Dáil debates

Tuesday, 13 February 2018

5:45 pm

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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34. To ask the Minister for Agriculture, Food and the Marine the reason for and his plans to review his Department's decision to leave out farmers in counties Cavan, Monaghan, Longford and Roscommon from the right to avail of the fodder transport subsidy; and if he will make a statement on the matter. [7114/18]

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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Will the Minister clarify if farmers in counties Cavan and Monaghan are eligible for the fodder transport scheme? Given that there is some confusion about it, will he throw some light on the application process.

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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Weather conditions for much of last autumn were challenging for farmers in some parts of the west and the north west, in particular. Difficulties in harvesting fodder in some of these areas were compounded by the need to house livestock earlier than usual, resulting in additional pressure on fodder supplies over the course of the winter. To immediately address this issue I prioritised the payment of farm supports to assist farmers with cash flow. The European Commission agreed to this request, informed in part by the poor weather conditions of last autumn, for an advance payment of the 2017 basic payment measure and agri-environmental measures. These payments commenced at the earliest date possible - 15 October 2017 - and balancing payments issued in early December 2017. These payments, together with those issued under the areas of natural constraints measure, injected more than €1.4 billion into the rural economy by the end of last year and are providing a very welcome boost for farm families and will help to finance additional fodder purchase, where necessary.

At this time I also requested Teagasc, through its farm advisory service, to identify farmers who would be most at risk of running out of fodder and provide them with support to carry out fodder budgeting on their farms and explore all viable options to ensure they had sufficient feed for the winter months.

In order to provide additional assistance for those livestock farmers severely affected by ongoing fodder shortages, mainly in parts of the west and north west, I introduced a targeted fodder transport support measure, operated through the co-operative structure, to partly offset the cost of transporting fodder between those areas where it was available and those where it was scarce. This measure applies only to fodder purchased in the period from 29 January to 20 April 2018.

While the areas identified by Teagasc as being the most affected are predominantly located in parts of the west and the north west, the measure is not county specific within the region. Teagasc is also monitoring the fodder situation in adjoining areas and will carry out further assessments, if necessary.  Like all measures, certain criteria apply. Farmers in a locality within the region identified by Teagasc as having a significant fodder shortage, having completed a fodder budgeting exercise with their Teagasc adviser, will be eligible to receive a financial contribution towards the cost of transport of fodder sourced through the co-operative system. Only the shortfall in fodder will be eligible to receive support under the measure.

Additional information not given on the floor of the House.

Teagasc assessment of whether there are significant forage shortages in specific areas is ongoing. It is important to emphasise that this is a targeted and locally focused measure, centred on areas of fodder scarcity that normal local trading in fodder cannot service. The measure will provide a financial contribution of €8 per standard bale of hay or straw for feeding and €12 per standard bale of silage or haylage towards the additional cost of transporting the fodder from the east and the south of the country to the affected areas of the west and the north west. Farmers will still pay the cost of the fodder in the normal way. To ensure normal local trade in fodder is not disrupted, a minimum transport distance of 100 km will apply.

Financial assistance under the fodder transport support measure is payable in accordance with Commission Regulation (EU) No 1408/2013 on de minimis aid in the agricultural production sector. No applications for support under the measure were received up to last Friday, 9 February. Processing and verification of applications for support will be carried out in a timely fashion.

Full details of the operation of the measure, including application forms and Department contact details, are available on my Department’s website.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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I take it from the Minister's comments that farmers in counties Cavan and Monaghan can apply for the scheme. As he knows, we have suffered a significant amount of rainfall and the problem is getting worse. There has been huge flooding across agricultural lands in counties Cavan and Monaghan where farmers are coming under increasing pressure. They do not have enough fodder to keep their cattle fed, which is placing significant financial pressure and strain on already hard-pressed farmers. While the fodder transport scheme may provide some limited relief, it does not address the problem if introduced as a stand-alone support. In fact, it could exacerbate the fodder crisis. My colleague, Deputy Charlie McConalogue, has been front and centre on the issue and repeatedly called for a meal voucher scheme to be rolled out as a matter of urgency. Considering the huge underspend of €78 million in the Department last year, I do not see why such a scheme could not be introduced.

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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I am sure the Deputy is not suggesting I spend someone else's scheme payment on a fodder scheme.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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No, just within the agriculture sector.

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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In making her suggestion about the underspend she is suggesting just that; therefore, it is necessary to be careful. She was seeking guidance on what a farmer needed to do to avail of the scheme. Farmers need to complete a fodder budgeting form which is available through their Teagasc adviser who will certify that a farmer has insufficient fodder and will need assistance. The farmer will then need to submit a completed application form from the Department of Agriculture, Food and the Marine, as well as a completed co-operative declaration of transport and purchase of forage. They are the three steps. Teagasc will have to certify that there is a fodder shortage to ensure those not deemed to have a need will not piggyback on the system. There are localised pockets where there are needs. This applies in areas in which there is heavy ground, in particular. However, the issue is not widespread regionally. I made the point to Deputy Charlie McConalogue earlier that there were more than 750 people in the region to which Deputy Niamh Smyth alluded who were offering silage for sale in the locality on some of the online platforms available for trade in farming services. The scheme is to assist with the cost of longer hauls where fodder is not available locally.

That evidence would suggest there is sufficient fodder in the region at present.

5:55 pm

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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I am not a farmer but I would say even the farming community is extremely confused. It sounds cumbersome. There are a number of steps to take to access what should be a simple scheme. More paperwork and more bureaucracy is not going to help farmers considering the pressure they are under on a daily basis in doing their job. I urge the Minister to take up the straightforward proposal made by my colleague, Deputy McConalogue, for the meal voucher, which gets to the heart of the problem. It would help fund the increased use of cereal-based concentrated feeds on farms in the worse affected areas and allow farmers to reduce significantly their requirement for grass-based fodder, which is also in short supply. I urge the Minister to make it simple and not cumbersome or complicated. Farmers need to get this money as soon as possible.

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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As I said to Deputy McConalogue earlier, the scheme I have introduced assists with the transport of fodder over long distances. It may well be the advice available to a farmer is to supplement existing hay or silage fodder he or she may have with stretch rations. That may be the best and most appropriate thing for him or her to do. In the scheme I announced, we are not in the business of purchasing fodder, in the form of silage, hay or straw, or meal. The purchase is still the function of the farmer. We are assisting with transport over longer distances.