Pat Breen (Clare, Fine Gael)
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Question 244: To ask the Minister for Agriculture and Food her plans to replace or improve the early retirement scheme which she has said in press statements recently has ran its course; and if she will make a statement on the matter. [31229/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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I have not taken a decision on the future of the early retirement scheme. The EU Council regulation covering the current scheme will expire in December 2006. The Council regulation on rural development for the period from 2007 to 2013 again includes provision for member states to operate early retirement measures. No decisions have yet been taken regarding the schemes to be operated in Ireland under this regulation.

The early retirement scheme was introduced as one of a number of instruments to improve the age structure of Irish farming and improve the viability of farm holdings. From that point of view, the first scheme from 1994 to 1999 was not unsuccessful. However take-up of the current scheme has fallen short of expectations, and an expenditure review carried out in my Department in 2004 raised a number of questions about the effectiveness of the scheme in achieving its objectives. Structural reform is still a priority both at home and at European level, and we still need to provide opportunities for young farmers. In framing proposals for the next rural development round we need to consider how best to achieve those results in the light of the funding and the options that are available.