Written answers
Tuesday, 15 September 2020
Department of Agriculture, Food and the Marine
Common Agricultural Policy
Brendan Smith (Cavan-Monaghan, Fianna Fail)
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141. To ask the Minister for Agriculture, Food and the Marine the timescale for the completion of discussions on the future funding of CAP; and if he will make a statement on the matter. [23970/20]
Charlie McConalogue (Donegal, Fianna Fail)
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Member State agreement on the future funding of the CAP was reached, as part of the Multiannual Financial Framework 2021-2027 negotiation process, at the European Council meeting in July 2020.
The original proposed 5% cut to the CAP budget was reversed, with the result that Ireland's estimated overall allocation will be some €10.7 billion, in current prices. This represents a marginal increase on our current 2014-2020 allocation. It includes a special Rural Development allocation of more than €330m, in current prices.
The European Council agreement represents a significant step towards finalising the EU budget as a whole, including future CAP funding. However, it is a complex package, and the process is not yet fully concluded. There are new mechanisms to be considered, including the operation of the European Recovery Instrument, which has been added as a response to the EU-wide economic impact of the Covid-19 pandemic. There are also a number of different elements to CAP funding, including Pillar 1 (direct payments), Pillar 2 (rural development) and the rural development component of the European Recovery Instrument, which now have to be finalised and agreed with the European Parliament.
The engagement with the European Parliament has now commenced, and I hope there will be early agreement so that we can finally provide certainty to farmers in relation to funding, and lay the foundations for agreement on the next CAP framework.
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