More than 9,000 Irish farmers have taken advantage of the EU early retirement scheme which allows them to leave full-time farming at the age of 55. The scheme was introduced in the State in 1994 as part of the reform of the Common Agricultural Policy by the then Commissioner for Agriculture and Rural Development, Mr Ray MacSharry.
The two main aims of the scheme are to replace older, retiring farmers with younger, fully qualified farmers and to increase the average size of farm holdings throughout the State.
Initially, there was a very slow up-take of the scheme because of a reluctance to get involved in it and farmers had a series of good years financially going back to 1990.
However, following the beef crisis of 1995, when it was suggested there was a possible link between BSE and a human form of the disease, nv CJD, farm incomes began to tumble.
Farmers began to seriously think about getting out of the business and began to look at the possible rewards offered by the EU for doing so.
The maximum pension payable under the scheme, which is linked to the size of the farm involved, is £9,510, a sum which many smaller farmers could never hope to achieve from their farms.
The Department of Agriculture and Food had estimated that about 7,000 farmers might decide to retire but this figure has now been surpassed.
The scheme is co-financed by the EU and the Exchequer which bears 25 per cent of the cost. To date more than £235 million has been paid out to retiring farmers.
Last week, the Minister for Agriculture and Food, Mr Walsh, presented to Mr Jeremiah O'Brien, a farmer from Clonakilty, Co Cork, his first payment under the scheme when Mr O'Brien became the 9,000th successful applicant.