Dáil Éireann Debate, Tuesday - 18 February 2014
641. Deputy Michael McGrath asked the Minister for Agriculture, Food and the Marine his views on the position of young farmers who took over the family farm in 2009 or 2010; his views on the way they will be affected by the changes in the new Common Agricultural Policy deal; his plans to address these issues; and if he will make a statement on the matter. [8187/14]
View answerThe definition of ‘young farmer’ under the new Direct Payments Regulation that will come into force in 2015 includes the criteria that such persons are aged 40 or less in their first year of application and that they have established their holding within five years of their first application under the Basic Payment Scheme. Persons who meet the definition of ‘young farmer’ under the new Direct Payment Regulation will be eligible both to apply to the National Reserve for an allocation of new entitlements or a top-up on the value of existing entitlements and also to participate in the Young Farmers Scheme.
The essential purpose of the Young Farmers Scheme is to assist young farmers in the initial stages of establishing a farming enterprise in their own name and to encourage generational renewal. It is for this reason that the payment is restricted to those who are establishing or have established such a holding in the previous five years. In addition the restricting of the payment to a maximum of five years will make it possible to support those young farmers who will come on-stream in the years subsequent to 2015.
Persons who establish their holding after May 2010 will qualify under the definition of ‘young farmer’ provided that they also meet the other relevant criteria.
Most farmers who have been farming for more than five years hold existing entitlements under the Single Payment Scheme. Where such farmers hold low value entitlements they 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.
