Written Answers Nos. 1 - 30
9. Deputy Willie Penrose asked the Minister for Agriculture, Food and the Marine the steps he is taking to end the unacceptable delays in the payment to eligible participants of moneys due from the GLAS and AEOS schemes; and if he will make a statement on the matter. [4840/17]
Amharc ar fhreagraIt critical that we protect the Irish countryside for the benefit of all and agri-environment schemes such as GLAS and the earlier AEOS provides support to farmers to do this. Under the EU Regulations governing the Scheme and other area-based payment schemes, a comprehensive administrative check, including cross-checks with the Land Parcel Identification System, have to be completed before payments can issue. These checks have been completed in the majority of cases and 2016 payments totalling over €120m have already issued to farmers under these Schemes.
GLAS
The number of farmers active in GLAS is almost 37,500, of which 25,825 are in GLAS 1 and 11,667 in GLAS 2. Almost 20,000 farmers in GLAS 1 and almost 8,700 farmers in GLAS 2, have successfully completed the GLAS prepayment checks in respect of the 2016 scheme year and a first payment instalment of 85% has issued. The balancing payment due to farmers who have received 85% of their 2016 payment will issue later in the year when the last of the required on the spot inspections has been initiated.
The most recent payments issued on the 30 January 2017 and further payments will issue on a weekly basis as files clear the required checks. To comply with governing regulations and strict European Union audit requirements it is absolutely clear that all administrative checks must be passed and eligibility conditions met before payment can issue.
I would also point out that 2016 has been an exceptionally busy year for the GLAS Scheme as an additional 11,500 farmers were processed to approval in GLAS 2 and a further 14,000 new applications were submitted under Tranche 3 and are currently being processed to approval stage with a view to increasing the overall numbers in the scheme to in excess of 50,000 scheme participants from 1 January 2017. I acknowledge that payment targets have not been fully met, with 3,000 GLAS 1 and almost 6,000 GLAS 2 payments remaining to be fully processed, this is due mainly to unanticipated outcomes of the checks required to be carried out on each application. Available resources are being maximised including the availability of overtime to expedite the processing of outstanding payment files.
Outstanding payments under both GLAS 1 and GLAS 2 are delayed due to a variety of reasons including the declaration of incompatible parcel usage on the Basic Payment Scheme (BPS) application for a chosen GLAS action; changes in parcel boundaries on which a GLAS action is chosen including splitting or merging of parcels; an applicant no longer claiming a parcel on their 2016 BPS; incomplete documentation such as incorrect information on Low-Emission Slurry Declaration; incomplete interim commonage management plans and incompatible data and parcel history on Department databases.
AEOS
Just over 8,615 farmers in the Agri Environment Options Scheme are due a payment in respect of 2016. A payment has issued to 6,020 AEOS farmers with almost 2,600 remaining to be paid.
As in GLAS, AEOS 2016 payments are issued in two parts with an advance payment of 85% and the remaining 15% issuing thereafter.
Outstanding payments under AEOS 2 are largely delayed due to rechecks which must be completed on payments made for all scheme years before the final contract payment can be processed. Outstanding payments under AEOS 3 are delayed by stocking density checks - farmers had until 31 December 2015 to meet their stocking density on commonages and a density check must be completed before payment can issue.
Payments under both AEOS and GLAS will continue to issue on an ongoing basis as issues are resolved and cases are cleared for payment.
10. Deputy Martin Heydon asked the Minister for Agriculture, Food and the Marine the status of the provision of low cost funding for farmers; the number of farmers he expects that will benefit from the new initiative; and if he will make a statement on the matter. [4875/17]
Amharc ar fhreagraI was pleased to announce the launch of the “Agriculture Cashflow Support Loan Scheme” on Tuesday. One of my priorities has been to address the impact of the change in the sterling exchange rate and lower commodity prices in some sectors, which have caused cash flow difficulties for farmers. The Scheme was developed in co-operation with the Strategic Banking Corporation of Ireland (SBCI), which has confirmed that AIB, Bank of Ireland and Ulster Bank will distribute the loans, making €150 million available to farmers throughout Ireland at interest rates of 2.95%. It will provide farmers with a low cost, flexible source of working capital and will allow them to pay down more expensive forms of short-term debt, ensuring the ongoing financial sustainability of viable farming enterprises.
This loan scheme forms part of a “three pillar strategy” in response to income volatility, which I announced as part of Budget 2017. Along with tax measures and farm payments, it will alleviate some of the pressures being caused by the recent market difficulties, which have been compounded by the uncertainty around Brexit.
