Dáil debates

Thursday, 28 March 2013

Common Agricultural Policy Reform: Statements (Resumed)

 

12:30 pm

Photo of Brian StanleyBrian Stanley (Laois-Offaly, Sinn Fein) | Oireachtas source

The debate within the farming community regarding the current proposals on reform of the CAP payments system has been intense and will become more intense as we move towards a final decision on the shape of the new scheme. The perception that the outcome will not include a better deal for small and medium sized farmers is causing a good deal of disquiet, particularly in counties with smaller holdings and poorer land where payments are, on average, low and often lower than the average industrial wage. In my own area of Laois, a huge part of which is classified disadvantaged, this is having an effect.

At a meeting last week, attended by a large number of farmers, the overwhelming view was that farm leadership has not properly represented the majority of farmers who would stand to gain if there is a fairer distribution of payments. There is also the perception that the debate has not been conducted in as open a manner as it might have been. While some farm leaders have given the impression that any move towards a flat rate system, of whatever design, would be bad for Irish farming in general, and for most Irish farmers individually, that is not the view on the ground, in particular by small to medium sized farmers.

There is resentment at the insinuation that farmers on smaller payments and with poorer land, who often have to seek part-time off-farm employment to supplement low incomes, are in some way lesser farmers. This resentment turns to anger when it appears that certain farm leaders, while opposing a redistribution of payments to actual farmers, defend the huge payments to a tiny proportion of recipients, a significant number of whom are not active farmers but agribusinesses. Massive payments have been made to a small number of farmers in the recent past. It is absurd to believe that cutting the payments of a farmer earning over €100,000 will adversely impact on productivity and that increasing the payment of the farmer on less than €5,000 will encourage him or her to sit at home with their feet up watching television. Yet, this is the logic of some of the statements made in opposition to a move towards a fairer distribution of payments. There has been huge opposition by vested interests in this regard. The actual distribution of current payments illustrates the imbalance. As stated by other speakers, just over 2,000 recipients of the single farm payment, with entitlements of €50,000 and above, receive more between them annually than do the more than 50,000 farmers in receipt of less than €5,000 per annum. For example, in County Leitrim, more than 88% of farmers are on payments of less than €10,000 per annum and over 25% receive less than €2,000 per annum. It is small wonder then that there is anger at the stance of those who appear to be putting the interests of seven individuals on payments of €50,000 and more above the interests of 3,355 other Leitrim farmers. This applies right across the west of Ireland. Of the 53,000 farmers in Counties, Donegal, Sligo, Leitrim, Mayo, Galway, Roscommon and Clare, only 185 are in receipt of a single farm payment of more than €50,000 per annum. Is anyone seriously claiming that the interests of those 185 farmers outweigh the interests of all the others?

I hope that the Minister will not allow the debate on the final shape of the reform to be dictated by the interests of a few. While there is some disappointment with what has taken place thus far, the debate has not concluded. There are options for a radical redistribution of payments, including the option to front-load on the first 32 ha, for which Sinn Féin will be calling. The reference in last week's agreement to flexibility has been interpreted by some to mean that this State ought to come down on the most conservative interpretation of the proposals. Sinn Féin and tens of thousands of small and medium sized Irish farmers argue the opposite. The Minister, in the face of what will be intense pressure, ought to take the more radical options, where available.

Sinn Féin also spoke last week of the need to make it easier for young farmers to establish holdings. The current age profile of farmers, particularly on marginal land in Ireland, is a crisis in the making. There is need for address of this issue, including by the EU. As well as supporting younger farmers, we must make it more attractive for older farmers to hand on farms and keep the industry going. The success of the EU CAP negotiations and decisions made in regard to flexibility in redistributing available funding locally will have a major impact on agriculture and food production in rural areas. We must ensure these holdings are sustainable over the next decade. The decisions made now will have a major impact over the coming decades not only on agriculture but on local economies, the agri-food business and our national economy and well-being. I urge the Minister to focus on ensuring the holdings of small and medium sized farmers are sustainable and viable, not to be dictated to by a small cohort of farmers and agribusinesses that are sucking the lifeblood out of the CAP system and to ensure the payments are fairly distributed.

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