Simon Coveney (Cork South Central, Fine Gael)

I propose to take Questions Nos. 8 and 14 together. This about making Food Harvest 2020 happen and what we are doing to make the ambitious targets a reality. Food Harvest 2020, which I always acknowledge was originally put in place by the previous Government and which I have taken on and intend to implement in full, plans to achieve export targets of €12 billion by 2020, which is a 42% increase on the starting point. It also plans to improve the value added of the sector by €3 billion and increase the value of primary output of the agriculture, fisheries and forestry sectors by €1.5 billion.

In terms of growth, the targets include a 50% in volume increase in the dairy sector between 2015 and 2020, a 40% increase in the value of beef exports, a 50% rise in the pigmeat output, a 20% increase in sheepmeat output and an increase of 78% in aquaculture output. They are all huge growth figures and some of them underestimate what will be achieved by 2020.

Despite all the cutbacks in the budget we have done some strategic things to help us reach our targets, such as tax incentives to encourage farm partnerships so we can try to introduce economies of scale to farming. Farmers could farm collectively with their neighbours and share things such as the costs of machinery and input, slurry storage and grazing management. They could potentially collectively sell their produce and achieve the kind of scale to help them get a better price. They can share skill sets and so on. The partnership model is new and exciting.

We have dramatically reduced stamp duty, to 2%, on all commercial and agricultural land transactions, and to 1% where the transaction either occurs within a family or involves a relative. In addition, we have set aside €5 million for a beef discussion group which will help to upskill beef farmers. We have re-opened the targeted agricultural modernisation scheme,TAMS, in order to provide grant aid to farmers to upgrade farm yards, whether milking machinery, equipment to manage sheep or suckler cattle and so on.

These measures comprise a series of positive, strategic developments which are about improving productivity and encouraging a transfer to a new generation of farmers through the tax system. I have never heard a Budget Statement which included so many mentions of agriculture, agrifood and farming as did last Tuesday's announcement by the Minister for Finance. That is because we are all excited about the potential that exists in the sector. The Food Harvest 2020 targets are achievable if there is proper planning.

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