Written answers

Thursday, 16 February 2006

Department of Agriculture and Food

Single Payment Scheme

5:00 pm

Photo of Martin FerrisMartin Ferris (Kerry North, Sinn Fein)
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Question 58: To ask the Minister for Agriculture and Food her views on whether the future for farmers here has improved since the introduction of the single farm payment; and if she will make a statement on the matter. [5965/06]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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The agreement on the mid-term review of Agenda 2000 was a balanced one which addressed Ireland's principal objectives. Among these objectives was the preservation of the financial benefits achieved under the Agenda 2000 agreement and the establishment of a policy framework that will allow farmers and the agri-sector the flexibility to adapt to evolving consumer and market demands. In particular, farmers are now free to concentrate more on market requirements and need no longer concern themselves about retention periods, quotas, stocking densities, census dates and other requirements associated with the old coupled regime.

Under the single payment scheme, the financial envelope provided for each member state represented the average value of livestock and arable aid premia paid during the three year reference period calculated at 2002 rates of payment. I am particularly pleased that the 2002 rate of payment was used to calculate the single payment as this was the highest rate payable under the Agenda 2000 arrangements.

The introduction of the single payment scheme in 2005 was a major undertaking for my Department and also involved a considerable learning curve for farmers. Payments under the scheme commenced on 1 December, the earliest date allowed in the EU regulations. Some 110,000 farmers were paid €970 million on that date. By the end of 2005, over 118,000 farmers had received €1,058 million under the scheme. The achievement in terms of delivery in the first year of a major scheme shift has been recognised all round. Ireland's performance in this regard places us in the lead group of member states.

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