Eamon Gilmore
Ceist:6 Mr. Gilmore asked the Minister for Agriculture, Food and Rural Development the progress, if any, made in relation to alternative forms of enterprise; and if he will make a statement on the matter. [26463/99]
Other Questions. - Alternative Enterprises Scheme.
The alternative enterprises scheme was operated by my Department as a diversification measure under the Operational Programme for Agriculture and Rural Development and Forestry, 1994-99. Under the scheme, grant aid was available for farmers and rural dwellers for housing and handling facilities for horses, deer, goats, rabbits and other species where a specific need was identified.
That is all the Minister of State can talk about – deer, goats and rabbits.
The Deputy has enough trouble with Councillor Murphy on the march.
The scheme also provided for grants towards the cost of deer breeding stock. Over 3,000 enterprises have been grant-aided amounting to almost £12 million, representing investment of over £30 million. I am conscious of the importance of this scheme for the development of alternative on and off-farm activities in rural areas in order to help to maintain viability of the rural population. An allocation of some £12 million is proposed for the years 2000-06 for the reintroduction of a further scheme. The detailed terms and conditions of the new scheme are currently under consideration.
I thank the Minister for his reply. What is the trend with alternative enterprises? Did they taper off towards the end of the 1994-99 term or did they experience growth? What other aspects of alternative enterprises does he feel have the scope for employment and income generation in rural areas?
The scheme was introduced in December 1994 and some 4,400 applications had been received by 4 October 1996 when the scheme was terminated because demand for the scheme exceeded the available funds. Leader funding was then used instead, particularly in the horticultural area. There was a serious level of take-up on the scheme, particularly in the sport horse production area in which some £9,510,000 was expended. Deer accounted for £1,998,000, goats accounted for £19,386 and I am glad to note that £203,000 was expended on greyhounds. The total expenditure was £11,721,000 million. The scheme was extremely popular although, unfortunately, there was not a sufficiency of funds. We used funds from other areas to assist development in these areas.
Is the £12 million outlined in the national development plan indicative funding? I am concerned that there would be sufficient moneys throughout the lifetime of the plan to meet the demands of worthwhile projects.
The £12 million funding is available but the funding may have to be reviewed at an early stage of the plan. We will be dependent on the conditions set down by the EU which is becoming increasingly strict in regard to applications and is seeking more innovative and sustainable projects. The new Leader programme is also due to be introduced which will comprise two specific parts – Leader Plus, which the EU has stipulated must be innovative, and the old Leader scheme for which approximately £110 million will be provided. That money will supplement the scheme's funding.
I want to ask the Minister of State about a matter close to his heart to which he referred in his supplementary reply. In regard to sport horse production, this area was extremely successful and the level of take-up was high—
The Deputy should put a question to the Minister.
Given that the scheme was so successful, will the Minister give us an indication or guarantee that a similar scheme will operate under the next Government programme? Would he consider extending the scheme in order that it might also apply to the thoroughbred industry or part of it? The Minister will be aware that a certain sector of that industry receives State assistance through tax reliefs—
I would ask Deputy Bradford to keep his questions brief. His colleagues are also offering and he is denying them the opportunity to do so.
There is a need for quality in the sport horse sector. The thoroughbred side of the industry is already well catered for by the Minister.
It is about all the Minister is looking after.
A sum of £5,000 in prize money will be provided from 1 January for every race meeting. That will be a huge success.
What about the price of cattle?
What about the pig sector?
This scheme is self-financing.
Racehorses and rabbits, that is all the Department is looking after.
The Deputy is not in production. We want to ensure a better quality of sport horse and the scheme will assist with the attainment of that objective. We want to achieve proper breeding industries. While funding will be available under the scheme for housing and handling facilities, the industry itself is demanding a better style of horse in order that we can continue to export at our present levels.
What about deer farmers?
A number of Deputies are offering supplementaries and I would like to facilitate them. However, if Members use up the six minutes with interruptions, it is not possible to do that. The matter is in the Members' own hands. We move on to Question No. 7.