Seanad debates

Tuesday, 18 November 2008

Agriculture Sector: Statements

 

5:00 pm

Photo of Brian Ó DomhnaillBrian Ó Domhnaill (Fianna Fail)

This is the second week in a row we are having a discussion on agriculture. I pay tribute to the Minister, Deputy Brendan Smith, for his efforts in the past week in particular, and this week, when he will represent Irish farmers abroad and try to get a better deal for Irish farmers and fight for their future. We should all acknowledge the work that is being done.

I want to examine the issue and put a few aspects into context in terms of farming in Ireland. European Union statistics and data going back to 2006 show that farm households have an average total income of €58,031, or €47,703, depending on whether a broad or narrow definition of "farm households" is utilised. That compares with a State average of approximately €54,000.

The Irish national farm survey undertaken by Teagasc estimated that average farm income, excluding off-farm income, increased by 18% in 2007 alone, to €19,687. The predominant reason for that 18% increase, which was almost one fifth of an increase in overall farm income in one year, was the increase in milk and cereal prices that occurred during that year. Full-time farms as defined by Teagasc had an average farm income of €43,938 in 2007 while part-time farms had an average income of €7,993.

I come from a rural area, and those areas were referred to by the previous Senator. The national farm survey estimated that 80% of farmers and-or their spouses had off-farm incomes and most of those farmers come from rural parts of Ireland. I grew up on a farm and my parents would have had an off-farm income because one could not survive on a full-time farm income, given that the land may not be good. Trying to make money from farming activity alone is not economically viable and therefore the cheque in the post was vitally important to farm families.

It is important we say that because there has been much debate in the past few weeks on the budgetary decisions taken by the Minister for Agriculture, Fisheries and Food, but as I said in this House last week, the decision taken by the Government under the farm waste management scheme was a brave step in the right direction in investing in farm buildings, the future of farming and protecting livestock on our farms. I commend the Government on that. A total of €377 million is being provided under that scheme this year with an additional provision of €195 million next year. We welcome that. Had it not been for that decision which was taken at that time, many farmers throughout the country would not be in a position to develop their farms to their full potential. That may have a detrimental effect on other decisions the Minister had to take but he had to be brave in taking those decisions.

We talk about disadvantaged areas but we should also note the huge increase of 17% in funding now available under REPS 4, which is a phenomenal scheme. I acknowledge the tremendous work of my constituency colleague, the former Minister for Agriculture and Food and now Tánaiste, Deputy Mary Coughlan, who did tremendous work in promoting and developing the REPS and in ensuring that REPS 4 was available to farmers with the 17% increase.

While farmers in disadvantaged areas will find difficulty with the reduction in the requirement from 45 to 34 hectares, we must look at the bigger picture, but the bigger picture is outside our control here. The Minister said that he was travelling to Brussels to negotiate the health check on the Common Agricultural Policy. I call on other farm organisations representing farmers up and down the country to engage positively with the Minister in trying to fight for the rights of farmers under the Common Agricultural Policy health check because while we can play politics within the country we could be doing damage to farm families outside the country if we do not support the Minister in the efforts he is undertaking this week.

I appeal to Senators across the House and to the farm organisations outside it to engage with the Minister, as I am sure they will, given that they are responsible organisations. This week, as the Minister mentioned in the Chamber earlier, the health check is being negotiated and he will represent Irish farmers in Brussels. The Minister stated today that his priorities for the health check include seeking sufficient milk quota increases; appropriate market management arrangements to ensure a soft landing in preparation for the expiry of the quotas in 2015; ensuring clear, predictable decisions that can be taken on the milk quotas to give policies certainty; and other areas, including the future viability of farms in Ireland and the direct transfers available to farmers on which they so highly depend.

The sheep sector was referred to earlier. I come from a sheep farm and the future for sheep farming here is positive because of the work being done by our MEP, Liam Aylward, on bringing together clear and firm proposals for the sheep sector, not only here but across the EU. Sheep farmers, the Irish Farmers Association and other farm organisations should support those steps because it will benefit sheep farmers long into the future.

The suckler welfare scheme was referred to earlier. More than 47,000 participants will benefit from that scheme, which is a new stream of income for Irish farmers. In the next couple of months €77 million will be paid out under that scheme. Senator Carty pointed out to me earlier that €250 million is ring fenced for that scheme over the next five years and it is important to acknowledge that. We need to look in a very logical manner at the domestic situation, the budget available to farming next year and the difficulties with which the Minister has had to deal in trying to balance the future investment provision that is available to agriculture in the 2008 and 2009 budget against the money being paid out under the various schemes. At the same time we must not take our eyes off the ball in terms of the CAP health check, which is so important to the future of agriculture. I appeal to farming organisations to work with the Minister in a constructive manner to defend Irish agriculture under the review of CAP. If we do not do that, the future of Irish agriculture could be in jeopardy. The Minister, Deputy Smith, his officials and the Minister of State, Deputy Sargent are working to defend Irish agriculture at that level. It is important we back the Minister to the full in bringing about the best available opportunities to Irish farming by protecting all our interests under the CAP reform health check.

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