Written answers

Tuesday, 17 May 2005

Department of Agriculture and Food

EU Funding

9:00 pm

Liam Aylward (Carlow-Kilkenny, Fianna Fail)
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Question 256: To ask the Minister for Agriculture and Food if she will examine the projected changes in EU funding for Ireland from 2007 to 2012; the categories of funding and objectives of the sources of the new funding; and the co-funding rates for each of the categories. [16265/05]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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In February 2004, the Commission proposed financial ceilings for market supports and direct payments under the Common Agricultural Policy for the period 2007 to 2013, which would provide additional funding for Bulgaria and Romania on top of the amounts agreed in October 2002 by the European Council for the EU25. The Commission has also proposed that €88.75 billion would be provided for rural development in the enlarged EU27 over the same period.

The Commission proposed that the support for rural development should contribute to three objectives. First, it would improve the competitiveness of agriculture and forestry through support for restructuring, development and innovation. Second, it would improve the environment and the countryside through support for land management. Third, it would improve the quality of life in rural areas and encourage diversification of economic activity. In Ireland's case, the maximum co-funding rates would be 50% for the first and third objectives and 55% for the second objective. However, a 55% maximum rate would also apply to measures delivered through the Leader model which falls within the third objective. The various proposals have been under examination by my Department and have been the subject of discussions at EU level, including at the Council and European Council, since their publication. The negotiations will continue for some time and my objective will be to ensure the best possible outcome for Irish agriculture, the food industry and rural communities.

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