked the Minister for Agriculture, Food and the Marine if farmers who have had their eligible hectares reduced in reviews of eligible hectares will have their total entitlements adjusted to match their eligible hectares by reducing the number of entitlements and increasing the value of each entitlement for the purpose of the BNS and Greening payment 2015-2020; and if he will make a statement on the matter. [6066/14]

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Written answers

As part of the ongoing implementation of the CAP Reform in Ireland, I announced yesterday that the number of payment entitlements to be allocated to a farmer in 2015 under the Basic Payment Scheme will be based on the number of hectares of eligible land declared by the farmer in 2013 and 2015, whichever is less. The numbers of eligible hectares taken into account in this calculation are those following any deduction for ineligible areas or features including those deductions made under the LPIS Review. Therefore, the entitlements and total value of those entitlements of the farmers in question are protected under the new regime as they are based on the eligible areas farmed and declared by applicants. By adhering to the requirements of the Scheme, farmers will benefit from both the basic payment and greening payment.

Direct Payment Scheme Eligibility

Questions (169)

Éamon Ó Cuív

Question:

169. Deputy Éamon Ó Cuív asked the Minister for Agriculture, Food and the Marine if farmers who have no entitlements at present and who have had livestock since 2009 and have returned a disadvantaged area application in each year since, will automatically be entitled to entitlements for the period 2015 to 2020; and if he will make a statement on the matter. [6069/14]

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Written answers

Most farmers will have an automatic ‘allocation right’ based on their receipt of a Direct Payment (Single Payment Scheme, Grassland Sheep Scheme, Burren Life Scheme, Beef Data Scheme) under the 2013 scheme year. I have also decided to implement the optional provision whereby a Member State can allocate entitlements under the Basic Payment Scheme to persons who never held entitlements, either owned or leased, under the Single Payment Scheme. For a variety of reasons, such persons did not participate in the Single Payment Scheme and in the interests of fairness should not be excluded from the new Basic Payment Scheme.

However an allocation under this provision will only be made to such persons who for the claim year 2013 produced, reared or grew agricultural products, including through harvesting, milking, breeding animals and keeping animals for farming purposes.’ Persons applying for an allocation of entitlements under this provision will be asked to submit verifiable evidence of such activity. The question of whether participation in the Disadvantaged Areas Scheme will be accepted as evidence of such activity will be decided at a later date.

Forestry Premium Payments

Questions (170)

Bernard Durkan

Question:

170. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the position regarding entitlement to farm payments in respect of a person (details supplied) in County Kildare; and if he will make a statement on the matter. [6104/14]

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Written answers

While grant aid for establishment of plantations was available to landowners in 1989 when the person in question afforested his land under the Western Package Scheme, there was no entitlement under that scheme to annual forestry premiums. Therefore, as the applicant had no entitlement under that scheme and has not planted any further land under any subsequent afforestation schemes, he has no entitlement to any forestry payments.

Direct Payment Scheme Eligibility

Questions (171)

Heather Humphreys

Question:

171. Deputy Heather Humphreys asked the Minister for Agriculture, Food and the Marine if his attention has been drawn to the fact that the retrospective penalties for land eligibility overclaims is causing serious concern and upset to the farmers affected particularly in view of the fact that many of these claims were made in good faith based on the most accurate information available at the time; and if he will make a statement on the matter. [6114/14]

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Written answers

The Deputy will be fully aware of the value of the EU funded Direct Payment Schemes to Ireland. Each year farmers in Ireland benefit from funding of over €1.5 billion under Schemes such as the Single Farm Payment Scheme, the Disadvantaged Areas Scheme, the Agri-Environment Schemes, etc. This comprises the entire net income of many thousands of Irish farmers.

The European Commission has an obligation to ensure that Member States manage and use the EU funding granted to them in accordance with the very restrictive provisions governing the Schemes and general financial provisions. Under the Common Agricultural Policy, this is done by way of a Clearance of Accounts procedure. This is a formal process and both the Commission and Member States are obliged to adhere to the requirements laid down in the legislation. In the case of Ireland, the Clearance procedure is currently covering five financial years involving the 2008 to 2012 scheme-years. In that regard, I can assure the Deputy that every effort is being made to ensure that Ireland’s case and the position of Irish farmers is strenuously argued during the process.

