The Irish Farmers' Association - IFA

Lobbying Organisation The Irish Farmers' Association - IFA

Date published 20 Sep, 2020

Relevant Matter Matters involving public funds

Public Policy Area Finance

Period 1 May, 2020 to 31 Aug, 2020

Specific Details IFA 2021 Budget Submission - Expenditure Measures to Support Farm Enterprises

Intended results Farm Schemes - that the total annual CAP payment plus the national co-financing must amount to €2bn per annum, from the current level of €1.8bn from when the new CAP starts. Suckler Cow - Suckler farmers need a targeted payment of €300 per cow, facilitated by a combination of CAP and national funding. - For 2020, a total of 27,000 suckler farmers have applied for the BEEP-S scheme, with up to 600,000 cows. At the payment rates of €90 on the first 10 cows and €80 on the remainder, the funding costs of this scheme will be up to €52m in 2020, as opposed to the €35m allocated in 2019. This means this scheme will need a budget injection of an additional €17m for 2020. - For 2021, the IFA is proposing the BDGP is renewed and simplified with funding increased from €45m to €90m pa. - This would provide total funding of €142m pa for sucklers (BDGP €90m and BEEP-S €52m) and enable payment rates of €290 per cow on the first 10 cows and €250 per cow on the remainder. - An enhanced environmental scheme must be introduced to acknowledge the carbon sink provided by agriculture and to support vulnerable sectors like sucklers. Sheep Welfare Scheme - that a targeted payment of €30 per ewe through a combination of CAP transition and national funding is needed for sheep farmers. Across the national flock of 2.57 million breeding ewes, this would require total funding of €77m pa. Agri-Environment Schemes - that the GLAS scheme must be reopened for all farmers who are currently denied entry. This includes new entrants since 2015 as well as the 2,000 farmers who were in AEO's whose contracts finished in 2018. - For the 36,000 farmers finishing GLAS on December 31st 2020 their plans must be extended for up to 2 years or for the period of CAP transition, and all payment rates must be maintained. - €232m funding allocation is required for all environmental and locally led schemes, including GLAS, the Burren, Hen Harrier and Organic Schemes. Areas of Natural Constraints (ANCs) - that funding for the ANCs must be increased by a further €50m to bring the total budget for scheme to €300m. Designated Area Payments - that additional funding of €10m must be allocated to the NPWS to pay farmers where restrictions to farming result from the designation of land. Organic Farm Scheme (OFS) - that funding of the Organic Farm Scheme must be maintained at €12m and transitional arrangements put in place, given the current proposals under the Farm to Fork Strategy. - An additional payment on the first 3ha of organic horticulture. There is a clear growing market and demand for organic fruit and vegetables that will return a margin. Knowledge Transfer (KT) - To support increased participation by farmers in KT programmes accorss all sectors, funding of €19m is required. This would allow an extension of the KT programme for 2021 and allow additional participants into the scheme. Producer Organisations (POs) - that €5m must be provided to assist farmers with the establishment and ongoing running costs of POs. Walks Scheme - that the number of trails must be extended to 120, with additional funds of €2m to bring it to a total of €6m. LEADER - that the LEADER Programme be fully funded for 2021, with no gap in this funding before the start-up of LEADER in the next RDP. Targeted Agricultural Modernisation Scheme (TAMS) - An allocation for TAMS for 2021 must be set at €120m. It is necessary to meet all outstanding commitments and new application for 2021 under EU CAP transitional arrangements. - Additional items must be added to include grant aid for road underpasses, weighbridges and rubber mats. - There needs to be a separate investment limit for solar panels, similar to LESS and the ceiling for LESS needs to increase. - In the context of fencing in inaccessible hill areas, the standard costings must reflect the increased cost in sheep fencing and of transporting materials to the site. - The investment limit for the Pig and Poultry Investment Scheme (PPIS) increased to €200,000 per farmer announced in 2019 must be implemented as soon as possible. - The minimum investment limit of €2,000 must be lowered to accommodate small investments. - The standard costings must be adjusted in line with increased costs of building materials, machinery and labour. Tillage - There must be greater flexibility in farm schemes so that tillage farmers qualify for higher grant rate payments, particulary in relatin to any new schemes, similar to the existing TAMS and GLAS schemes which were introduced under the CAP Pillar II. Supporting Farmers through rexit and COVID-19 - Full compensation for any losses during Transition Period arising from Brexit uncertainty, sterling volatility and COVID-19 impact, across all sectors. - Full compensation for beef price losses since the end of the period covered by the BEAM scheme on the 12th May 2019 involving the following €160m from 12th May to 31st Dec 2019; €113m from 1st Jan to 5th July 2020 (€163m losses less €50m pandemic payment); On-goijng losses estimated at €6m per week. - The allocation of a€5bn Brexit Adjustment Rserve Fund as part of the EU Recovery Fund is welcome. However, this may not be sufficient and must be scaled up as necessary to deal with all scenarios including the possibility of no deal, ie to provide for direct payments to farmers to fully compensate for the reduced value of the UK market, in addition to market support measures and longer term structural and adjustment funding. - Further strengthening of the Government's Brexit contingency fund announced in Budget 2020, which