Dáil Éireann Debate, Wednesday - 10 March 2021
1055. Deputy Michael Creed asked the Minister for Rural and Community Development the level of demand for grant aid applications received under the LEADER food initiative for artisan, micro and small-food enterprises to date funded under the Rural Development Programme regulation number 1305/2013; the funding allocated for this initiative; the draw down of funding to date; and if applications are still being accepted. [13141/21]
View answer€15 million is allocated to the LEADER Food Initiative to support the further development of food and beverage businesses throughout rural Ireland.
The scheme is managed by my Department with funding from the Department of Agriculture, Food and the Marine. It is delivered at local level though Local Action Groups (LAGs), using the LEADER methodology. Projects are jointly approved by my Department and the Department of Agriculture, Food and the Marine.
Since its launch almost three years ago, a total of 109 projects with a combined grant value of over €6.72 million have been approved for funding under the LEADER Food Initiative. In addition, up to €1.68 million is available for the administration costs of the LAGs.
A further 13 applications, with a grant value of over €0.8 million are at earlier stages of the approvals process.
Project payments are drawn down as approved works are completed and claims for payment are submitted by the project promoters. To date, my Department has approved payment claims and associated administration costs totaling €2.36 million in respect of these projects. Final claims for payment under the initiative must be submitted to my Department no later than 30 June 2024.
Applications for financial support under the Food Initiative are still being accepted by the LAGs.
In December 2020, I announced details of a Transitional LEADER Programme which will come into effect from 1 April 2021 and run to the end of 2022. As part of this announcement, I also approved an increase in the rate of aid for private enterprises and commercial community projects, from a maximum of 50% to a maximum of 75%. LEADER Food Initiative projects approved on or after the 1st April 2021, which satisfy the conditions, can also be considered for the increased rate of aid by the LAG.
With almost €10 million of the total LEADER Food Initiative allocation having now been committed, I am confident that the remaining funding will be allocated between now and the end of the Transitional Programme period.