I would like to confirm that each year my Department forwards maps, Terms and Conditions and covering explanatory letters to all applicants. In all of the documentation forwarded, it is made very clear to farmers that they should not claim on any ineligible land or features such as houses, buildings, farmyards, lakes, bogs or scrub etc.

I am fully aware of the outcome of the review on individual cases and in that regard I have implemented a comprehensive review and appeals process to ensure that the cases of individual farmers are fully scrutinised. In the first instance, a farmer, who finds himself or herself in this position, can seek a review of the original decision by Department officials. If they are not happy with the outcome of the review, they can submit an appeal to the Independent LPIS Appeals Committee, chaired by Mr Pádraig Gibbons. In addition, I have put in place a process where an on-the-spot verification can be undertaken by one of my Department’s officials to assist farmers with land eligibility issues.

Beef Industry

Questions (172)

Heather Humphreys

Question:

172. Deputy Heather Humphreys asked the Minister for Agriculture, Food and the Marine if his attention has been drawn to the huge difficulties facing beef farmers in trying to find factories that will take their beef bulls; if his attention has been drawn to the corresponding huge fall in prices; his views on the impact this will have on Food Harvest 2020 targets; and if he will make a statement on the matter. [6117/14]

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Written answers

Market conditions in the cattle sector are monitored on an ongoing basis by my Department and I am aware of reports that some sellers are experiencing difficulties in trading and moving stock particularly those animals that do not qualify for the industry’s Quality Payment System. Prices for prime steers and heifers have remained relatively stable but the young bull trade is challenging at present as age and weight issues continue to affect demand.

Aggregate cattle supplies at Department-approved meat plants to the end of January 2014 are up almost 10% on the corresponding period in 2012 with strong increases recorded in the steer, heifer and cull cow categories. This higher throughput is partly a result of cattle becoming fit for slaughter earlier than in previous years leading to a situation whereby factories are giving preference to certain types of stock that are better suited to the trade specifications demanded by their retail customers. Delays in young bull slaughtering undoubtedly put pressure on producer profit margins but the cattle trade is cyclical in nature and short-term fluctuations in some cattle prices will not necessarily impact on the long-term strategy for the beef sector as set out in Food Harvest 2020.

Cattle prices are determined by the dynamics of supply and demand in the marketplace and I have no function in relation to commercial transactions between the meat factories and their suppliers. Rather, it is the responsibility of the industry – in this instance, processors and farmers working together – to manage the type and volume of cattle being brought to market such that the supply chain operates for the benefit of both parties and does not undermine the viability of bull beef production systems for either winter finishers or suckler farmers. The current situation underlines the need for the industry to improve communication on market trends and signals along the supply chain. I understand that producer and meat processor representatives have recently engaged in constructive discussions with a view to resolving the short-term oversupply of young bulls. An industry-led solution to clear the backlog of bull beef is essential to restoring confidence in the sector and will hopefully resolve the current difficulties for farmers.

With regard to the Food Harvest 2020 targets, I fully recognise the importance of maintaining confidence in a sector that has benefitted from historically high price levels in recent years. Earlier this week, I announced the operational details of an investment package worth up to €40m to beef farmers in 2014. This package will include €23m for the Beef Genomics Scheme, €10m for the Beef Data Programme, €5m for the Beef Technology Adoption Programme and €2m in residual payments under the Suckler Cow Welfare Scheme.

The Genomic Scheme is a particularly important innovation that utilises cutting-edge science developed by the Teagasc research facility at Moorepark in collaboration with the Irish Cattle Breeding Federation (ICBF). The use of genomics in dairy animals has helped transform cattle breeding in that sector as well as delivering tangible gains for efficient farmers. Introducing this technology for the suckler sector will help to improve the genetic quality of the national beef herd and to increase productivity and profitability at farm level.

The scheme will provide a payment of €40 per calf to participants in return for genotyping a selection of their animals specified by ICBF. Genomic selection involves taking an animal’s DNA sample and sending it to a laboratory to assess its performance traits. Farmers can use this information predicting the genetic merit of their stock to inform their breeding and selection decisions. Application forms for the scheme will issue to farmers over the coming weeks.

