Dáil Éireann Debate, Tuesday - 7 December 2021
665. Deputy Holly Cairns asked the Minister for Agriculture, Food and the Marine his response to the concern by a group (details supplied) that the proposed Common Agricultural Policy Strategic Plan does not address the main issues faced by young farmers; and if he will make a statement on the matter. [60182/21]
Amharc ar fhreagraThe challenge of generational renewal is widely recognised both at national and EU level with the new Common Agricultural Policy (CAP) citing it as one of the nine key objectives. The Programme for Government and the Food Vision 2030 strategy also highlight the challenge of generational renewal and propose a number of actions to address this issue including maintaining the strong level of current support, the promotion of land mobility and succession planning, increased education and the promotion of the diversity of careers in agri-food.
There is a range of measures both under the existing CAP and at national level that aim to facilitate generational renewal. Under the current CAP, the National Reserve and the Young Farmers Scheme provide financial support to young farmers during the crucial early years when setting up a farm enterprise. From 2015 to 2020 some €110m has issued in total under the Young Farmers Scheme, benefitting on average over 8,000 farmers each year.
In addition, a further €35 million has been allocated since 2015 to young farmers under the National Reserve. Additionally, under the TAMS II Young Farmer Capital Investment Scheme, young farmers can avail of a 60% grant rate as compared to the standard rate of 40%, with over €133 million paid to some 5,300 young farmers. Additional support to young farmers is provided under the Collaborative Farming Grant Scheme.
At national level, there is a suite of taxation measures, both to facilitate succession and to support establishment, worth some €200 million per annum. The Future Growth Loan Scheme has also provided a source of finance for young farmers. In addition, Teagasc's education activities continue to focus on equipping young farmers with the necessary knowledge to build successful careers.
In terms of the new CAP Strategic Plan (CSP), as the Deputy will be aware, my Department has been actively engaging with stakeholders throughout the process of developing the new plan. The SWOT analysis and Needs assessment helped to shape the CSP draft interventions that were then followed by a five-week public consultation in September 2021 with over 1,000 responses received.
The Department has recently launched a Public Consultation on the draft Environmental Report on the draft CSP in November 2021 and my officials are currently considering these proposals as the CSP is being finalised. Consultation is also continuing via the CAP Consultative Committee and through bilateral meetings with the main representative bodies including Macra na Feirme.
Under the current CSP proposals, Ireland will implement the Young Farmers’ Scheme in the new CAP programme, dedicating some 3% of the direct payments ceiling to help young farmers establish their farming businesses.
This allocation of approximately €35m per year will see qualifying young farmers benefit on a per hectare basis which will be more advantageous to young farmers than the current system, which was linked to payment entitlements.
The proposed rate will significantly increase from approximately €70/ha in the current programme to over €170/ha with a maximum payment area of 50ha and payment on all eligible hectares, even those without corresponding entitlements. In tandem with this, we will also implement the National Reserve in each year of the new CAP to fund at a minimum the mandatory categories of young farmers and new entrants to farming.
In addition, a higher grant rate for qualified young farmers is proposed under the capital investment measure proposed under the CSP.
The CSP will also continue to provide support for collaborative farming and will propose innovative ways to advise older farmers on succession and retirement options, which will increase the availability of land for younger farmers.
Supporting young farmers continues to be a priority and I will continue to actively engage on this issue.
