Michael Healy-Rae (Kerry, Independent)
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281. To ask the Minister for Agriculture, Food and the Marine further to Parliamentary Question No. 273 of 10 November 2021, if the 58.53% of farmers better off with 100% convergence is relative to their current pillar 1 payment if no convergence was applied or relative to 85% convergence; the way the eco scheme element of 25% and other pillar 1 reductions such as young farmer and national reserve elements have been reflected and accounted for in this comparison; and if he will make a statement on the matter. [56450/21]

Charlie McConalogue (Donegal, Fianna Fail)
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Parliamentary Question No. 273 of 10 November 2021, illustrates the number and percentage of farmers who would be better off in 2023 with 100% convergence achieved by 2026, compared to 85% convergence achieved by 2026. This includes the deductions taken for Eco, Young Farmers and CRISS but excludes National Reserve deduction.

Michael Healy-Rae (Kerry, Independent)
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282. To ask the Minister for Agriculture, Food and the Marine the number of farmers that will benefit from 100% convergence at the end of the CAP period, as opposed to the end of year one; and if he will make a statement on the matter. [56451/21]

Charlie McConalogue (Donegal, Fianna Fail)
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Table 1 illustrates the number and percentage of farmers in each County that would be comparatively better off with a 100% convergence option versus the 85% convergence option in the final year of convergence 2026.

Table 1: The number and percentage of farmers in each County that would be comparatively better off with a 100% convergence option versus the 85% convergence option.

*The data is a Year 4 comparison only (2026) with BISS Capped.

To demonstrate the potential effects of the Direct Payment components, such as convergence, it was necessary to identify a cross-sectional sample population of farmers for modelling purposes. The data is based on 2020 land position and 2021 entitlements.

The figures in Table 1 are modelling predictions of the expected landscape in 2026 and caveats of the data should be noted they include:

- Comparative monetary differences vary significantly from marginal to minimal amounts.

- Payment Entitlements are a monetary/tradeable asset and are transferable between farmers via sale, lease, gift, inheritance etc. As such, transfer of entitlements occur across County borders.

- Farmer’s payment positions would likely change in Scheme Year 2026 based on trading of entitlements.

Finally, the Direct Payments system is a layered or composite structure with interacting component parts. Moving funds into one scheme will mean reducing the funding available for another. All elements under the direct payments ceiling are inextricably linked and it is challenging to examine them in isolation.

My Department continues to engage with farmers, their representative organisations and our European colleagues in analysing the effects of all the proposed changes, including changes to convergence. The outcome of these continued discussions and the results of these analyses assist the decision-making process on the implementation of new CAP regulations in Ireland.