Oireachtas Joint and Select Committees
Tuesday, 13 September 2016
Joint Oireachtas Committee on Agriculture, Food and the Marine
Pre-Budget Submissions: Discussion
2:40 pm
Mr. Joe Healy:
Yes, absolutely, as there is no issue there. We will forward a copy of the report to the committee. There is much in it. The key issue in it was that this proposed deal, if it goes through, will weaken competition in a market that is already characterised by very weak competition. That is a key finding in the report.
There was mention of the 50,000 farmers in the GLAS scheme and 5,000 extra farmers. We want the money to go to farmers and there should be no money left in the pot. It is similar to the beef genomics scheme. The average payment is approximately €4,200 and with the 5,000 extra, it would take the €250 million. To get to the €250 million would require more than 50,000 farmers, and there are more than 50,000 farmers who would join it. The key for us is to get that money into rural Ireland and out to farmers. If the average payment stays at €4,200, the number of farmers participating would increase. The Minister spoke at our national council meeting and he was adamant that the money would be spent. He said that was all he would say but he indicated it would be spent on the genomics scheme. There are enough farmers willing to join and draw it down. It is difficult to change the rules mid-stream given that other farmers would have joined under existing rules.
It is incredible there is a proposal to bring up green diesel. There is enough disadvantage in rural Ireland already. Green diesel keeps rural Ireland going and the IFA would vehemently oppose any proposal to increase it.
As an organisation in the IFA, we will vehemently oppose that.
The areas of natural constraint, ANCs, were mentioned. We welcomed the line in the programme for Government on the allocation of an extra €25 million but it was well watered down in that it stated it would not be announced until budget 2018. It is vital that allocation is made immediately and announced in the 2017 budget.
A major issue for all of us is the review of the ANCs in the middle of next year. It is a job of work for us all to ensure that the key areas are kept in the scheme. I attended a county executive meeting the other night. It examined the ANC money and said it is the one payment we get out of which there is nothing taken back. There are no planners or veterinary fees, so they want that to be retained.
A key point for this year is that all payments are made on time. There is an argument to be made that the first tranche of the basic payment scheme should be paid in full to everyone because the second tranche is more than adequate to cover the penalties. It is important, in a year such as this one, to keep in mind that the first tranche should be paid out.
If the Chairman agrees, I will hand over first to Seán O'Leary, who will answer some of the dairy questions.
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