Brendan Smith (Cavan-Monaghan, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

769. To ask the Minister for Agriculture, Food and the Marine if he has put proposals to the EU Agriculture Commissioner in relation to the postponement of super levy fines for 2016 and 2017, in view of the crisis affecting dairy farmers; and if he will make a statement on the matter. [22804/16]

Michael Creed (Cork North West, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I am fully aware of the pressures on dairy farmers right now and I am committed to working with all players in the sector to address these issues and ensure that we have a sustainable dairy sector going forward.

With respect to superlevy repayments, the rules governing the EU milk quota regime, including the superlevy system for production above quota, were set at EU level. It is not within the gift of individual Member States to amend these rules.

However at the request of Ireland and some other Member States, the EU Commission introduced a provision last year permitting payment of the levy in three annual instalments, without interest. This was on the understanding that the full amount of the levy was paid to the Commission by the Member State in 2015. Ireland was one of the few Member States to implement this scheme and make it available to our farmers.

As part of the discussions in the run-up to a Council of Agriculture Ministers earlier in 2016, Ireland proposed a further deferral of the payment to 2017 and 2018, to ease the financial burden on liable farmers in 2016. I also raised the matter with Commissioner Phil Hogan directly. However, the European Commission have unequivocally advised that the legal basis for the Regulations under-pinning the scheme are no longer in existence and therefore further amendments are not possible. Our clear understanding is that the view of the Commission’s legal services remains that there is no legal basis for any adjustment to the timelines provided for in the relevant regulations.