Charlie McConalogue (Donegal, Fianna Fail) | Oireachtas source

I welcome the opportunity to provide an update on the calf investment scheme for farmers. I thank the Senator for raising this matter, which he has raised on many occasions before on the agriculture committee and which he has a strong commitment to developing.

This on-farm investment scheme supporting investments in calf-related items opened to farmers last January. The scheme was one of a series of measures put in place in advance of the spring calving season last year with a view to ensuring the best possible calf welfare outcomes. The scheme is fully funded by the Exchequer. A total of €4 million was secured to fund the scheme, which was open for applications between 7 January and 28 January this year. The minimum investment required for the scheme was €1,000, while the maximum investment was €7,500, with both figures excluding VAT. A 40% grant aid applied to applications meeting the terms and conditions of the scheme. This means the maximum grant payment per holding was €3,000.

I am pleased to report that there was a great deal of interest in the scheme with 2,414 applications received. Approvals to proceed with the investments issued to 2,338 applicants. Applications for payment could be submitted as soon as the investment was complete. The final date for the submission of payment claims was extended to 30 September 2020 in light of Covid-19 restrictions. More than 1,500 payment claims were submitted by this date, which is a substantial number. Payments under the calf investment scheme commenced in August 2020 and are issuing on an ongoing basis as cases are cleared by the Department for payment. Any applicant who has been contacted by the Department with a query regarding their payment claim is urged to respond as soon as possible to provide for the earliest possible issue of payment.

With regard to calf welfare, I recently attended a meeting of the calf stakeholder group, which is an ongoing group hosted by my Department, to hear the activities that various stakeholders are taking to support and ensure the welfare of calves born in Ireland each year. It was good to hear the positive contribution of the various participants, including the farm organisations, and that Ireland's position with regard to calf health and welfare compares favourably internationally.

I was pleased to note the ongoing research initiative by the Department and Teagasc on the issue of the transport of calves and the Irish Cattle Breeding Federation-Teagasc projects on enhancing dairy/beef integration efforts.

It is also important to point out that the Department continues to operate a large on-farm investment scheme, namely, the targeted agricultural modernisation scheme, TAMS. TAMS comprises a suite of seven measures and was launched under the Rural Development Programme 2014-2020, with a budget of €395 million over the full period of that programme. To date, expenditure under TAMS II has exceeded €242 million. Under the young farmer capital investment scheme, additional support is available for young trained farmers and they are offered a higher rate of grant aid of 60%, compared to the standard rate of 40%. Payments under the TAMS II scheme continue to issue on an ongoing basis.

I encourage all approved participants who have completed their investments to submit their payment claims. I also urge any calf investment scheme applicants with any outstanding query from my Department to respond as soon as they are able to do so to allow for the early issue of payments under the scheme.