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In the Commentary Box

 
Wednesday, July 28, 2010

Funding for vital farm schemes must be maintained

IFA PRESIDENT John Bryan has again called on the Minister for Agriculture Brendan Smith to ensure that funding for vital farm schemes is maintained when the Cabinet discusses the forthcoming Budget.

Mr Bryan said: “In understanding that the Government must restore order to the public finances, IFA has shown that the required savings can be found in the Agriculture budget, under the current planned programme of expenditure, whilst at the same time maintaining funding for farm schemes. These schemes are of critical importance, especially in the livestock sector.”

Mr Bryan continued: “Farming was already targeted for cuts in funding in both the October 2008 and April 2009 Budgets. These cuts included a 14% cut in payments for Disadvantaged Areas, a reduction in payment levels for REPS 4 and its suspension to new entrants, a halving in the rate of funding for the Suckler Cow Scheme and an 8% reduction in the Forestry premium. The cuts continue to impact on Farm Incomes, which have fallen by 40% since 2007, and any further cuts will have a devastating impact on the confidence and recovery of primary producers.

“It is critically important that Government funding for vital farm schemes, including REPS, AEOS, forestry, the Suckler Cow and Disadvantaged Areas Scheme, is maintained. The 23,000 farmers leaving REPS 3 in 2010 must be accommodated in a properly funded AEOS scheme,” he said.

Mr Bryan concluded: “Agriculture and the agri-food sector have a key role to play in Ireland’s export led economic recovery. Funding for farm schemes is redistributed throughout the rural economy, maintaining and creating jobs, through expenditure by farmers on locally provided inputs, labour, goods and services.

The maintenance of this funding will provide farmers with the confidence to invest in their businesses, which will strengthen and stabilise the recovery that is already evident in the sector.”
 

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