Jackie Cahill (Tipperary, Fianna Fail) | Oireachtas source

It is grand that there is spare money available. I will make two points to the Minister. "Underspend" would be the wrong word to use regarding the tuberculosis scheme, with €2.5 million saved as a result of the lower number of reactors. I raised this matter recently with the Minister. In the dairy sector in particular, a couple of depopulations have occurred. By the time these farmers repopulate their herds, on foot of the changed environment in dairy markets, the price of replacement stock will be greatly increased in comparison with the price at the time of depopulation. A herd may be fully depopulated at the end of October, when cows are at the end of the lactation year and a farmer must repopulate in March and April, when dairy cow prices are at a premium. People in this position would probably see a differential of between 30% or 35% when it comes to repopulation. This would amount to €400 or €500 per cow and when a herd has been fully depopulated, it would create financial hardship.

When a person's herd is fully depopulated and is out for a period of four to six months, for example, and there is a market discrepancy when animals are being bought, there should be some mechanism for compensating that farmer. When the scheme was introduced, the principle was that if, for example, 120 cows were lost, the farmer would be able to replace them like for like when restrictions were lifted. At the back end of this year, dairy cow prices were at a low ebb, valuations were done and farmers whose herds have been depopulated received a certain price. I am not saying that the valuations were wrong but when the farmers involved seek to repopulate their herds in March, they will be seriously out of pocket. As there is an underspend, could the issue of restocking farmers' herds be considered? Could there be some equalisation in respect of the valuations received by these farmers?

We all know the hardship endured by grain farmers as a result of the 2016 harvest. Before this meeting, I met a group of dairy farmers with a proposal seeking €3 million in compensation for the hardship endured due to the loss of crops and straw. To underline the scarcity of straw in this country, prices have doubled in the past month. Farmers are worst hit only in December but by the time March comes around, straw will be as scarce as a hen's teeth. We have spare money and although the World Food Programme project for which it is earmarked is worthy of investment, could some of those funds be diverted to these farmers? As a result of the exceptional circumstances with the weather, they only salvaged part of their crops and lost all their straw. They have suffered significant losses. They are looking for €3 million for 400 farmers, which works out at €7,500 per farmer. It would do something to ease their cash flow crisis. We have the money so should we not look at allocating some of it in the way I am suggesting? We have done it before for horticulture farmers and it was done when there was wind damage to forestry as well. With the Russian export ban, the European Union put much money into eastern Europe. The €20 million is spare in the budget so could €3 million be allocated to grain farmers. It is not much when we consider the hardship they have suffered.