Mary Coughlan (Donegal South West, Fianna Fail)

Ireland was the first member state to opt for full decoupling of direct payments when, in October 2003, it was decided to introduce the single payment scheme with effect from 1 January 2005, the earliest date that the new regime could be implemented. The overshoot issue arises from transition from the animal-based to the decoupled system.

Each member state has a regional beef ceiling for bulls and first-age premium animals, and Ireland's regional ceiling for the 2004 special beef premium scheme was 1,077,458 animals. It was expected that the numbers of animals submitted for premium in 2004 in Ireland under the special beef premium scheme would show an increase compared with previous years, as farmers would wish to benefit from the premium on their eligible animals before the scheme ended on 31 December 2004. However, the level of applications was such that the regional beef ceiling was exceeded by 18%.

The decision to opt for full decoupling was arrived at following careful consideration of all options and a widespread public consultation process. A very persuasive factor in that process was the suggestion that farmers in those member states that decoupled fully would not be disadvantaged during the transitional period. The level of the overshoot of the regional ceiling is attributable to the ending of the special beef premium scheme in 2004, and application patterns, both in total numbers of animals applied for and the timing of lodging applications, strongly suggest that to be the case.

I am seeking a solution to this issue and will continue to do so with the European Commissioner. I have already raised the issue with the Commissioner on a number of occasions. My Department has also forwarded a detailed submission to the European Commission dealing with the matter. I am urging that appropriate measures be put in place to alleviate the difficulties encountered by beef farmers in Ireland.

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