€170m deal to secure sheep sector

A BUDGET of €28 million a year has been allocated to fund a proposed supplementary measure for the sheep sector.

The move will cost over €170m up until 2013.

It was one of a range of measures announced yesterday by Agriculture Minister Mary Coughlan to secure the future of the sector, which she described as important to preserving the rural economy, landscape and environment.

Exchequer funding for some of the proposals is in the Rural Development Programme, which is with the European Commission for approval. Funding of other proposals comes under public service estimates for government spending in 2007.

Ms Coughlan said the sector would benefit substantially from the proposals, which includes the supplementary measure under the Rural Environment Protection Scheme (REPS) aimed at sheep farmers.

There are 22,000 sheep farmers in the scheme and this is expected to increase under REPS 4, meaning up to 80% of sheep farmers will participate. Under the new programme, an increase in base rates of 17% has been proposed.

“A fresh proposal has been submitted to the EU to introduce a new REPS supplementary measure on sheep.

“The purpose of this measure is to support the mixed grazing of sheep and cattle that would yield both environmental and sector development benefits,” said Ms Coughlan.

She added it is proposed payment will be €50 per hectare on up to 20 hectares.

The extra payment from the supplementary measure will represent over €14 per ewe for up to 70 sheep.

“I am confident that the comprehensive package of measures now being adopted will secure the full commitment of all those involved in the sector and the result will be a more efficient, competitive and profitable sheep industry at all levels,” she said.

ICSA sheep committee chairman Mervyn Sunderland welcomed the measures, but said the low sheep-farming profitability on commercial farms would continue to pose major challenges.

Fine Gael agriculture spokesman Denis Naughten said the package was too little, too late. Spring lamb prices were rock bottom and sheep farmers’ livelihoods were under threat, he said.