The loans will be available to all livestock farmers, tillage farmers, horticulture producers (including mushroom growers) and others involved in primary agricultural production (including poultry producers). The loans will be for amounts up to €150,000 for up to six years. The interest rate at 2.95% will represent a significant saving for farmers when compared with other forms of short term unsecured finance currently available. The loans will be flexible with interest only facilities of up to three years.
The SBCI has demonstrated its commitment to the agriculture sector and has worked with my Department to get this product to the market in a timely manner. I welcome the participation of the main banks, which will ensure nation-wide coverage for the scheme. The fact that most farmers will have an existing relationship with the participating banks should facilitate the loan application process. Normal lending assessment criteria will apply although the loans will be ‘unsecured’ in nature, thereby facilitating a more straightforward application process. Potential applicants should note that the loans will be dispersed on a “first come, first served” basis and will need to be allocated by late summer 2017 to comply with the requirements attaching to the EU funding.
The number of farmers that will benefit will depend on the size of the loans. Loans are for amounts up to €150,000 but there is no minimum loan amount specified.
14. Deputy Thomas Byrne asked the Minister for Agriculture, Food and the Marine the total number of persons in receipt of GLAS 1 and GLAS 2 payments who have received 85% of their total 2016 payment in County Meath; the number of farmers in County Meath who have passed all payment approval checks and are awaiting their 2016 payment; the total number of GLAS and AEOS recipients in County Meath who have yet to receive payment; and if he will make a statement on the matter. [4927/17]
Amharc ar fhreagraUnder the EU Regulations governing the Scheme and other area-based payment schemes, a comprehensive administrative check, including cross-checks with the Land Parcel Identification System, have to be completed before any payment can issue.
GLAS
The number of farmers in Co. Meath active in the GLAS 1 scheme is 442 and a further 211 are active in GLAS 2.
A total of 327 participants in GLAS 1 and 154 in GLAS 2, have successfully completed the GLAS prepayment checks in respect of the 2016 scheme year and a first payment instalment of 85% has issued. The balancing payment due to farmers who have received 85% of their 2016 payment will issue later in the year when the last of the required on the spot inspections has been initiated.
The most recent payments issued on the 30 January 2017. In respect of Co. Meath the 115 GLAS 1 and 57 GLAS 2 applications continue to be processed with a view to effecting payment as early as possible.
Outstanding payments under both GLAS 1 and GLAS 2 are largely delayed due to declaration of incompatible parcel usage on the Basic Payment Scheme (BPS) application for a chosen GLAS action; changes in parcel boundaries on which a GLAS action is chosen including splitting or merging of parcels; an applicant no longer claiming a parcel on their 2016 BPS; incomplete documentation such as incorrect information on Low-Emission Slurry Declaration; incomplete interim commonage management plans and incompatible data and parcel history on Department databases.
The number of farmers in Co. Meath active in the AEOS 2 scheme is 54 and a further 29 are active in AEOS 3.
A total of 31 participants in AEOS 2 and 21 in AEOS 3 have successfully completed the prepayment checks in respect of the 2016 scheme year and payment has issued. As in GLAS, AEOS 2016 payments are issued in two parts with an advance payment of 85% and the remaining 15% issuing thereafter. The most recent payments issued on 31 January 2017.
Outstanding payments under AEOS 2 are largely delayed due to rechecks which must be completed on payments made for all scheme years before the final contract payment can be processed.
Outstanding payments under AEOS 3 are delayed by stocking density checks - farmers had until 31 December 2015 to meet their stocking density on commonages and a density check must be completed before payment can issue.
A small number of payments under both schemes are held up due to incomplete documentation and all Scheme participants are reminded to submit any outstanding documentation as soon as possible to facilitate payment.
17. Deputy Bobby Aylward asked the Minister for Agriculture, Food and the Marine the number of delayed GLAS payments for 2016 to farmers in counties Carlow and Kilkenny; and the reason for same. [4850/17]
Amharc ar fhreagraUnder the EU Regulations governing the Green, Low-Carbon, Agri-Environment Scheme and other area-based payment schemes, a comprehensive administrative check, including cross-checks with the Land Parcel Identification System, must be completed before any payment can issue.
The position in relation to Co. Carlow is that 283 farmers are active in GLAS 1 and 131 farmers in GLAS 2. A total of 202 in GLAS 1 and 106 GLAS 2, have successfully completed the GLAS prepayment checks in respect of the 2016 scheme year and a first payment instalment of 85% has issued.
