Decoupling anomaly endangers dairy compo

THE partial compensation for upcoming cuts in EU dairy price supports will be further reduced for thousands of Irish dairy farmers – unless the Government can win concessions from the requirement to have 100% of the reference land area, in order to get 100% of decoupled entitlements.

Having bought out milk quotas, which they leased with land prior to April, 2000, many will be farming less land in 2005 than they had in the 2000/2002 period.

"It has come to light that, under CAP Reform, to activate 100% of his Single Farm Payment, including the dairy premium, a dairy farmer who also has entitlements arising from other sectors such as livestock, sheep or cereals, needs to have available in 2005 the same number of hectares as in the reference period of 2000/2002," explained Michael Murphy, IFA's National Dairy Committee Chairman.