The Government’s investment is a strong vote of confidence in the suckler beef sector. It exemplifies the smart, green growth initiatives envisioned in the 2020 strategy and, coupled with additional support measures under the new Rural Development Programme, will underpin the development of a sustainable beef sector with long-term growth potential.

Horse Slaughtering Data

Questions (173)

Brendan Smith

Question:

173. Deputy Brendan Smith asked the Minister for Agriculture, Food and the Marine the proposals he has to assist farmers who wish to dispose of horses in view of the poor market returns for such animals at present; if he proposes to introduce a scheme for the depopulation of horses; and if he will make a statement on the matter. [6120/14]

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Written answers

My Department has put procedures in place to facilitate the humane disposal of unwanted and at-risk horses on farm by way of licensed knackeries and has also indicated that it is in a position to provide emergency funding to assist horse owners who cannot afford to pay for their humane disposal. Farmers who are facing a critical horse welfare issue over the coming months can contact the Department helpline Lo-call 1850 211 990 for assistance.

In addition, the on-going work being undertaken by local authorities in conjunction with the Department via the Control of Horses Act, 1996 has reduced the numbers of abandoned horses throughout the country particularly in urban areas. Local authorities are humanely disposing of a considerable number of horses seized under the Control of Horses Act on an on-going basis where there is no possibility of re-homing or returning these horses to their owners.

My Department also continues to stress that it is the responsibility of horse owners to ensure the welfare of horses in their ownership and/or their care and to dispose of them appropriately. In this context, horse owners are reminded of the advice of the Farm Animal Welfare Advisory Council that, where an owner can no longer adequately provide for their horse or where the horse can no longer fulfil the purpose for which is was bred, he or she should dispose of the animal.

Direct Payment Scheme Applications

Questions (174)

Michael Healy-Rae

Question:

174. Deputy Michael Healy-Rae asked the Minister for Agriculture, Food and the Marine his views on correspondence (details supplied) regarding over-claims; and if he will make a statement on the matter. [6122/14]

View answer

Written answers

The Deputy will be fully aware of the value of the EU funded Direct Payment Schemes to Ireland. Each year farmers in Ireland benefit from funding of over €1.5 billion under Schemes such as the Single Farm Payment Scheme, the Disadvantaged Areas Scheme, the Agri-Environment Schemes, etc. This comprises the entire net income of many thousands of Irish farmers.

The European Commission has an obligation to ensure that Member States manage and use the EU funding granted to them in accordance with the very restrictive provisions governing the Schemes and general financial provisions. Under the Common Agricultural Policy, this is done by way of a Clearance of Accounts procedure. This is a formal process and both the Commission and Member States are obliged to adhere to the requirements laid down in the legislation. In the case of Ireland, the Clearance procedure is currently covering five financial years involving the 2008 to 2012 scheme-years. In that regard, I can assure the Deputy that every effort is being made to ensure that Ireland’s case and the position of Irish farmers is strenuously argued to avoid the types of disallowances that have been common in other Member States.

I would like to confirm that each year my Department forwards maps, Terms and Conditions and covering explanatory letters to all applicants. In all of the documentation forwarded, it is made very clear to farmers that they should not claim on any ineligible land or features such as houses, buildings, farmyards, lakes, bogs or scrub etc. In processing the applications under the Single Farm Payment Scheme and other Direct Aid Schemes, my Department is legally obliged to adhere to the requirements set out in the EU Regulations governing each of the Schemes. It is not possible to deviate from the provisions of these schemes. If an applicant over-declared his or her area in the application the provisions of the Regulations must be respected in relation to the calculation of deductions and penalties.

I am fully aware of the outcome of the review on individual cases particularly on the cases, where the level of ineligible area over-declared was greater than 20% and no payment is due to the applicants. My Department arranged to write individually to each of these applicants outlining the situation and attaching maps illustrating the ineligible features. In addition, these applicants were given details of a contact telephone number and informed that their farm would be visited by a Department official to verify the level of the over-declaration. If the level of over-declaration was over-stated, the matter will be corrected and if the revised over-declaration is less than 20%, the appropriate payment can be made to the applicants in question.

If applicants are not happy with the outcome of the verification visit, they can submit an appeal to the Independent LPIS Appeals Committee, chaired by Mr Pádraig Gibbons.

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