Mr. Vincent Roddy:

Deputy Carthy mentioned 13%. Earlier, we mentioned a 12% reduction. Broadly speaking, we are there or thereabouts in terms of being in agreement. Inflation has definitely not been factored into CAP at EU level. It is not just this CAP; in previous CAPS we have also seen reductions.

We need to see it addressed in the next CAP but in the interim, we also need to see measures put in place and pillar 2 provides us with an opportunity to do that. Unfortunately, as we outlined in our statement, pillar 2 is substantially underfunded. We must recognise that in the last CAP, on average, the budget for pillar 2 worked out at €590 million yearly. That compares poorly to the previous budget, which was more than €700 million. The current CAP we are coming out of is the anomaly. The increase is welcome but it is not close to where we need to go. We estimate that about €150 million extra is going into pillar 2 but we need to see at least another €150 million beyond that. That would put more money into ACRES and ensure any farmer who is willing to make a contribution can get access. We must be realistic. Not every farmer will join ACRES but every farmer should be given a chance.

It would also support our suckler and sheep sectors to the levels they need to be supported. To answer Deputy Carthy, we agree there is underfunding that needs to be addressed in the immediate term and in the new CAP. I hear what other farm organisations said about the requirements, conditionality and what is expected. Effectively, we are seeing less money and higher expectations and that is not good enough. It would not be tolerated in any other sector, so it should not be tolerated here.