Written answers

Tuesday, 3 May 2011

Department of Agriculture, Marine and Food

Milk Quota

9:00 pm

Photo of Áine CollinsÁine Collins (Cork North West, Fine Gael)
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Question 510: To ask the Minister for Agriculture, Fisheries and Food the position regarding the scheme to give new entrants up to 40,000 gallons quota; if there will be sufficient quota to satisfy all applications, or, if not, the criteria that will be used to select successful applicants; and if he will make a statement on the matter. [9366/11]

Photo of Simon CoveneySimon Coveney (Minister, Department of Agriculture, the Marine and Food; Cork South Central, Fine Gael)
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The 2011 Scheme for the Allocation of Milk Quota to New Entrants was announced on 31 January 2011, with a closing date of 8 April. More than 260 applications were received by the closing date, so there will not be sufficient quota to satisfy all applications. All eligible applications will therefore be subjected to a rigorous selection process.

The Scheme provides for three New Entrant categories, namely:

Category A - Brand New Entrant to Dairying

Category B - Purchaser of Quota as a New Entrant through the Milk Quota Trading Scheme

Category C - Purchaser of Quota as a Successor through the Milk Quota Trading Scheme

In order to be eligible for consideration, each applicant must: satisfy the education and training qualifications as outlined in Annex I of the detailed rules of the scheme. A copy of the relevant

documentation must be submitted with the application,

have/will have a holding comprised of lands owned and/or leased by him or her;

have/will have his/her own separate independent herd number in which the dairy animals are/will be registered;

have his/her own separate milking and milk storage facilities situated on his/her holding prior to commencement of milk production;

submit a comprehensive 5-year business plan.

Applications that satisfy the eligibility criteria will be submitted for a detailed assessment. An independent panel has been established for this purpose. The panel will make recommendations to me for approval of those applications considered to provide the best evidence of a viable and sustainable enterprise.

The assessment will focus on the following areas: Educational Qualifications – Preference may be given to applicants with qualifications more specific to dairying; Background – Extent to which applicants have any previous involvement/interest in farming, particularly in dairy farming. This will include any skills or experience already developed, and the extent of any family involvement; Business Plan – Applicants should present a comprehensive plan setting out their commitment to the dairy enterprise and its future development; Financial Input – Preference may be given to applicants on the basis of personal financial commitment to the enterprise; Independence – Extent to which applicants intend to run their own enterprise, without the likelihood of quota being absorbed into other, existing enterprises.

I hope to be in a position to announce the completion of the process by the end of May.

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