Land mobility service makes all its targets for year one
Given all the feedback and studies that had been done we felt that a service dedicated to Land Mobility and associated implications would work. With financial support from FBD Trust and enthusiasm across the industry a pilot service was established.
What quickly emerged was that yes indeed a dedicated service would work, the level of engagement from land owners, young farmers and expanding farmers exceeded all expectations. The issues were real, often complex and invariable focused on expansion, changing enterprise or stepping back.
Common to all was the need for an expert support service and finding workable solutions. In this background we set about our work in The Land Mobility Service. We did not set out to reinvent the wheel, instead working with established Teagasc templates and using Teagasc, Macra na Feirme, and IFA communication channels. We also linked in with the three lead co ops Dairygold, Glanbia and Aurivo, their networks and support proved invaluable, in return our efforts have been focused in their catchment areas.
The service has three key elements:
1. Deliver information and create awareness, so that farmers and farm families make informed decisions and are aware that there may be a number of options available to them.
2. Deliver arrangements that work for all parties.
3. Support established arrangements.
We act as an independent honest broker and facilitator, we have a collaborative farming focus. For me the key words are respect, confidential, and together. This approach has worked. In less than a year we have 232 clients and 53 arrangements in place.
The biggest proportion of these clients are land owners looking at their options which highlights the opportunities that will be available to young people interested in farming. I have been in in farming and agri-business for more than 20 years and I have never seen the level of opportunities that exist today, I believe these opportunities are a direct result of the ending of milk quotas and increased acceptance of collaborative farming.
The options for most land owners are long leases, share farming, partnerships or some form of farm-to-farm arrangement. The service explains these options and how they may impact the farm and the family, including tax and single farm payment implications. Should people wish to proceed we help putting an arrangement into place. Long leases are very tax efficient, are clean and simple, and provide certainty to the land owner and active farmer. I have found that in some situations leasing is not the preferred option as the land owner might want to stay involved or a new entrant might not be able to take on a significant lease. In these situations we can look at share farming. Under share farming both parties are active farmers. This is perfect for those who what to stay involved and protects EU payments. It can also facilitate continued farm development, and it can have a very important well being and social dimension. Share Milking is dairy share farming and was not allowed under quota rules. I believe this will be a very exciting farming arrangement offering great opportunities for land owners and young trained farmers. I have found partnerships to be a great option for the family, there are no negative tax of single farm payment implications. Through the partnership the son or daughter can qualify for young farmer reliefs and incentives.
In my view the service to date has established a clear need and is helping farm families and farmers of all generations through information and delivering workable solutions. 2015 will be a transition year for many farms – it is a EU payment reference year, product prices are uncertain, which is all the more reason to investigate one’s options so that proper planning for a secure future can commence.
In Cork and surrounding counties the service will be working with the support of Dairygold and Glanbia to enhance awareness and expand the service. This is an exciting and important time for farming in Ireland I would encourage farm families, land owners and young people interested in farming to contact the service for impartial advice and information. This data is confidential and without obligation but might show you what options are possible.
In general the level of interest and uptake has been similar across all our target areas, with similar opportunities and constraints, but I have found some regional differences worth noting. One in particular is the lack of available land in the intensive dairy areas of Cork; my view is that young farmers with no or small land bases in such areas should consider moving to avail of real opportunities. For people with the skill set there are some great opportunities may be an hour away, just some food for thought.
* Austin Finn, programme manager, Macra na Feirme, Land Mobility Service
