Charlie McConalogue (Donegal, Fianna Fail) | Oireachtas source

I thank Senator McGreehan for putting this issue on the agenda today. It is certainly not the first time she has raised it with me. She has been a very strong advocate for the sheep sector throughout the CAP process and since then as she has been for the agricultural sector and family farms across the board.

The short-term and long-term viability of our beef and sheep farmers is a key priority for me, as it is for the Senator. Having grown up, like her, on a sheep farm in County Donegal, I am acutely aware of the importance of these crucial sectors not only to agriculture but to the wider rural economy. I continue to lead and support the agrifood sector by putting in place appropriate supports for the sector, including through the CAP strategic plan. The next CAP is fair and well-funded and will support our farm families over the course of the decade regardless of their size, system or location. The plan recently approved by Government will provide almost €10 billion to farm families over the next five years to support them to continue to produce world-class, safe and sustainable food as well as supporting them in their important work on meeting our future climate ambitions.

This enhanced climate ambition will be met through a number of measures, including eco-schemes in pillar 1 and a new €1.5 billion flagship environmental scheme, the agri-climate rural environment scheme, ACRES, and the organic farming scheme in pillar 2. Almost €6 billion will be paid in direct farm payments to farmers with a number of specific supports for the livestock sector under pillar 2. For example, the supports for both suckler and sheep farmers are at higher rates, as the Senator pointed out, than in the current programme and will improve the carbon footprint, genetic merit and animal welfare of our national herd.

In relation to the suckler scheme, an allocation of €260 million has been provided between 2023-2027 for the suckler carbon efficiency programme and €100 million for the same years for the sheep welfare scheme. It must be recognised, however, that both beef and sheep farmers can avail, as the Senator pointed out, of a range of other CAP measures, including areas of natural constraints, ANC, payments, the new environmental scheme and the organic farming scheme.

Another significant support for the beef and sheep sectors is the enhanced support for early-stage producer organisations in the upcoming CAP strategic plan which, in addition to providing administrative and advisory support of up to €33,000 to groups, provides under competition law for collective bargaining on output prices thereby strengthening their position in the supply chain. I have maintained the levels of specific sector supports for both sheep and beef. If we look at 2023 specifically, the budgetary provision from my Department in 2023 is €2.14 billion which is the highest ever level of funding for the Department and represents a €283 million, or a 13%, increase on the previous year. In the coming year, I will introduce a new scheme to continue the beef welfare measures which were previously funded under beef environmental efficiency programme - suckler, BEEP-S. I have also maintained the annual budget for targeted beef and sheep supports of more than €100 million. Beef and sheep farmers will be well placed to benefit from the enhanced supports I have in place this year for fodder aid, as well as a number of other support schemes, including the agri-climate rural environment scheme, ACRES, and the organics scheme which I mentioned.

In terms of the payment rates under the new rural development programme sheep welfare scheme, the payment rate is being increased from €10 previously to €12. The payment rate per animal is also being increased in the beef data and genomics programme for suckler cows.

I am pleased to be able to maintain the funds. In terms of the sheep sector and throughout the CAP consultation process, the request for additional sheep funding was a very strong theme. I, along with the Minister for Public Expenditure and Reform, Deputy Michael McGrath, delivered an extra 50% in national co-funding for pillar 2 schemes, meaning significantly increased payments for farmers. One still had to make choices and decisions in terms of how one would allocate that and which sectors were most under pressure. I increased that for sheep, although I know sheep farmers would have liked more. What I would say is that as we step out over the next number of years the potential is there to look at that year-on-year to see if we can increase it. It has increased in recent years and I know the sheep sector very much wants to see that happen.