Vol. 510 No. 3
66 Mr. B. Smith asked the Minister for Agriculture, Food and Rural Development the rate of progress being achieved in the delivery of direct payments to farmers, including sheep and cattle producers, in respect of headage payments, arable aid and extensification payments; the proportion of average farmer incomes accounted for by these payments; and if he will make a statement on the matter. [22343/99]
To date this year, almost £633 million has been paid to farmers under the various EU headage and premium schemes of which some £381 million relates to payments made under the 1999 schemes. In the past week alone almost £124 million has been paid. I would like to point out that under the suckler cow and special beef premium schemes, payments totalling £112 million were made to farmers on 1 November 1999. My Department has succeeded in paying the highest ever number of farmers on the first day on which EU regulations permit payments to be made. Payments under all of the schemes are in line with the targets set out in the Charter of Rights for Farmers. Payments under the 1999 deseasonalisation slaughter premium scheme commenced on 4 March 1999 – payments under that scheme are made within 60 days of application – and 99 per cent of all applicants have been paid some £14 million to date.
The first and second instalments of the 1999 ewe premium scheme have been paid to over 97 per cent of applicants.
Payments under the disadvantaged areas headage schemes commenced in September last. Payments amounting to almost £16 million have been made to 80 per cent of sheep headage applicants, while some £80 million has been paid to 82 per cent of cattle headage/beef cow applicants. Payments under these schemes will continue to be made on an ongoing basis.
Payment of the 60 per cent advances under the 1999 special beef premium commenced on 1 November 1999 in line with EU regulations. To date over £51 million has been paid in respect of 83 per cent of January to July applications. At this time last year only 68 per cent of January to July 1998 applications had been paid.
Likewise, payment of the 60 per cent advances under the suckler cow premium scheme also commenced on 1 November 1999 and so far some £65 million has been paid to 81 per cent of May 1999 applicants. The position last year was that only 72 per cent of May 1998 applicants were paid at this time.
Payments under the 1999 arable aid scheme commenced on 18 October 1999 – the earliest possible date on which payments could commence. Including oilseeds advances, a total of £79 million has now been paid to 96 per cent of all applicants. The position at this time last year was that £74 million had been paid under the 1998 arable aid scheme to only 90 per cent of applicants.
As regards the 1999 extensification premium scheme, payments are due to commence in the period April to June 2000. The October 1999 suckler cow premium applicants will not have completed their six month retention period until the end of April 2000, therefore payments under this scheme cannot commence until after that date.
According to the CSO's figures for 1998, the last year for which full data is available, direct income payments accounted for 56 per cent of aggregate farm income. The contribution that these payments make to farm incomes is not yet available for 1999, as the first estimate of agricultural output, input and income is not due to be released by the CSO until early December.
