Brendan Smith (Cavan-Monaghan, Fianna Fail)

The Teagasc national farm survey 2004 indicates that on 78% of holdings, the farmer and-or spouse had some source of off-farm income, be it from employment, pensions or social assistance. The survey indicates that 36% of farmers had an off-farm job while 22% of farmers' spouses had off-farm employment. The presence of off-farm employment was most common among cattle and sheep producers where family farm income tended to be low and there was surplus labour on farms.

There is an ongoing trend towards farmers participating in economic activities outside the farm, which reflects both push and pull factors including incomes factors, surplus labour and the much greater availability of off-farm employment. Many farmers now supplement their incomes from off-farm sources while continuing to farm successfully.

Both full-time and part-time farmers make important contributions to the rural economy. While the decoupling of direct payments will provide farmers with more flexibility and freedom, a clear focus on production costs and their optimal level of production will be critical to maintaining the viability of all farm holdings.

This Government is committed to maintaining a core of competitive, full-time farmers, while at the same time providing an economic environment which enables smaller-scale producers to avail of both on-farm and off-farm opportunities to secure their future. Full-time farmers are looking to the new flexibility offered to them under decoupling to develop and intensify their commercial farm enterprises while many small-scale producers find that combining farming with off-farm employment is an effective way to ensure the viability of their holdings.

This trend away from full-time farming towards the part-time option is expected to continue. The recent report of the Agri Vision 2015 Committee states:

Off-farm employment and income are now standard parts of farm family work and income patterns. There seems to be no doubt that present patterns and trends will continue and that farm household income reliance on off-farm employment will increase under the newly reformed CAP.

This Government is focused on ensuring that farming families have the best possible options available for them to stay on the land. That may mean remaining as full-time farmers if their farm size and resources are sufficient and if they choose that option. Alternatively, it may be through the combination of on-farm and off-farm income, which many small-scale producers find the best route to a viable life on the land. This Government is committed to supporting and encouraging our farm families in whichever option they choose.

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