Broad welcome for changes to ERS
IFA Rural Development chairman Padraic Divilly said farmers would not lose out entitlements as the transferees will be allowed to activate them.
When the leases to the transferees conclude, the entitlements will revert to the retired farmer who will be in a position to either lease, sell or transfer the entitlements.
Mr Divilly said this change is very significant and will allow the current ERS to be taken up by farmers who wish to retire.
Due to the uncertainty surrounding entitlements, the number of ERS applicants had plummeted in 2004. Only 15 farmers had retired so far this year under the scheme.
In 2003, some 840 had applied, but uptake had reduced significantly in the second half of the year since the CAP Reform agreement.
Mr Divilly said farmers who were considering postponing retirement until the first year of activation of entitlements, can now retire and avail of the scheme.
He said retired farmers will have to make a special area aid application in 2005 in order to claim these entitlements.
ICMSA Rural Development Committee chairman Tommy Cooke said transferees would now inherit any entitlements established by the retiring farmer, where the transferee inherits the holding of the retired farmer.
He said the concessions had resolved serious anomalies in the ERS.