Martin Ferris (Kerry North, Sinn Fein)
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Question 96: To ask the Minister for Agriculture and Food the impact the introduction of the single farm payment will have on the organic sector here. [24331/04]

Mary Coughlan (Donegal South West, Fianna Fail)
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The introduction of the single payment scheme, giving farmers an assurance about the level of direct payments they will receive in the medium term, offers them an opportunity to consider changing their farming activities. I believe that this is a good time for farmers to look at the organic option. While there is a growing demand for organic produce among consumers, much of that demand has to be met by imported produce, and there are real opportunities in this sector for Irish producers. REPS offers substantial support to organic farmers, and the new scheme introduced in June 2004 also allows farmers for the first time to convert part of a holding to organic production. Organic farmers can also avail of the scheme of grant aid for the development of the organic sector, under which on-farm capital investment projects costing over €2,540 are eligible for 40% grant assistance up to a maximum of €50,790.