Funds reflect role of farming, says Smith

AGRICULTURE: THE AGRICULTURE sector fared well in the Budget, a recognition of its key role in economic recovery, according …

AGRICULTURE:THE AGRICULTURE sector fared well in the Budget, a recognition of its key role in economic recovery, according to Minister for Finance Brendan Smith.

He was one of the few Ministers who announced that there would be no change in payment levels for the main departmental schemes and that 10,000 farmers coming out of the Reps 3 scheme would have a new one to join.

He also announced that farmers would get €100 million owed to them under the Farm Waste Management Scheme before the end of the year. The recession meant money they spent two years ago was being paid in instalments, the final one due in January next.

“Today’s estimate is a very clear statement of the Government’s commitment to this vital sector and, including EU funding of €1.278 billion, my department’s total expenditure in 2011 will be almost € 3 billion,” he said.

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Although a reduction in payments under the farm waste management scheme largely accounted for the 11 per cent net reduction in the department’s estimate , spending in a range of areas will be maintained at or very close to 2010 levels. These included €220 million on Disadvantaged Areas Payments and €337 million on the Agri Environmental Options Scheme and Rural Environment Protection Scheme.

The Irish Farmers’ Association and the Irish Creamery Milk Suppliers Association complained that changes in tax and PRSI schemes would impact negatively on farm families. However, both organisations welcomed the maintenance of farm schemes.