Farmers’ debt pressures worsened by delay in schemes’ payments

THOUSANDS of farmers are still awaiting receipt of payment under the Single Farm Payment Scheme (SFP) and the Disadvantaged Area Scheme (DAS), despite the Department of Agriculture’s insistence the payments are rolling out on schedule.

Farmers are contacting the Irish Creamery Milk Suppliers Association (ICMSA) to seek clarity on the delays. The ICMSA estimates that, while most have received partial payment, up to 23,000 farmers are awaiting at least part of their due payment. Their recurring complaint is that they cannot get a date from the department for digitisation.

ICMSA deputy president John Comer said the serious cash-flow and debt repayment pressures experienced by farmers are being exacerbated by the delay.

“It is essential that all mapping and other issues are resolved immediately so that all farmers can receive their outstanding SFP and DAS payments without any further delay,” said Mr Comer.

“The department continuously imposes deadlines on farmers, who suffer grossly unfair and excessive penalties in the event of those deadlines not being met, while the department’s own obligations — as set out in the Charter of Rights for Farmers — are routinely breached where payments are concerned, without consequence for the department.

“It is another example of one rule for some people and another rule for others.”

In response, Agriculture Minister Brendan Smith said partial payments have been made to 23,466 farmers who have parcels of land that require re-digitisation, but have been paid on those parcels of land that have been cleared. He said over €1 billion has now been paid out under the SFP to over 118,600 farmers, of whom over 93,000 have received their full payments, worth over €830 million.

Under the Disadvantaged Area Scheme, €195m has now been paid to nearly 94,000 farmers. The total value of payments made under both the SFP and the DAS now stands at over €1.255bn, since payments began on September 22 last.

Mr Smith said: “This is a particularly important initiative, which allows partial payments to be made to those farmers where some or all of their maps are still to be digitised, with the payment being calculated on the basis of the digitised land confirmed otherwise eligible. Because of this change, many farmers, whose balancing payments would otherwise have been delayed until their digitising is complete, are now getting a payment. I am confident that by year end, the expenditure will be well in excess of the €1.35bn.

“As the re-digitising of individual maps are completed, some cases go into error, as over-claims are established and my department has issued letters to hundreds of farmers over the last few weeks, “ Mr Smith said.

“I would urge farmers to respond immediately to these letters in order that their applications can be processed for payment.

“By any measure, the payments performance over the past two months has been extraordinary, particularly given the year concerned, when every effort was made by all concerned to ensure that the mapping system is brought fully up to date. I am delighted to confirm that these balancing payments have started issuing today,” the minister concluded.

In reply, Mr Comer said: “The minister may describe the payments performance over the past two months as ‘extraordinary’ if he likes, but the very many farmers who are still awaiting payment and who have received only a fraction of what they were expecting would certainly not agree with him.