In respect of Co. Kilkenny the corresponding figures are 445 GLAS 1 and 216 GLAS 2 active in GLAS with 320 in GLAS 1 and 169 in GLAS 2 having received their first payment of 85%.
The balancing payment due to farmers in both counties who have received 85% of their 2016 payment will issue later in the year when the last of the required on the spot inspections has been initiated.
81 GLAS 1 and 25 GLAS 2 Carlow applications and 125 GLAS 1 and 47 GLAS 2 Kilkenny applications continue to be processed with a view to effecting payment as early as possible.
Outstanding payments under both GLAS 1 and GLAS 2 are largely delayed due to declaration of incompatible parcel usage on the Basic Payment Scheme (BPS) application for a chosen GLAS action; changes in parcel boundaries on which a GLAS action is chosen including splitting or merging of parcels; an applicant no longer claiming a parcel on their 2016 BPS; incomplete documentation such as incorrect information on Low-Emission Slurry Declaration; incomplete interim commonage management plans and incompatible data and parcel history on Department databases.
Payments under the Scheme will continue to issue on an ongoing basis as issues are resolved and cases are cleared for payment.
18. Deputy Charlie McConalogue asked the Minister for Agriculture, Food and the Marine the status of the process of reviewing qualifying areas for the areas of natural constraint scheme; if his Department has completed the mapping exercise; when the maps will be published; the consultation that will be undertaken with farmers on the review; and if he will make a statement on the matter. [4905/17]
Amharc ar fhreagraArticle 32 of EU Regulation 1305/2013 requires all member states to implement a new system for designating eligible areas under the Areas of Natural Constraints (ANC) scheme from 2018 at the latest. At present, eligible land under the scheme is designated by reference to criteria such as stocking density, family farm income, population density and the percentage of the working population engaged in agriculture.
Under the new system of designation which must be introduced in 2018, eligible areas will have to be designated on the basis of biophysical criteria. The criteria set out in the legislation are:
- Low temperature
- Dryness
- Excess soil moisture
- Limited soil drainage
- Unfavourable texture and stoniness
- Shallow rooting depth
- Poor chemical properties
- Steep slope.
My Department has commenced work on this project, and relevant technical experts are currently analysing data in relation to the new criteria. This analysis will identify areas deemed to be facing natural constraints, which will in parallel be subjected to a refinement process.
Once this process is complete, the draft data will provide the basis for the identification of eligible areas for ANC. It is envisaged that stakeholders will be consulted as this process develops.
19. Deputy Thomas P. Broughan asked the Minister for Agriculture, Food and the Marine the steps he is taking to protect the agrifood market in view of Brexit and in view of the fact that recent reports stated that exchange rates have already cost exporters approximately €570 million in 2016; and if he will make a statement on the matter. [4845/17]
Amharc ar fhreagraI am acutely aware of the potential risks and challenges that arise in the agri-food sector from the Brexit vote, and have been taking steps both to mitigate the short-term impact and to prepare for the longer-term implications that are likely to arise in areas such as tariffs and trading arrangements, and border controls and certification requirements.
The question refers to the most immediate impact of the vote, which has arisen from the effects of the fall in the value of sterling against the euro, with sectors such as mushrooms and forestry particularly exposed due to their high dependence on the UK market.
In this regard it is noteworthy that Bord Bia estimates that the overall value of agri food exports increased by 2%, to a record €11.15 billion in 2016, despite a reduction of approximately €356 million in the value of such exports to the UK. The proportion in value of exports to the UK declined from 41% in 2015 to 37% in 2016, but this was offset by increased exports to other EU and third countries.
Without diminishing the critical importance of the UK market to the Irish food sector, it is heartening to see that progress is being made on increasing the share of exports to other markets. I have provided additional resources to Bord Bia in both 2016 and 2017 to assist it in its efforts to promote Irish Food and I will be engaging in a number of trade missions in 2017 to help industry to increase the profile of Irish food and build business relationships in overseas markets.
I will be visiting Saudi Arabia and UAE at the end of this month, and in 2016 I lead missions to China the Far East and North Africa to promote the trade agenda.
In the UK, I have met with the CEOs of major multiples and with political counterparts to assure them that Irish companies remain determined to occupy a prominent position as suppliers of high quality product on UK supermarket shelves.
