Wider rural economy to benefit from EU funding
Agriculture and Food Minister Mary Coughlan and Community, Rural and Gaeltacht Affairs Minister Eamon Ó Cuív said a six-year overall deal reached in Luxembourg was an excellent outcome for Ireland.
They said while rural development allocations must await EU budget agreement, this does not preclude progress on the preparation of a national rural development plan.
Ms Coughlan said the 2007-2013 agreement reached by the EU Council of Agriculture Ministers followed difficult and protracted negotiations.
She said it provides an excellent support basis for agricultural and other rural sectors. It has a wide scope including on-farm investment, agri-environment measures, support for young farmers and food processing.
The disadvantaged areas eligible for compensatory allowances have been copper-fastened. The agreement confirms earlier indications that possible changes will not be introduced before 2010.
Apart from the provision of basic services for the economy and rural population, there is a new provision which will cover cultural and leisure activities.
The minimum funding to be made available to LEADER-type projects was stipulated at 5%, which is almost double the present level of funding.
Mr Ó Cuív said this would mean extra funding for “outside the farm gate” rural development programmes covered by his Department.
IFA president John Dillon said the agreement was broadly positive, but the failure of the heads of Government to agree on the EU budget after 2007 meant it was still unclear what allocation Ireland will secure from the European agriculture fund for rural development.
He said the IFA has already put down a clear marker that €900 million per year of EU and Exchequer financing will be necessary to effectively implement schemes.
Denis Naughten, Fine Gael agriculture spokesperson, said the broad outline of the deal seems good for farmers, but said caution was needed because there are still no guarantees as to the level of funding these schemes will be allocated.
