Farming sector set for €6.8bn boost
It followed months of protracted social partnership negotiations between the Government and the Irish Farmers Association, the Irish Creamery Milk Suppliers Association, Macra na Feirme and the Irish Co-operative Organisation Society.
The package, which will cover the 2007-2013 period, relates to the agriculture elements of the rural development programme.
Agriculture and Food Minister Mary Coughlan set out the Government’s final position on the funding of the measures at a meeting with the social partner farming bodies yesterday.
She said afterwards that out of the €6.8bn, Exchequer funding for the farming measures in the next seven years will total €4.7bn.
This compares to €2bn in the current round, a 135% increase. The proposals will also attract €2.1bn from the EU and modulation.
Major elements include a 17% increase in Rural Environmental Scheme (REPS) payments, an 8% increase in Disadvantaged Areas Scheme payments, benefiting 100,000 farmers, and a 15% rise in forestry premium rates. Other features are a 55% increase in Installation Aid rates, bringing it to €15,000, a new Early Retirement Scheme with a maximum payment rate of €15,000 and a new scheme for the suckler herd.
Ms Coughlan said the €6.8bn package is clear evidence of the Government’s commitment to farmers and to rural life. The unprecedented increase in Exchequer funding has a dual aim. It will assist competitiveness in the agriculture, food and forestry sector and it will help to ensure respect and enhancement of the environment.
IFA president Padraig Walshe said the final negotiations had opened the way for his association’s participation in the new partnership agreement. He said the measures to improve the structures and competitiveness of agriculture, the installation scheme and the early retirement scheme, would significantly improve under the new agreement.
Mr Walshe said he will be recommending acceptance of the agreement when the IFA executive council meets next Wednesday.
