Michael D'Arcy (Wexford, Fine Gael)
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Question 274: To ask the Minister for Agriculture, Fisheries and Food her views on disallowing the exportation of rape seed (details supplied). [28376/07]

Mary Coughlan (Donegal South West, Fianna Fail)
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My Department does not have any direct role in determining the location of end use markets for oilseeds. In a single market situation, biofuel feedstocks including oilseed rape, are traded freely within the EU and I do not have the authority to disallow the exportation of oilseed that has been paid the National Energy Crop Premium of €80 per hectare.

The €80 payment is intended as an added incentive for Irish farmers to grow energy crops. It is being paid as a top-up to the EU premium available under the EU Energy Crops Scheme. The rules governing this Scheme provide that aid will only be granted in respect of areas where production is covered by a contract between the farmer and the processing industry, except where the farmer undertakes the processing himself. Furthermore applicants must deliver all raw materials harvested to a collector or first processor who will take delivery of them and ensure that an equivalent quantity of these raw materials is used within the European Community for the manufacture of energy products.

As announced in Budget 2007, my Department was allocated €6 million to support a new National Energy Crop Premium over the period 2007-2009. It is intended that the €80 payment will be available for 3 years and will be subject to a maximum ceiling of 37.5 hectares per producer over the 3-year period. My Department is pursuing EU approval to increase this ceiling.

For 2007, a total of 550 farmers are potentially eligible for the National Energy Crop Premium. Payments are being made initially to 437 farmers and are worth approximately €341,000. Payments to the remaining applicants will continue as further cases are cleared.