In parallel with this work, my department is engaged in efforts to obtain access to new markets for Irish agri food products and to simplify certification and trading conditions in countries to which we already have access. I am currently considering a reconfiguration of this work to intensify these efforts.
At farm level, my Department and its agencies have implemented a range of measures, a new low-interest agri-cash flow fund of €150m, a number of agri-taxation measures, and increased funding for the Rural Development Programme, to mitigate the impact of Brexit and improve the competitiveness of Irish agriculture.
I can assure the Deputy that these efforts will continue, and that progress will be monitored on an ongoing basis and in consultation with affected sectors, including through my Department’s Consultative Committee of Stakeholders on Brexit and the All Island Civic Dialogue.
20. Deputy Pat The Cope Gallagher asked the Minister for Agriculture, Food and the Marine if fisheries will be a priority for the Government in view of the recent submissions and presentations to the Joint Committee on Agriculture, Food and the Marine on the impact of Brexit on fisheries; the action the Government has taken to date in terms of highlighting the importance of fisheries with all of the other member states; if this matter was on the agenda for the meeting with the Spanish Prime Minister when An Taoiseach met him recently; and if he will make a statement on the matter. [4849/17]
Amharc ar fhreagraBrexit is obviously foremost in our minds and in Government it is very much a priority. It poses enormous challenges for the Irish agri-food sector as a whole including the fisheries sector. However, potentially, depending on what the UK seeks to do, there are additional and unique challenges for our fishing industry.
Fish stocks are a shared resource managed under the Common Fisheries Policy of the European Union. Nearly all of the main commercial stocks upon which the Irish fisheries sector is reliant are shared to some degree with the UK. In addition, many of our traditional fishing grounds lie within UK waters. Any change to the existing situation could have very serious negative consequences for our fleets.
My Department, together with its agencies and stakeholders, has been considering all of the potential impacts, looking at the areas where the greatest risks will arise and on which we will need to focus when the negotiations begin. Ensuring that our fishing interests are reflected in the overall EU negotiating position will be a key priority.
I have established a dedicated Brexit unit in my Department, and a consultative committee of stakeholders has been convened in order to ensure a full exchange of information as negotiations proceed. My Department also organised a dedicated Civic Dialogue on the Impact of Brexit for the Seafood Sector which was held yesterday.
This was an excellent and well attended engagement dealing with all of the potential issues and we will continue to have an ongoing dialogue with key stakeholders.
My officials are in constant contact with their counterparts in the European Commission and just last week met with the Director General of Fisheries to impress upon him Ireland’s key interests in the upcoming negotiations.
I will remain in close contact with fisheries stakeholders as the issues develop and work with them and my fellow fisheries Ministers in the EU to ensure that we are all fully prepared for what are likely to be extremely complex negotiations.
While fisheries was not specifically on the agenda for the Taoiseach’s recent meeting with Prime Minister Rajoy, the excellent bi-lateral relationship we hold with Spain was discussed and it was agreed that we will continue to work closely together in the coming period. The Taoiseach was pleased to have Prime Minister Rajoy's assurance that we share the objective of constructive negotiations towards a close future relationship between the EU and the UK.
21. Deputy Martin Kenny asked the Minister for Agriculture, Food and the Marine when the commonage implementation committee will meet; and if he will make a statement on the matter. [4852/17]
Amharc ar fhreagraI recently appointed a new chair of the independent Commonage Implementation Committee.
Since that appointment on 23 November 2016 the committee has met twice - on 21 December 2016 and on 27 January 2017. A date for the next meeting of the committee will be fixed by the chairperson, in consultation with committee members, in due course to ensure timely responses to such issues as may be referred for the committee’s consideration from time to time.
The remit of the committee is to make recommendations in cases;
- where there is disagreement between shareholders on a commonage,
- where dissatisfaction with the assigned commonage advisor is expressed, or
- where individual shareholders request a derogation from the minimum stock numbers to be carried by them for the duration of the commonage management plan.
To date, the number of issues presenting for the committee's attention is less than originally expected. This reflects the level of co-operation that exists between all stakeholders and the genuine efforts by all concerned to put in place workable solutions where difficulties arise. I do, however, expect that over the coming months, as Commonage Management Plans are further developed, to see a number of referrals to the committee in instances where some shareholders may have difficulty in achieving their individual minimum stocking requirements.
