Dáil debates

Wednesday, 26 May 2010

Other Questions (Resumed)

Single Farm Payment Scheme

10:30 am

Photo of Brendan SmithBrendan Smith (Cavan-Monaghan, Fianna Fail)
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As part of proposals on the use of unspent single payment scheme and modulation funds and the European economic recovery programme, I announced in 2009 that, subject to the receipt of EU Commission approval, I intended to introduce support for a number of specific categories of farmer, which would be focused on supporting productive investment.

The measures include a scheme for dairy farmers to make the necessary investment to adjust to expanding dairy opportunities and promote the operation of cost-effective commercial operations; aid for sheep fencing and handling facilities to assist sheep farmers in reducing labour input in a vulnerable sector; aid for farmers for water harvesting and conservation equipment, which will reduce water costs on farms; animal welfare grants for pig producers to assist in the conversion to loose housing for sows, and for poultry producers to assist in the conversion to enriched cages, free-range or barn systems.

EU Commission approval for the above-mentioned schemes has recently been received and, due to the relatively short timeframes for completion of the investment works concerned, my priority is to introduce the sow welfare and poultry welfare schemes first. Arrangements will then be made to introduce the three remaining schemes.

Discussions are ongoing with the relevant farming organisations in regard to the terms and conditions of the schemes concerned. These should be completed in the near future and I hope to be in a position to make an announcement regarding the sow welfare and poultry welfare schemes at that stage, which will be very shortly.

Photo of Seán SherlockSeán Sherlock (Cork East, Labour)
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I did not ask about the sows or the poultry, although I am glad to hear there is something in the offing on those points. What is the exact timeframe for the Minister to conclude schemes for dairy hygiene, sheep fencing and water harvesting? On what date will those schemes come into effect?

Photo of Brendan SmithBrendan Smith (Cavan-Monaghan, Fianna Fail)
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I introduced the other two schemes because they are the ones with the nearest deadline, which must have their systems changed. That is why I am prioritising those two particular schemes. I hope to launch them before mid-June. We have been involved in discussions with the relevant representative groups and farming organisations to ensure that the technical details of these schemes are as suitable as possible for individual farmers in the pig and poultry sectors. I do not have a date for the commencement of the other measures. There are financial implications, so next year's Estimates will determine how soon we will be in a position to roll out the other three schemes.

Photo of Seymour CrawfordSeymour Crawford (Cavan-Monaghan, Fine Gael)
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I welcome the fact that the Minister mentioned both the pig and poultry sectors. However, there is a further problem with these sectors that must be dealt with, which is the availability of finance from banking institutions. Some extremely good pig and poultry producers are finding it very difficult to obtain the necessary matching funds to ensure that they can progress.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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I am not sure if that question is within the Minister's purview, but he is perfectly entitled to answer it.

Photo of Brendan SmithBrendan Smith (Cavan-Monaghan, Fianna Fail)
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For the information of the House - and I have mentioned this privately to Deputy Crawford - within the last two weeks I met with the chief agricultural advisers of all the main banks, as well as their support staff. I outlined the position regarding the roll-out of these schemes, particular for poultry and pigs. I asked that the relevant credit be put in place to ensure that people who need to upgrade their systems to remain in business will be able to do so. Funding should be put in place to allow them to do that. I think they accepted the point that it is a worthwhile investment and that a good financial package is coming from our point of view as well. I have asked them to give fair and urgent consideration to ensuring that farmers can avail of those two schemes.