Martin Kenny (Sligo-Leitrim, Sinn Fein)
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2. To ask the Minister for Agriculture, Food and the Marine if he will ensure that in the current review of areas of natural constraint the designation of mountain-type land will be retained; and if he will ensure payments in line with the more severe natural constraints in these areas. [12478/17]

Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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I ask the Minister for Agriculture if he will ensure that in the current review of areas of natural constraint, the designation of mountain-type land will be retained, and if he will ensure payments in line with the more severe natural constraints in these areas. The ANC scheme recognises the constraints under which some farmers operate due to the nature of their land, and the mountain land designation in particular is critically important in the scheme.

Michael Creed (Cork North West, Fine Gael)
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Under the rural development regulation, each member state must designate areas eligible for payments under the areas of natural constraint scheme. The ANC scheme replaces the previous disadvantaged areas and less favoured areas schemes. The designation of eligible areas under these schemes to date has been based on a range of socio-economic factors. From 2018, eligible areas must instead be designated using a set list of biophysical criteria. In cases in which a member state does not introduce this new system for payment, the old scheme remains in place but payments must be phased out on a digressive basis.

The biophysical criteria set out in the legislation to underpin the new system of designation are: low temperature; dryness; excess soil moisture; limited soil drainage; unfavourable texture and stoniness - I recall, as I am sure does the Deputy, the "stony grey soil of Monaghan" - shallow rooting depth; poor chemical properties and steep slope.

My Department has commenced work on this project, and relevant technical experts are working on sourcing and analysing the data in respect of the new criteria. Department officials have also been in contact with the joint research centre and the Directorate General for Agriculture and Rural Development in the European Commission regarding technical issues arising.

Over the coming months, this analysis will identify areas deemed to be facing natural constraints, which will in parallel be subject to a refinement process. The categorisation of designations, such as hill or mountain areas, and linked payment levels will be examined based on the outcome of the technical work I have outlined. It is envisaged that stakeholders will be consulted as this process develops.

Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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Gabhaim buíochas leis an Aire as ucht an fhreagra sin. This is very important. I take it from what the Minister has said that there is no absolute commitment to retain the designation of mountain-type land within the scheme. This is critically important. Even an examination of how it has fared regarding costings already advised in previous parliamentary questions would show that it makes absolute sense that farmers trying to make a living on mountain-type land need more support than those in less constrained lowland areas. There is much concern about this, not just among the constituents of Deputy Kenny, who tabled this question; it is also brought to my attention in my constituency, Cavan-Monaghan, particularly in the Cavan end of the constituency, that there is real concern that the review which is under way will involve a flattening of payments. This would spell serious consequences for those who are trying to eke out a living in the most difficult and most challenging of circumstances. Could the Minister offer some reassurance in this regard? It would be much appreciated.

Michael Creed (Cork North West, Fine Gael)
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The Deputy will be aware that there is a specific commitment in the programme for Government to restore some of the ANC cuts made in previous years to the tune of €25 million in 2018. This is a welcome step in the right direction.

It does not travel the full road of recovery from the cuts inflicted at that time by a Fianna Fáil-led Government but we are committed to making some redress.

The challenge we face in terms of ANC is to hold what we have. I am committed to that. We have to operate within the biophysical criteria that the Commission has laid down. That analysis is under way. We will have maps and will engage in consultation in due course. It is very early to talk about categorisation within areas designated as suffering from a natural constraint according to these biophysical criteria. My primary objective is to retain classification as we have it. That is not to be underestimated because the criteria have changed from socioeconomic factors to biophysical criteria. Thereafter, we can consider, with the assistance of the €25 million extra that will be available in 2018, classification within areas deemed to have constraint.

Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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While the Minister indicates a commitment to retention, he will appreciate that I am anxious to have a reference specific to mountain-type land and that designation. The Minister has not used that language in his response to me. Could he please for the sake of clarity give me that certainty? That is the primary concern for those who have raise the matter with me. The existing scheme payments do not reflect the actual constraints and have been further diluted by political intervention in recent times. That cannot be ignored. The payment bands are too narrow with only €13 separating the mountain-type land payment of €95.99 and the lowland severely handicapped payment of €82.27. It does not address the real difference that farmers are having to contend with in those different settings and areas of their work.

Michael Creed (Cork North West, Fine Gael)
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My understanding is that there will be potential for tiered levels of designation, as is currently the case, within the final designation. The objective now is to secure disadvantaged status against the set of biophysical criteria. Within that status, there will be provision for tiered designation as is currently the case. There are various designations throughout the country. The gap is slightly wider because the islands attract a significantly higher level of payment. That tiered approach will, I hope, remain an integral part of the system. It is far too premature to talk about what areas may now be designated which status. We have to work to the criteria laid down. I envisage a tiered approach at a later stage.