Commonage represents a significant proportion of all lands declared annually for the purposes of the Basic Payment Scheme (BPS) and other direct payments. Approximately 7% of all land declared annually on BPS by 14,000 separate farmers is commonage, with over 6,500 already participating in GLAS 1 or GLAS 2. This figure is expected to rise to in excess of 9,000 in 2017 as a further 2,700 commonage farmers who have applied for GLAS 3 are approved into the Scheme.
The basis for payment under GLAS is in respect of actions which are above the baseline requirements for the Basic Payment Scheme. This requires a Commonage Management Plan for all GLAS shareholders farming commonages greater than 10 hectares in size. This will mean an individual stocking requirement for each shareholder and a move to the management of the commonage under GLAS by means of a single Commonage Management Plan, where shareholders work together to manage the grazing effort and any other actions required (for example to conserve habitats or bird species). In recognition of this, the rate of payment for commonages has been increased from €75/ha under the previous Rural Development Programme to €120/ha for the current Rural Development Programme 2014 - 2020.
22. Deputy Martin Kenny asked the Minister for Agriculture, Food and the Marine the number of farms selected for remote sensing eligibility inspections in 2016; the way in which they were selected; the length of time it takes from selection to the results being relayed back to his Department; the date that such inspections commenced; and the date they finished. [4851/17]
Amharc ar fhreagraEU regulations governing the administration of the Basic Payment Scheme and other area-based schemes require that full and comprehensive administrative checks, including Ground or Remote Sensing (Satellite) inspections where applicable, are fully completed to ensure eligibility with the various schemes requirements, before any payments issue.
A total of 6,214 cases were selected for a remote sensing land eligibility inspection in 2016 under the Basic Payment Scheme, the Greening Payment, the Areas of Natural Constraints (including Islands) Scheme, the Young Farmers Scheme, the Protein Aid Scheme and the Beef Data and Genomics Scheme. The selection of cases for inspection is set down in EU regulations and is undertaken by means of a risk analysis process with cases being selected on a risk and random basis. All cases to be selected for inspection must be eligible beneficiaries under the various schemes. Therefore the selection of cases for inspection, while commencing after the closing date for receipt of applications, i.e. 15th May for the 2016 Scheme year, is an on-going process so as to ensure this specific regulatory requirement is adhered to. Furthermore as amendments to applications could be accepted by my Department up to 10th June 2016, the details of the land to be subject to the inspection could not be finally established until this period has elapsed.
The process of a remote sensing inspection involves a comprehensive review of the satellite imagery received at three stages during the year to ensure that the actual claimed area in the application form corresponds to the area farmed by the applicant, that the crop types are as claimed and that ineligible land or features are not included for payment purposes. The verification of crop types is of particular significance in relation to the ensuring compliance with Crop Diversification requirements for the Greening Payment. The governing regulations further prescribe that where it is not possible to make an accurate determination on the eligibility of a parcel or parcels of land by means of an assessment of the available imagery, a field visit must be undertaken to verify the position on the ground.
As the commencement of a remote sensing inspection is dependent on the receipt of and processing of a range of satellite imagery throughout the year it is not possible to give a definitive commencement date for an inspection. For the 2016 scheme year my Department commenced receiving final remote sensing inspection results from the beginning of September, with results for 99.7% of the selected cases having been received by mid December. Results for the majority of the remaining cases have now been received with a very small number of cases still outstanding. My Department is prioritising the processing of all outstanding cases and cases continue to be finalised to payment stage on a daily basis.
23. Deputy Niamh Smyth asked the Minister for Agriculture, Food and the Marine if he will address the concerns of farmers in counties Cavan and Monaghan that changes to the ANC payment scheme's criteria will leave thousands of farmers ineligible for any new scheme; and if he will make a statement on the matter. [4847/17]
Amharc ar fhreagraArticle 32 of EU Regulation 1305/2013 requires all member states to implement a new system for designating eligible areas under the Areas of Natural Constraints (ANC) scheme from 2018 at the latest. At present, eligible land under the scheme is designated by reference to criteria such as stocking density, family farm income, population density and the percentage of the working population engaged in agriculture.
Under the new system of designation which must be introduced in 2018, eligible areas will have to be designated on the basis of biophysical criteria. The criteria set out in the legislation are:
- Low temperature
- Dryness
- Excess soil moisture
- Limited soil drainage
- Unfavourable texture and stoniness
- Shallow rooting depth
- Poor chemical properties
- Steep slope.
My Department has commenced work on this project, and relevant technical experts are currently sourcing and analysing the data in relation to the new criteria. This analysis will identify areas deemed to be facing natural constraints, which will in parallel be subjected to a refinement process.
