Andrew Doyle (Wicklow, Fine Gael)
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Question 568: To ask the Minister for Agriculture, Fisheries and Food if there are incentives for development in respect of small primary and secondary meat processors in the new grant aid scheme announced in the week commencing 24 May 2009; the amount this scheme ring-fenced for small primary and secondary processors; the strategic objectives he is accomplishing in publishing this scheme at this time; the conditions governing the scheme; the verification procedure for work carried out; and if grant aid payments will be made on completion of work after verification or made on a phased basis over a period of time. [22336/09]

Brendan Smith (Cavan-Monaghan, Fianna Fail)
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In 2008 my Department awarded particular financial support to the small meat sector, which includes small slaughterhouses and low throughput meat establishments. Following a call for applications in December 2007, and a detailed selection and evaluation process in 2008, my Department awarded a total of €7.8m in grant assistance to 31 enterprises. This funding will assist food business operators in the sector to improve efficiency, add quality and value to products, produce new and innovative products and develop new markets.

The awards of €69 million under the Beef and Sheepmeat Investment Fund, which were announced recently, are part of a strategy to position the industry to face the challenges and grasp the opportunities that lie ahead. This grant aid will contribute to an actual investment in projects in the region of €168 million. The objective of the Fund is to support capital investment to increase scale and efficiency in primary processing, and to increase added value in further processing for retail, food service and manufacturing outlets. The investments are expected to increase net sales and exports by €400 million and ensure a net expansion in employment, with over 800 additional jobs to be provided by 2012 when the investment package is due to be completed.

Each application for the Beef and Sheepmeat Investment Fund was carefully considered and all eligible projects were assessed and evaluated according to strict commercial and technical criteria by an expert committee comprising members from Enterprise Ireland, the Department of Agriculture, Fisheries and Food, Bord Bia, the Department of Enterprise, Trade and Employment, private industry and an academic expert.

The funding awarded is being provided over a multi-annual period. In the case of eligible capital investments carried out up to 31 December 2008, grant aid will be paid out at the latest by 30 June 2010. Grant aid in respect of eligible capital investments carried out after 31 December 2008 will be paid out in the years 2011-2012.

Grant payments, which fit within the timelines above, will only be made when: All the conditions relating to the executed grant agreement covering the grant approvals are fulfilled by the promoters. The normal submission of independent auditors certification and supporting schedules of the costs which have been expended. A formal inspection by the Enterprise Ireland inspection team of the assets upon which grant is being claimed and their satisfaction that the assets are in place, are in line with the objectives of the investment programme and represent good value for money. Payments can be made on an instalment basis so as to facilitate the cash flow requirements of projects and in line with the actual expenditure actually undertaken. It is expected that the final grant amounts will be expended in 2012 or 2013 depending on the speed of actual investment by the beneficiaries.