Written answers

Thursday, 13 October 2011

Department of Agriculture, Marine and Food

Direct Payment Schemes

2:00 pm

Photo of Michael Healy-RaeMichael Healy-Rae (Kerry South, Independent)
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Question 205: To ask the Minister for Agriculture, Fisheries and Food in view of the importance of the direct payments to farm incomes, if he will ensure that at all times every possible effort is made to ensure that family farms will continue to remain viable and that he will do everything in his power to help in this matter; and if he will make a statement on the matter. [29186/11]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
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As is clear, while the timing of all direct aid payments to farmers is crucial, it is the Single Farm Payment that is of most importance to farmers, given that it represents in excess of €1.2 billion of the €1.7 billion that is paid out in direct aid. The SFP forms a significant part of the annual income of all farmers in Ireland, in many cases is used to subsidise the running costs of the farming enterprise and is, therefore, in certain cases greater than net farm income.

The legal situation is that under the provisions of the governing EU Regulations, payment of the SFP cannot commence until 1 December of the scheme year and can continue to be paid up to the 30 June of the following year. However, under exceptional circumstances, the Commission are entitled, under the provisions of the EU Regulations, at the request of a Member State, to grant approval for an advance payment (50%) to be made from 16 October (the first day of the EU financial year).

Earlier this year, mindful of the difficulties caused for farmers by the current financial crisis and also being acutely aware of the significance to the wider rural economy of the Single Payment, I successfully sought the approval of the Commissioner to have advance payments made. I am pleased to say that these payments will start issuing as and from next Monday, 17 October.

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