Once this process is complete, the draft data will provide the basis for the identification of eligible areas for ANC. It is envisaged that stakeholders will be consulted as this process develops.
24. Deputy Mick Wallace asked the Minister for Agriculture, Food and the Marine if he has read the recent revised risk assessment by the US Environmental Protection Agency regarding the use of chlorpyrifos, which found that this chemical can lead to serious attention, memory and motor difficulties in children; his views on its continued use in insecticides used here; and if he will make a statement on the matter. [4929/17]
Amharc ar fhreagraDeputy Wallace will be reassured to learn that my officials monitor all such regulatory activity in relation to all pesticides. With respect to the US EPA’s review of chlorpyrifos, and its most recent publication in November of 2016, I can inform the Deputy that my officials had already taken action, resulting in an immediate cessation of its use in Ireland by 31 March 2016. This action in Ireland was stimulated by issues which arose during the EU review of additional chlorpyrifos data concerning acceptable exposure levels for users.
I would like to take this opportunity to assure the House that my Department will continue to take account of all relevant regulatory developments concerning pesticides and take action where appropriate based on scientifically validated evidence.
25. Deputy Mick Wallace asked the Minister for Agriculture, Food and the Marine his views on reports that there are approximately 2,000 extra cattle to be killed every week here; his plans to deal with the challenges this will pose for the beef industry in the future; and if he will make a statement on the matter. [4930/17]
Amharc ar fhreagraThere are a number of challenges facing the beef industry in the short and medium term, including exchange rate volatility, Brexit and political uncertainty both within the EU and in third countries. One of the key elements in coping with these challenges is ensuring that there are sufficient markets for Irish beef. A strong demand for meat, including beef exists globally, and figures from the European Commission's most recent Short Term Outlook for meat markets showed a 2.1% projected growth of per capita beef consumption for 2016.
While we exported approximately 97% of our beef exports in 2016 to the UK and EU, I am acutely conscious of the importance of growing third country markets as a valuable outlet for any increase in Irish beef production. Indeed, this is a crucial component of the Food Wise 2025 strategy. Very significant progress has been made in this regard in recent years, and my Department is currently in the process of securing beef access to a range of third countries including China, South Korea, Ukraine, Thailand and Vietnam. This builds on the opening of some major markets in the last two years including the US, Canada and Japan. This is a vital means of providing our beef sector with as many commercial opportunities as possible for Irish beef in addition to our traditional European markets.
I am also very conscious of the vital role that live exports play in providing an alternative market outlet for Irish farmers, especially in an environment where the number of calf births has increased, as in recent years. The opening of the Turkish market for live cattle exports in 2016 has been a good example of this, with approximately 20,000 live cattle exported there over the course of the last few months. I also note that exports of live cattle to Libya have recommenced, which is a positive and welcome development. My Department is also currently actively examining the possibilities of bilateral health certificates for the export of cattle to Kazakhstan and Montenegro and for breeding cattle to Morocco. I remain actively committed to ensuring that Irish beef producers have the option of exporting to as many markets as possible.
One of my priorities now, particularly in the context of Brexit, is to further increase the market opportunity for Irish food and drink internationally. We are after all an exporting nation, with 90% of our food produce leaving the island. For this reason I led a major trade mission to four Asian Countries in September of last year and one to Algeria and Morocco at the beginning of November. I will also be leading a trade mission to Saudi Arabia and the United Arab Emirates at the end of February. Only through further increasing our footprint internationally will we help to mitigate the effects of Brexit and develop our agri-food sector to realise its full potential.
My Department and state agencies such as Bord Bia will continue to work to ensure that any increase in production from the Irish beef herd can deliver a viable return to the primary producer. I allocated additional funding to Bord Bia in Budget 2017 for the specific purpose of dealing with the impact of Brexit which will help to support Irish food and drink exports in 2017. This, in addition to the opening of a new office by Bord Bia in Singapore this year, will ensure that exports of Irish beef are promoted effectively to provide viable export markets for any increases in Irish beef production. Bord Bia has been very proactive in recent years in its promotion of Irish Beef in Europe and further afield and this work allied to our trade mission promotional work will help to ensure there are a growing number of viable markets open to Irish beef this year and into the future.
