Matt Carthy (Cavan-Monaghan, Sinn Fein)
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122. To ask the Minister for Agriculture, Food and the Marine if he intends to reopen the fodder scheme to new applicants. [61130/22]

Martin Browne (Tipperary, Sinn Fein)
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Does the Minister intend to reopen the fodder scheme to new applicants? The purpose of the scheme is to incentivise farmers to have enough fodder for the coming winter. Would it not be prudent to take measures to maximise participation by not restricting it to those in the scheme last year? Why was the scheme devised in a manner that excludes so many farmers?

Charlie McConalogue (Donegal, Fianna Fail)
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Yes, I will open up to new entrants next year because I want to ensure everyone who makes fodder or hay next year has the additional costs involved in that supported by the Government. As the Deputy will be aware, I launched the 2023 fodder support scheme on 2 November. The 2022 scheme proved to be successful with more than 71,000 applicants, with each of them due to receive an average payment of €735 - the maximum payment was €1,000. These payments began issuing to farmers over the past week.

The 2023 fodder support scheme is a continuance of the 2022 scheme and aims to incentivise farmers, in particular dry stock farmers, to grow more fodder - silage and hay - next year to ensure we do not have any animal welfare issues during the winter of 2023 and spring of 2024. We are planning well ahead to ensure we head off any issues while supporting family farms in the process.

The scheme is a reflection of the significant increase in input costs such as fertiliser, energy and silage wrapping. That is why I moved to put the scheme in place this year. It has been successful; I have outlined the number of applicants. Thankfully, it has been successful in ensuring good supplies of fodder in the country this year. Farmers have stepped up to the mark to ensure they have been productive and that we have good stores. We do not know what next April and May might bring. The ground might be frozen hard as happened ten years ago leading to a fodder crisis. If that happens, I want to ensure there is enough silage and hay in the sheds. That sits alongside the tillage incentive scheme we introduced this year, which resulted an increase of 6% or 7% in our overall grain supply.

I wanted the money out by the end of this year for farmers to help as many of them as possible next year to buy fertiliser ahead to ensure they have it to grow grass and to be productive next year. To administer it effectively, as a starting point I made it open to all those already in system and all those who applied this year so they could have a handy process of reapplying for 2023 For those who did not apply this year, it will open up for new applicants in the spring. I wanted to ensure we could drive on as quickly as possible now and that is why we have done it for the existing applicants ahead of time.

Martin Browne (Tipperary, Sinn Fein)
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The Minister has made it clear that it will be open for people who did not qualify last year. For example, someone who took over a farm would not have submitted the application in time. They may apply in the spring. I agree with him that the majority of farmers plan ahead and ensure they have enough fodder for their animals. Did he say that payments went out this week and the new applicants need to wait until spring? Can that not be brought forward? Is it possible that those who lost out last year might be able to get payments from the start of the year, rather than in spring? At what stage in early or late spring will they be paid?

There will be a great deal more work involved if we open up the scheme to new applicants to be paid by the end of the year because there was a great deal of work involved in getting the scheme up and running for the 77,000 applicants who applied for it. The details are all on the system. We opened up the system again and we take it they are applying for next year. It is very straightforward and needed to be so to have it done quickly.

Bringing in totally new applications would slow down the system and make it more difficult to administer for all of those whose applications are already in.

I expect a very small number of new entrants or applications next year. Those making fodder next year would all have been making it this year as well.

There will be new entrants to the scheme and there will be some who, for different reasons, did not apply and I want to accommodate them. I said on budget day that the scheme would be open to them in the spring and they can plan on the basis that they will be able to apply. We will process the applications in the springtime, and certainly in advance of the fodder-making season because they need the help in the same way as everybody else needed it this year.

Martin Browne (Tipperary, Sinn Fein)
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There is just one other category on which I would like to get the Minister's thoughts, namely, dairy farmers and hill farmers who would have lands classified as category 1 under the areas of natural constraint. They also fall outside the new peer group. This group is also not immune to the increases in fodder, feeding costs, etc. They are also food producers who are trying to make a living. The Irish Natura and Hill Farmers Association, INHFA, estimate that a very significant number of dry stock farmers could find themselves ineligible. Will this group be eligible for the scheme or do those whose lands are classified as category 1 stay outside the scheme?

Charlie McConalogue (Donegal, Fianna Fail)
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I will deal first with the dairy farmers and then I will deal with the dry stock or livestock farmers who do not make hay or silage themselves.

With regard to dairy farmers, my core objective for the scheme was to ensure that, as a country, we produced enough fodder to ensure we are fodder and food secure this autumn, winter and spring, and that every farmer would be supported in the making of hay or silage.

The evidence from Teagasc is that, thankfully, dairy has had one of its best years ever for incomes, where milk is at a record price. The feedback on activity on dairy farms is that there was no issue in respect of making fodder. Activity levels were as good as ever and the increased income for farmers was out-stripping the increased costs of inputs. That is good to see.

The situation was different in beef and sheep and I brought in the scheme to support them with their additional costs to ensure there would not be a reduction in fodder making. That benefits everyone right across the system because if we have enough fodder in the country; every sector benefits, including the dairy sector. This keeps the price of fodder manageable.

On that very point, very briefly, those who do not make fodder themselves benefit from that being the case. If we can keep fodder prices manageable by having a good supply in the country, those who do not normally make fodder have access to it, and not at extreme prices because of supply and demand challenges.

Everyone benefits if we have enough fodder and I have directed the funding where it was most needed to ensure fodder is made.