Dáil Éireann Debate, Thursday - 30 October 2008
35 Deputy Ulick Burke asked the Minister for Agriculture, Fisheries and Food the loss in income to farmers in County Galway following his withdrawal of the area aid in disadvantaged areas, the calf to suckler scheme and the installation aid; and if he will make a statement on the matter. [37377/08]
Amharc ar fhreagraMy approach in preparing the 2009 Estimates for my Department was to focus available resources on the measures that allow us to maintain and grow the productive capacity of the agri-food sector. The 2009 Estimates provide over €1.8 billion for my Department, and, when combined with EU funding of €1.4 billion, means that total expenditure in 2009 by my Department will amount to over €3.2 billion.
While difficult decisions had to be taken in light of the situation of the public finances, account also had to be taken of the very high level of investment by the Government in recent years, when significant additional financial resources were committed to areas such as the rural environment scheme, where the rates of grant had been increased by 17 per cent, the new suckler cow welfare scheme and the farm waste management scheme and, indeed, the 8% increase in rates under the Disadvantaged Areas Scheme itself, introduced in 2007.
With regard to the 2009 Disadvantaged Areas Scheme, I decided to reduce expenditure for 2009, by reducing the maximum area limit to 34 hectares (84 acres) and by a small increase in the minimum stocking density requirement. While overall expenditure will fall, almost 67,000 farmers will not suffer any reduction in their payments as a result of the introduction of the 34-hectare limit. Furthermore, these farmers, as well as all claimants under the Scheme, will continue to benefit from the substantial increase of 8% in the rate of aid introduced by the Government in 2007.
In addition, of the 102,500 farmers who benefit under the Disadvantaged Areas Scheme, in excess of 50,000 of these also benefit under REPS, while in excess of 47,000 also benefit under the Suckler Welfare Scheme, which introduces a new stream of payments to farmers in 2008. It should also be taken into account, that in addition to the payments under these Schemes a further €920 million was paid to farmers with Disadvantaged Area lands under the 2007 Single Payment Scheme. Under the 2008 Disadvantaged Areas Scheme, there are 3,485 farmers in County Galway who declared, and were paid, for in excess of 34 eligible hectares.
The total amount payable of €220 million to farmers under the Disadvantaged Areas Scheme is part of the overall substantial injection of funds paid to farmers situated in the areas and the Scheme continues to be one of the best funded Disadvantaged Areas Schemes in the European Union.
Notwithstanding the difficulties in the public finances and the decisions I have taken against that background, the position is that in excess of €3.2 billion will be spent next year by my Department in support of agriculture, fisheries and food. It is important to get through this challenging period and continue towards achieving the full potential of our most important indigenous industry when the economy begins to grow again.
The Suckler Welfare Scheme has not been withdrawn. The commitment in the "Towards 2016" Partnership Agreement was that €250 million would be provided over five years 2008 — 2012 and this commitment is being honoured. There are almost 54,000 farmers currently participating in the scheme and in order to remain within the €250 million budget, it will be necessary to reduce the rate of payment in future years by reference to the actual level of participation. In the case of the Young Farmers' Installation Scheme, all fully completed applications from County Galway received by my Department up to and including 14 October 2008 will be processed and, if in order, payment will be made.