26. Deputy Willie Penrose asked the Minister for Agriculture, Food and the Marine if, in the context of the recent announcement by the British Prime Minister which indicates the UK's attitude to Brexit negotiations, he has taken steps to review the impact that such a decision would have on the agrifood industry and especially the beef industry; and if he will make a statement on the matter. [4843/17]
Amharc ar fhreagraThe recent announcement by Prime Minister May, while providing some further clarity in relation to the UK approach to the forthcoming negotiations, still leaves considerable uncertainty in relation to the likely course of the exit negotiations and the negotiations on the future EU-UK relationship. As such, the review of the potential impact on the agri-food sector, including the beef sector, that has been conducted by my Department, remains valid, in that it has taken into account the possibility of a so-called ‘hard’ Brexit.
The extent of the East-West and North-South trading relationships, and the fact that the UK is the natural first step for agri-food businesses moving into the exporting arena for the first time, means that the agri-food sector is particularly exposed not only to the more short-term impacts arising from the fall in the value of sterling against the euro, but also to the medium-long term impacts that will arise from changes to the EU-UK trading relationship, to regulations and standards, to origin labelling, to border controls and certification, and to the related areas of veterinary and health certification.
The Government remains very focused on supporting the agri-food industry, and the beef sector, through the challenges ahead. I will continue to consult with the industry as the negotiations develop, and I will continue to press Ireland's case for continued free access to the UK market, without tariffs and with minimal additional customs and administrative procedures.
27. Deputy Willie Penrose asked the Minister for Agriculture, Food and the Marine the number of farmers with breeding ewes who have made applications for the sheep welfare scheme; if his Department has plans to minimise the level of bureaucracy attached to the scheme; and if he will make a statement on the matter. [4842/17]
Amharc ar fhreagraThe new Sheep Welfare Scheme is part of Ireland's Rural Development Programme 2014-2020 and provides for funding of €25 million per annum for eligible sheep farmers to undertake actions which contribute to the welfare of the national flock. The scheme follows on from a commitment contained in the Programme for Partnership Government, and reflects the commitment of this Government to the sheep sector in Ireland.
The scheme provides support of €10 per ewe to farmers with breeding ewes flocks. Farmers are required to undertake two actions in each year of the scheme, with actions to be chosen from a menu of actions linked to lowland and hill type flocks.
To date, over 20,000 farmers have applied for the Scheme and I have recently extended the deadline for applications until the end of this week in order to facilitate the maximum number of applications. In rolling out the Scheme, I have been conscious of the need to ensure that application for and participation in the Scheme does not impose an undue level of administration on farmers. To this end, the application process has been simplified whereby farmers simply choose their actions from a menu and return the application form to the Department and record their actions in a Scheme Record Book. Officials in my Department have also delivered a series of ten information sessions for farmers around the country with the aim of explaining the aims, benefits and requirements of the Scheme. I am glad to say that these information sessions were very well attended in all the locations.
I would encourage any sheep farmers who have not yet applied to do so before the deadline of Friday the 3rd of February.
28. Deputy Michael Fitzmaurice asked the Minister for Agriculture, Food and the Marine if the plan to deal with the forgotten farmers as outlined in the programme for Government will be implemented and up and running before the end of 2017. [4879/17]
Amharc ar fhreagraEU Regulations governing the National Reserve provide that the two mandatory categories of ‘young farmer’ and ‘new entrant to farming’ must receive priority access to the Reserve. A young farmer is defined as a farmer aged no more than 40 years of age in the year when they first submit an application under the Basic Payment Scheme and who commenced their farming activity no more than five years prior to submitting that application. A new entrant to farming is defined as a farmer who commenced their agricultural activity during the previous two years and did not have any agricultural activity in their own name and at their own risk in the five years preceding the start of the present agricultural activity.
The Regulations governing the operation of the National Reserve also include an optional provision whereby Member States may use the National Reserve to allocate new entitlements or give a top-up on the value of existing entitlements for persons who suffer from a ‘Specific Disadvantage’. Support for such categories can only be considered once the two mandatory categories of young farmer and new entrant have been catered for. Decisions regarding the eligibility of farmers under the ‘specific disadvantage’ category of the National Reserve require the approval of the EU Commission. Ireland successfully negotiated the inclusion of a group of farmers commonly known as ‘old young farmers’ as a specific disadvantage group under the 2015 National Reserve.
