Michael Ring (Mayo, Fine Gael)
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Question 559: To ask the Minister for Agriculture, Fisheries and Food, further to Parliamentary Question No. 243 of 20 May 2009, the reason that the terms of an agreement (details supplied) relating to forestry grants were changed in view of the fact that farmers had entered into a long-term contract with his Department. [22183/09]

Brendan Smith (Cavan-Monaghan, Fianna Fail)
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Although the Deputy refers to "forestry grants" I presume that he is referring to the recent decision to reduce the annual forestry premium by 8%. The Supplementary Budget in April reduced the funding available for the Forestry Programme in 2009 and it was necessary for my Department to ensure that this allocation is spent as effectively and efficiently as possible. I decided to maintain the Afforestation Grant Scheme given its employment potential and contribution to climate change mitigation and funding for this in 2009 remains in place. The reduction in annual premiums was one of a number of measures that were necessary to take to deal with the new budgetary position.