Land concession needed to save CAP payments

IRELAND will earn less than expected from the Fischler Reform of the CAP unless a concession can be negotiated with the EU on the land which has been taken out of farming in the years since it was last included in Area Aid applications in 2000, 2001 and 2002.

Land taken out for uses such as forestry, road building, industrial and commercial developments, may total 350,000 to 400,000 acres in which case Ireland could lose up to 3% of our expected single farm payments.

The problem has been highlighted within the National Council of IFA, and IFA wants to discuss the issue with the Department of Agriculture.

Land which was not included in Area Aid applications during the reference years cannot be used in 2005 to replace the land which has gone out of farming since the reference period.

Each farmer will need the equivalent area of land in 2005, or subsequent years of the Fischler Reform, to draw down payments in line with the average premia totals they received in reference years.

There will be a substantial financial loss to Irish farmers, unless a solution can be found, which is acceptable to the EU Commission, to overcome the loss of farmland which is no longer eligible to be used to draw down entitlements on January 1, 2005.