A group commonly known as the ‘Forgotten Farmer’ group comprises farmers aged under 40, who established their holdings prior to 2008, and who hold no or low value entitlements and also consider themselves to be a category of specific disadvantage. Preliminary analysis carried out by my Department shows there are some 3,900 farmers in this category. An estimation of the cost of increasing the value of existing entitlements to the National Average for these 3,900 farmers stands at over €12 million. The Programme for a Partnership Government contains a commitment to further pursue the category of ‘forgotten farmers’ at an EU level.
In the context of negotiations with the EU Commission in relation to the ‘Old Young Farmer’ specific disadvantage category Ireland notified the Commission that there were other categories of farmers who may also require consideration as suffering from a ‘specific disadvantage’. The Commission notified Ireland that any application for a specific disadvantage category of the National Reserve may only be made to the EU Commission in the context of the operation of the National Reserve for that year.
In 2015 the National Reserve fund was based on a 3% cut to the Basic Payment Scheme financial ceiling and provided some €24 million in funding which was the maximum financing rate available under the relevant EU Regulations. There was no National Reserve in 2016 as all available funding had been utilised under the 2015 scheme. In order to provide for a National Reserve in 2017 funding is required to replenish the Reserve. EU Regulations governing the scheme provide that funding for the replenishment of the National Reserve may be obtained by means of surrender of entitlements that remain unused by farmers for two consecutive years and by claw-back derived following the sale of entitlements without land. It is envisaged that funding derived from these two sources in 2017 will be very limited. The Regulations also provide for the option of applying a linear cut to all farmers' entitlements to fund the National Reserve.
Consultation between Department officials and the Direct Payments Advisory Committee comprising members of the main farming organisations, agricultural education and farm advisory bodies takes place annually as part of the decision making process for the National Reserve. Decisions relating to the availability of a 2017 National Reserve can only be made following determination of available funding and the consultation process involving the Direct Payments Advisory Committee. This advisory group is due to meet shortly in relation to the 2017 National Reserve.
29. Deputy Niamh Smyth asked the Minister for Agriculture, Food and the Marine when farmers nationwide and particularly in counties Cavan and Monaghan will receive payment in phase 1 of the milk reduction scheme; and if he will make a statement on the matter. [4839/17]
Amharc ar fhreagraThe EU Voluntary Supply Management Scheme for dairy was a short term market stabilisation mechanism introduced by the EU Commission last year, as part of a range of tools to mitigate price volatility in the Dairy sector .
In phase 1 of the scheme, applicants were required to reduce milk production in the period October 2016 to December 2016, compared to the same period in 2015. Applicants have until February 3rd to apply via their cooperative/purchaser for payment. These applications must be sent on to my Department by February 9th. Payment will be on the basis of the actual reduction rather than that predicted in the application, subject to the certain terms and condition.
My Department will process the applications and payment will be made to qualifying participants following EU approval. Payments will be made within 90 days of the final date of the reduction period for phase 1, that is 31st December 2016, as laid out under the terms of the scheme.
Phase II of the scheme required applicants to reduce production in the period November 2016 to January 2017. The closing date for applications to co-ops under phase II has not yet been finalised, but is expected to be early March.
30. Deputy Michael Fitzmaurice asked the Minister for Agriculture, Food and the Marine if he will provide the appropriate instruction to his Department to pay farmers manually for the period which they are owed and in turn deal with the problems which the information technology department is having before the next GLAS payment in December 2017 (details supplied). [4878/17]
Amharc ar fhreagra2016 has been an exceptionally busy year in relation to GLAS with 2016 payments issuing to over 28,500 farmers. In addition 11,500 farmers were processed to approval in GLAS 2 and a further 14,000 new applications were submitted under Tranche 3 which are currently being processed to approval stage with a view to increasing the overall numbers in the Scheme to in excess of 50,000 scheme participants from 1 January 2017. While payment targets have not been fully met, with 3,000 GLAS 1 and almost 6,000 GLAS 2 payments remaining to be fully processed, this is due mainly to outcomes of the checks required to be carried out on each application.
All data in relation to the GLAS scheme is stored electronically and under the governing regulations everything that can be checked must be checked before any payment can be made. The Department as the accredited paying agency must ensure that all regulatory requirements are fully observed in processing payments to protect against the risk of future disallowances by the European Commission. Irrespective of how the payment issues the same checks are required to be carried out. Therefore, the introduction of a manual system of payment would most likely lead to lengthy delays as the required manual checks were completed. Officials in my Department are now focusing on clearing outstanding payments and the resolution of the issues experienced in this first full calendar year of GLAS payments will remove obstacles and streamline the computerised payment functionality for future years.
