Written answers
Tuesday, 28 May 2024
Department of Agriculture, Food and the Marine
Covid-19 Pandemic
Pádraig Mac Lochlainn (Donegal, Sinn Fein)
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365. To ask the Minister for Agriculture, Food and the Marine if he will, as a matter of urgency, ensure that the European Commission establishes, by means of an implementing decision, the occurrence of an "exceptional event" in relation to the global COVID-19 pandemic, and that the operational programme for the 2021-2027 EMFAF is designed to enable the prompt and efficient drawdown of these very urgent and crucial funds needed to stabilise struggling aquaculture businesses in Ireland. [23921/24]
Charlie McConalogue (Donegal, Fianna Fail)
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The European Maritime, Fisheries and Aquaculture Fund (EMFAF) (2021-2027) provides the primary source of funding support for the seafood sector in Ireland.
Article 26(2) of the EMFAF Regulation (2021/1139) provides that aid may be granted where an exceptional event has occurred which caused a significant disruption of the markets. such aid may only be in respect of loss of income or increased costs, aid may only be provided where the Commission has made an Implementing Decision.
It is important to note that supports were in place for aquaculture producers over the course of the Covid-19 pandemic, and continued to be provided until the end of 2023.
In 2020 the European Maritime and Fisheries Fund (EMFF) was still in place, and an amendment was made by the Commission to the EMFF to allow Member States to provide the supports required to the seafood sector in respect of the difficulties created by the pandemic.
Under the EMFF a special Covid-19 financial support scheme for rope mussel and oyster farmers was implemented by my Department in 2020. The scheme provided for payments to these producers in light of the significant reductions in sales that had been experienced that year as a result of the pandemic. A total of €1.17 million in aid was paid to 139 beneficiaries under this scheme.
In addition, that same year (2020), payments of almost €2 million were paid to 32 beneficiaries under the EMFF funded Sustainable Aquaculture Scheme.
At that time aquaculture operators and their employees would also have had access to the supports put in place across all sectors of the economy to support businesses, such as the Pandemic Unemployment Payment (PUP), the Temporary Wage Subsidy Scheme (TWSS) and the Employment Wage Subsidy Scheme (EWSS).
In 2021 a further €2.79 million in funding was paid out under the EMFF Sustainable Aquaculture Scheme, and a further €0.8 million was paid out under the scheme in 2022. However, that same year, the BAR funded Brexit Sustainable Aquaculture Growth Scheme was launched. Over 2022 and 2023 the latter scheme provided €4.3 million in grant aid to aquaculture producers.
Currently preparations are at an advanced stage in relation to a new Aquaculture Capital Investment Scheme under EMFAF. An Implementation Plan is with the EMFAF Monitoring Committee for adoption by the end of May, following which Bord Iascaigh Mhara (BIM) will put the scheme in place.
As I have already outlined, the Commission took steps to enable Member States to support producers in response to the challenges created by Covid-19, by amending the EMFF. To date, the Commission has not chosen to put an Implementing Decision in place under EMFAF in respect of the Covid-19 pandemic.
It is not within the power of any individual Member State to compel or require the Commission to put an Implementing Decision in place under EMFAF. In consideration of such a request the Commission would require the necessary evidence to demonstrate that the current market difficulties being experienced by the seafood sector are directly attributable to the Covid-19 pandemic. It is not clear whether such evidence is available, as the industry reports that a number of factors unrelated to Covid-19 appear to be affecting both market conditions and the profitability of aquaculture operators.
I must further note that the Commission did make an Implementing Decision (2022/500) under Article 26(2) of EMFAF, establishing the military aggression of Russia against Ukraine as the occurrence of an exceptional event causing a significant disruption to markets. This allowed Member States to use EMFAF funding for aid provided between 24 February and 31 December 2022 in respect of measures to mitigate the impact of the conflict in Ukraine.
At AgriFish Council in December 2023 a number of Member States asked the Commission to extend this Implementing Decision, and Ireland spoke in support of this request. The matter was raised again at AgriFish Council in March 2024. To date the Commission has not indicated its willingness to do so.
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