Pádraic McCormack (Galway West, Fine Gael)
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Question 62: To ask the Minister for Agriculture and Food her plans to provide greater support for small farmers; and if she will make a statement on the matter. [1803/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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I am keenly aware of the need to make available appropriate supports for small farmers. In this regard, as the Deputy is no doubt aware, small farmers benefit from all of the supports administered by my Department.

One of the areas where this is possible is the rural environment protection scheme or REPS. The latest version of the scheme was introduced in June 2004. In addition to an average increase of 28% in payment rates, payment of €200 per hectare is also provided for the first 20 hectares, €175 per hectare for the next 20 hectares and there is further payment digression thereafter.

Under the CAP rural development plan 2000-06, compensatory allowances payable in the disadvantaged areas moved from a payment per animal to a payment based on area. Under the new area based scheme, farmers in the disadvantaged areas with a minimum stocking density of 0.15 livestock units per hectare can qualify for payment on up to 45 hectares of land. At present, approximately 99,800 farmers qualify for payments totalling €231 million annually. This represents an average payment of €2,315 compared with an average payment of €1,523 under the old headage schemes. The smaller farmer has clearly benefited under the new scheme which will continue in its current format for 2005 and 2006.

Under the milk quota restructuring programme I announced before Christmas, small farmers again receive particular consideration in that producers with a quota of less than 350,000 litres will be able to purchase twice the amount available to larger producers in the same co-op area. Moreover, younger farmers with less than 350,000 litres will have priority access to a further 25% of the pool. In the milk quota appeals tribunal hardship scheme for 2004-05 priority is being given to applications from small scale producers. In addition, support is available to eligible farmers under the farm assist scheme, administered by my colleague, the Minister for Social and Family Affairs.