Dáil debates

Thursday, 9 March 2017

Ceisteanna - Questions - Priority Questions

Superlevy Fine

4:15 pm

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael) | Oireachtas source

The rationale for the scheme was twofold. There was a very significant superlevy bill not just in Ireland but across the European Union and a number of member states decided to avail of the latitude offered by the Commission in paying the superlevy over a period rather than up-front. It was also a reflection that at the time, milk prices began to go south, which put additional repayment capacity difficulties on farmers. The staggered approach was welcomed by farmers. I accept that welcome as it was, in a very difficult year in 2016, it put farmers to the pin of their collar. It is interesting to note that 99.7% of the liabilities due have been paid in the year and the total bad debts are from three farmers, totalling €12,700. In light of the overall cost, it is not a bad level of compliance in what was a particularly difficult 2016. Global dairy markets have recovered somewhat and that graph is going in a different direction, fortunately, as prices are on the up. That will give farmers some leeway and breathing space in terms of commitments. The Department is budgeting on the liability being met in full.

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