New era looms as CAP deal reached

Irish farmers enter a new era in 2015, with the single farm payment to be divided more evenly, so that every landowner gets at least 60% of the national per hectare average payment (in Ireland, about €150/ha).

Farmers who have no entitlements now, or low value entitlements, will see a steady increase in their direct payments over a six-year period, starting in 2015.

The farmers with high value entitlements who have to lose out in the €103 million per year redistribution can lose up to 30% of their annual payment. However, there is flexibility in the partial agreement on CAP reform in Brussels yesterday to tailor the package for a best fit in Irish farming. There will be lengthy debate on this over the coming months, and new developments as outstanding issues are resolved, such as capping of payments across the EU, and moving money between payments to farmers and rural development — two of the issues which could not be finalised, pending full agreement between the parliament and member states on the seven-year EU budget.