Tom Fleming (Kerry South, Independent)
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480. To ask the Minister for Agriculture, Food and the Marine if he will make adjustments to the new beef data and genomics scheme as many aspects of the new scheme are over-complicated, the requirements are set at too high a level and will impose excessive costs on farmers, and adjustments are required to address anomalies regarding the inflexibility of the six-year rule and payment clawbacks, the 2014 reference year, young farmers, the 60% genomic testing requirement and costs, and the replacement requirements and penalties; and if he will make a statement on the matter. [22170/15]

Simon Coveney (Cork South Central, Fine Gael)
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The Beef Data and Genomics Programme (BDGP) was launched on the 5^thMay and my Department has received almost 29,000 applications to participate in the programme.The Programme forms part of Ireland’s Rural Development Programme and allocates funding of some €300 million over the next 6 years to suckler farmers in Ireland. The BDGP utilises the large strategic investment in data recording and genomics which has been made in recent years, and will ultimately bring about fundamental improvements to the entire sector by substantially improving the genetic quality of the beef herd.

The BDGP was approved under the agri-environment provisions of the Rural Development Regulations and will contribute to an important reduction in greenhouse gas emissions from the national herd. The Programme’s six year commitment arises from the requirements of the EU Rural Development Regulation under which this scheme is co-funded by the EU and Irish taxpayers. Article 28 of this Regulation stipulates that all agri-environmental schemes must be at least 5 years in duration. The commitment timeframe for the BDGP provides a guaranteed and stable payment for suckler farmers, facilitating planning and budgeting on their farms for the duration of the Programme.

It is important to note that the penalty system includes appropriate tolerances where minor non-compliances occur and no penalty will apply in these cases. In more serious cases a penalty will be applied. However, I am satisfied that the approach reflects a proportionate response consistent with the Regulations. The requirement to seek full refund of payment applies only in the event of permanent withdrawal from the scheme. As always in such cases, force majeure clauses have been included in the Terms and Conditions where withdrawal is caused by circumstances beyond the applicant’s control, such as illness or disease. My Department has also confirmed that where an applicant sells or leases his/her land, or transfers it by inheritance or gift, there will be no clawback of funds. Of course, where an applicant retains sufficient land to fulfil the requirements of the programme (the maximum payable area), he/she is required to continue to meet its terms and conditions on an ongoing basis.

While the BDGP is an area based payment, the area upon which payment is made is based on the number of suckler cows calving in the herd in 2014. It was not possible to select a future date because a scheme approved under the RDP could not provide an incentive for increasing stock numbers. Selecting 2014 also adds a measure of administrative simplicity for farmers that will facilitate early payments under the scheme. The provisions do, however, allow the use of 2015 as an alternative base on an exceptional basis for new entrants, applicants impacted by force majeure circumstances in 2014 and for those who would have been excluded from the scheme as a result of a reduction in stock numbers in 2015. Applications to use 2015 as a base will be considered as a case by case basis.

Many farmers are already well on the way to meeting the requirement for 4 and 5 star animals. Analysis undertaken by ICBF on the 2014 Beef Genomics Scheme has indicated that some 30% of herds are already compliant with the requirement that the number of 4 and 5 star females are equal to 50% of the reference animals on each farm. Furthermore, 52% are already compliant with the 2018 requirement that 4 and 5 star females are equal to 20% of the reference animals on each farm. All farmers will receive comprehensive training and advice to assist them in introducing the required breeding strategy. These requirements will take time to introduce and this is why there is a 5 year lead-in time included in the design of the programme.

The number of animals to be genotyped each year will be equal to 60% of the number of calved suckler cows that the applicant had on his/her holding in 2014 – known as the applicant’s ‘reference animals’. The number of reference animals will be advised to applicants upon acceptance into the scheme. For example, an applicant with 15 reference animals in 2014 must have sufficient animals to genotype nine cows/heifers/calves/stock bulls, in each year of the programme, without repetition. While the level of testing required has increased compared to the 2014 pilot scheme, the payment to the farmer has also increased significantly so the percentage of the overall payment related to genotyping is broadly the same under both schemes.

The 15% genotyping in 2014 was undertaken to develop the training population for genomic which provides the platform for the more widespread application of genomics and higher level of genotyping now made possible under the BDGP. The 60% genotyping requirement reflects the need to genotype a high percentage of female calves at birth within scheme herds and to genotype female animals introduced from non-scheme herds so that sufficient 4 and 5 star animals can be identified. The 60% requirement will also include pedigree males and cows for ongoing research and knowledge development. This increased level of genotyping improves the reliability of the breeding indexes and, importantly, ensures the identification of sufficient numbers of 4 & 5 star females required by BDGP herds.

Both my Department and the ICBF have published Questions and Answers documents to address queries being raised by farmers. Scheme applicants can contact my Department directly with any specific queries they may have and, in addition, they will also receive additional information specific to their herds in the coming week which will provide a useful overview of the current position of their herds.

Finally, I believe the high level of applications reflects the significant interest in this programme and the benefits it can deliver to our beef sector. The BDGP, like all RDP Schemes, will be subject to mid-term review. Should a need to change aspects of the Programme arise, I will address these issues subject to approval of the EU Commission, in a manner consistent with the objectives of the programme and relevant regulation.