Léim ar aghaidh chuig an bpríomhábhar
Gnáthamharc

Farming Sector.

Dáil Éireann Debate, Tuesday - 6 July 2004

Tuesday, 6 July 2004

Ceisteanna (97)

Eamon Gilmore

Ceist:

129 Mr. Gilmore asked the Minister for Agriculture and Food how he will encourage young people to take up farming. [20076/04]

Amharc ar fhreagra

Freagraí scríofa

One of my main objectives is to ensure a policy framework which will allow agriculture and the agri-food sector to develop to its full potential. In this regard, the recent reform of the CAP will lead to the development of a sustainable and competitive sector. This in turn will ensure that agriculture will remain an attractive career option for young people.

In addition, there are a number of specific measures aimed at encouraging young persons into farming.

The principal mechanism is the Installation Aid Scheme, which was established pursuant to the National Development Plan 2000-2006 and the early retirement scheme. Under the installation scheme, a grant of €9,523 is available to young farmers under the age of 35 years, who have become established in farming for the first time on or after 1 January 2000. In addition, top-up grants are also available to young farmers under both the dairy hygiene scheme and the farm waste management scheme.

Under the Early Retirement Scheme,older farmers are encouraged to retire early from farming in order to qualify for a pension which is jointly funded by the EU and by the National Exchequer, thereby encouraging their replacement by younger farmers able to improve, where necessary, the economic viability of agricultural holdings.

The changes which I introduced to the milk quota regime in Ireland in 2000 have been very successful in achieving the overall objective of putting quota definitively in the hands of active committed producers, at the lowest possible cost. The milk quota restructuring scheme is now the principal means by which additional milk quota is acquired by producers. Under the scheme, priority in the allocation of quota is given to specific categories of producers and in particular to new and recent entrants to dairying.

In 2000, I put in place a scheme for the allocation of 5 million gallons of the additional quota negotiated under Agenda 2000 to young milk producers who satisfied certain defined criteria. The 3,099 eligible applicants each received an allocation of 1,700 gallons. Furthermore, in 2001, an additional 4.5 million gallons was allocated to young farmers and 3,442 applicants each received an extra 1,300 gallons under that scheme.

I have also provided for milk production partnerships within the quota system in order to allow for flexibility in farming practice by combining two enterprises and quotas. Standard milk production partnerships were provided for in 2002. Following a review of the first year of the operation of the partnerships, I introduced new regulations to provide for the registration of new entrant/parent milk production partnerships. These arrangements allow a qualified young farmer to be part of a milk production enterprise in partnership with his/her parent without having to establish separate facilities. Such partnerships provide an opportunity for trained young farmers to get established in the industry and have access to quota, as a priority category, under a milk quota restructuring scheme.

In the light of experience, I have introduced some further flexibility into the partnership arrangements. In the new milk quota regulations which I signed in the last few weeks, I have therefore made a number of amendments designed to help prospective partners.

Partnership arrangements within the milk quota system have a very useful role to play in providing for the type of flexibility necessary to respond to the demands on today's milk producers. The uptake in the new entrant-parent partnerships has been particularly encouraging. I will continue to keep the arrangement under review to ensure it is best suited to the needs of the sector.

There are also a number of tax incentives available to encourage young persons into farming, which include: 100% stock relief for young trained farmers for four years after transfer; 100% stamp duty relief on transfers of agricultural land and buildings to young trained farmers; 90% agricultural relief on capital acquisitions tax; income tax exemptions for land leased by farmers over 40 to non-connected persons; retirement relief on capital gains tax for farmers over 55.

In relation to education and training, Teagasc devote a considerable amount of time and resources into the promotion of farming as a career. National advertising campaigns are conducted twice each year promoting the full range of their education and training courses. In this regard, a total of €140,000 was spent in 2003 on advertising campaigns. In addition, career events are held at all eight colleges twice each year.

The purpose of the open days is promote the courses at the colleges and careers in agriculture and horticulture. Invitations are issued to all second level schools and to over 900 guidance counsellors to attend these events and these events are advertised in the national newspapers. In addition, parents and Teagasc clients are invited to attend. A detailed course prospectus is produced each year outlining the full range of Teagasc courses and these are also sent to every second level school and guidance counsellor. Teagasc aims to have a presence at all career guidance seminars and events and in addition education officers and college teachers visit as many second level schools as possible to promote agricultural education and training. Details of all Teagasc careers events and the full text of the Teagasc prospectus are available for downloading from the Qualifax website. In addition, full details regarding courses and colleges are available on the Teagasc public website - www.teagasc.ie.

Barr
Roinn