Dáil Éireann Debate, Tuesday - 14 February 2017
566. Deputy Charlie McConalogue asked the Minister for Agriculture, Food and the Marine the specific nature of any Brexit financial support package for Irish farmers during the UK’s two year exit phase from the EU and subsequent transition phase; and if he will make a statement on the matter. [6901/17]
Amharc ar fhreagraThere is currently no specific Brexit support package at EU level. However, I have had informal discussions with Commissioner Hogan about the challenges facing Irish agriculture from brexit and sterling exchange rates, and in that context about support to help the sector navigate these difficulties. The Commissioner is sensitive to the pressures and has indicated that he will give the matter some consideration.
In the meantime, I have announced a range of support measures in recent months designed to support the agri-food sector in dealing with the impact of the fall in the value of sterling against the euro. These include additional funding for Bord Bia and Bord Iascaigh Mhara, increased expenditure on the Rural Development Programme and the Seafood Development Programme, agri-taxation measures and the recently-launched €150 million low-cost loan scheme, which uses Ireland's most recent EU aid of €11 million to leverage significant funding to help deal with the immediate impact of Brexit.
This allocation was combined with €14m in Exchequer funding to leverage a €150m loan fund, sourced through the SBCI and made available through on-lenders. The measure was announced as part of the Brexit package in Budget 2017, and I formally launched the Agriculture Cashflow Support Loan Scheme on 31 January. Loans of up to €150,000 are available from AIB, Bank of Ireland and Ulster Bank over a term of up to six years, at a reduced interest rate of 2.95%. They can be used for working capital or as an alternative to merchant credit or other short-term credit facilities.
