Charlie McConalogue (Donegal, Fianna Fail)
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305. To ask the Minister for Agriculture, Food and the Marine if he will introduce crisis aid funding to tillage farmers that had their crop destroyed due to severe weather in 2016; and if he will make a statement on the matter. [19058/17]

Michael Creed (Cork North West, Fine Gael)
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I hosted a further Tillage Stakeholders Forum recently which consisted of representatives from all sides of this Sector. Addressing the Forum, I took the opportunity to highlight that one of my priorities has been to address the impact of the change in the sterling exchange rate and lower commodity prices in some sectors, which have caused cash flow difficulties for farmers.

Therefore I was pleased to facilitate the “Agriculture Cashflow Support Loan Scheme”, which was developed by my Department in co-operation with the Strategic Banking Corporation of Ireland (SBCI) and makes €150 million available to farmers throughout Ireland at interest rates of 2.95%. Distributed through AIB, Bank of Ireland and Ulster Bank, it provides tillage farmers with a low cost, flexible source of working capital and will allow them to pay down more expensive forms of short-term debt, ensuring the ongoing financial sustainability of viable farming enterprises. The loans are for amounts up to €150,000 for up to six years and are flexible with interest only facilities of up to three years. Although no official returns have been made to my Department as yet, the banks have confirmed that they have applications up to the amounts available under the Scheme. I am pleased at the very positive reaction by farmers to the Scheme, which has proved that significant demand exists for low-cost flexible finance. I hope that the commercial banks will respond positively to this demand by reducing interest rates and providing more flexible terms for cash flow loans in the future. I am meeting with the Chief Executives of the banks shortly to discuss this and other issues relating to access to finance in the agri-food sector.

Also the Tillage Investment Scheme under TAMS II opened for online applications on the 8 March 2017. The specific areas of investment include Minimum Disturbance Tillage Equipment, Sprayers, Rain Water Harvesting, Grain Storage and Grain dryers. This Tillage Scheme is the latest of the Targeted Modernisation Schemes (TAMS II) to be launched under the Rural Development Programme 2014-2020. The Scheme is co-funded by the European Agricultural Fund for Rural Development (EAFRD). All applications must be made on-line, either by the farmer or by an adviser authorised to act on his or her behalf. The closing date for applications under the first tranche of the new scheme will be Friday 30 June 2017.

As an additional support to cash flow on farms, including Tillage farms, I am pleased to record that to date €1.183 billion has been paid out under the 2016/17 Basic Payment Scheme to 123,929 farmers and these payments are ongoing. Furthermore, payments of €201.38 million have also been made to 94,101 applicants under the Areas of Natural Constraints Scheme.

I can confirm to the Deputy that a wide ranging discussion took place among all the stakeholders who attended the latest session of the Tillage Forum, including on the issue of crop losses as a result of the poor harvest conditions of last autumn. My officials have since then had some further meetings with stakeholders and I will consider further the outcome of those deliberations.

Charlie McConalogue (Donegal, Fianna Fail)
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306. To ask the Minister for Agriculture, Food and the Marine the date for the next national tillage forum with stakeholders with a view to introducing a crisis aid fund for tillage farmers that had their crop destroyed or badly damaged by severe weather in 2016; and if he will make a statement on the matter. [19059/17]

Michael Creed (Cork North West, Fine Gael)
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The Deputy is aware I hosted a further Tillage Stakeholders Forum recently following on from the first one in October 2016 which on both occasions consisted of representatives from all sides of this Sector. Addressing the most recent Forum, I took the opportunity to highlight that one of my priorities has been to address the impact of the change in the sterling exchange rate and lower commodity prices in some sectors, which have caused cash flow difficulties for farmers.

Therefore I was pleased to facilitate the “Agriculture Cashflow Support Loan Scheme”, which was developed by my Department in co-operation with the Strategic Banking Corporation of Ireland (SBCI) and makes €150 million available to farmers throughout Ireland at interest rates of 2.95%. Distributed through AIB, Bank of Ireland and Ulster Bank, it provides tillage farmers with a low cost, flexible source of working capital and will allow them to pay down more expensive forms of short-term debt, ensuring the ongoing financial sustainability of viable farming enterprises. The loans are for amounts up to €150,000 for up to six years and are flexible with interest only facilities of up to three years.  Although no official returns have been made to my Department as yet, the banks have confirmed that they have applications up to the amounts available under the Scheme. I am pleased at the very positive reaction by farmers to the Scheme. I hope that the commercial banks will respond positively to this demand by reducing interest rates and providing more flexible terms for cash flow loans in the future. I am meeting with the Chief Executives of the banks shortly to discuss this and other issues relating to access to finance in the agri-food sector.

 Also the Tillage Investment Scheme under TAMS II opened for online applications on the 8 March 2017. The specific areas of investment include Minimum Disturbance Tillage Equipment, Sprayers, Rain Water Harvesting, Grain Storage and Grain dryers. This Tillage Scheme is the latest of the Targeted Modernisation Schemes (TAMS II) to be launched under the Rural Development Programme 2014-2020. The Scheme is co-funded by the European Agricultural Fund for Rural Development (EAFRD). All applications must be made on-line, either by the farmer or by an adviser authorised to act on his or her behalf.  The closing date for applications under the first tranche of the new scheme will be Friday 30 June 2017. 

As an additional support to cash flow on farms, including Tillage farms, I am pleased to record that to date €1.183 billion has been paid out under the 2016/17 Basic Payment Scheme to 123,929 farmers and these payments are ongoing. Furthermore, payments of €201.38 million have also been made to 94,101 applicants under the Areas of Natural Constraints Scheme. 

I can also confirm to the Deputy that a wide ranging discussion took place among all the stakeholders who attended the recent session of the Tillage Forum, including on the issue of crop losses as a result of the poor harvest conditions of last autumn. My officials have since then had some further meetings with stakeholders and I will consider further the outcome of those deliberations.  No date has yet been set for another Tillage Forum.