allocated €110m to Agriculture, so that these funds are supplemented in Budget 2021. Climate Action - Funding is required to introduce a Sustainable Development Programme (SDP) to co-ordinate the delivery of price supports for farm-scale and community-based renewables and to ensure the maximum delivery of the Teagasc MACC climate roadmap. - The "new REPS-2 Programme" in the Programme for Government Our Shared Future must be piloted in 2021. - There must be increased support to farmers with designated land. - There must be an increased allocation for the Organic Farming Scheme. - The BDGP has been effective in improving the efficiency of the national suckler cow herd. This scheme must be simplified and built upon with an increse in the allocation for the scheme. - There has been a bigger level of application than anticipated int he recently introduced BEEP-S scheme. €35m was allocated under the scheme, an additional €17m is required to ensure all applicants are fully funded. - The overall grant-aid available for the Low Emission Slurry Spreading (LESS) scheme must be increased to 60% and LESS equipment must be exempt from VAT. - As per the commitment in the Programme for Government Our Shared Future, a liming programme to support farmers must be introduced, needing an allocation of €23m. Renewable Energy & the Bioeconomy - Tiered supports are required for the development of anaerobic digesters, ranging from farm scale up (up to 0.5MW), to community/small co-op scale )0.5MW - 2MW) and large co-op (5MW). - The provision of a Capital Grant in the order of 50-60% which is ring fenced from existing farm supports and essentially brings new capital to a farm solar proposition. There needs to be flexible criteria around this grant to ensure participation of all farmers regardless of the sector, size or geographic location. Supports need to be tailored to take account of the west/east and north/south divide for farmers,ensuring a level playing field regardless of farm size, farm location or farm sector - Development of a Feed in Tariff paid on the metered output of a solar installation and based on detailed financial modelling through the collection of funds from the carbon tax and the PSO Levy. - Favourable Tax treatment to promote uptake on renewable technology for farm communities. Revenue generated from renewable energy should be exempt from income tax for an extended period, as is the case with forestry. - Inter Community Network Charges - Recognise the farming community as a virtual community in terms of auctions etc. Create a framework for energy communities that would allow small auto-producers to share their excess without incurring system charges, therefore increasing export value. This allows for energy trading between farmers. - Finance - Government need to provide access to low/no interest finance to farmers and farm communities to encourage investment by the sector. - RESS - Amend and simplify the terms of RESS to allow a farmer grouping (community) to bid in and receive support as a combined community project. - Engage with the farming community to ensure there are no prohibitive network charges to deter investment in small scale renewable energy projects. - Planning exemption for farmers for small scale developments. One-stop advice clinics should be provided to assist project developers to submit successful applications. Banking - The Government through the SBCI must introduce a state backed guarantee (80%) low-cost interest (max 2.5%) loan scheme, which is accessible to all primary producers across all the farming sectors including aquaculture, forestry and amenity horticulture. - The Scheme must 1/ Provide financial support to primary producers who are experiencing cashflow disruption and/or losing revenue due to the impact of COVID-19 virus. 2/ Operate through the main banks as heretofore with previous SBCI schemes, but also to include other financial institutions such as Credit Unions, An Post and other accredited asset lenders. 3/ Cater for loans up to €1,000,000 in the form of overdrafts, working capital and term loans in addition to asset finance. - The Scheme must 4/ Offer a loan duration of up to 6 years in the case of term loans and asset finance. 5/ Provide for a 12-month moratorium on capital repayments. 6/ Ensure that the Government covers the interest payment for year 1. 7/ Not deny access to potential borrowers with insufficient security arising from reduced commodity prices and/or current asset valuations. 8/ Not use the family home as security. 9/ Not seek personal guarantees for loan amounts under €150,000. - The Scheme must 10/ Not apply facility fees. 11/ Provide for a minimum loan value of €5,000. Farm Forestry - To restore the farmer premium differential as committed to in the Programme for Government Our Shared Future funding of €4m is required in 2021 based on the 8,000 ha planting programme. - The introduction of a Harvesting Plan Grant to assist forest owners with the increased costs and requirements associated with applying for a felling licence. - The introduction of an Ash Dieback Reconstitution scheme that appropriately compensats forest owners affected by the disease. This would include the reinstatement of 15-year premiums on re-established woodlands and an option not to replant under certain circumstances. - The introduction of a Payment for Ecosystem Services (PES) in recognition of the range of environmental services provided by forests, including carbon. This payment would incentivise farmers to plant at the scale required and would provide income beyond the fifteen-year forest premium payments, as well as in subsequent crop rotations. The removal of restrictions on planting productive marginal land. In 2016 the COFORD Land Availability for Afforestation report identified 180,000 hectares of unenclosed land outside of environmental constraints that satisfies the eligibility criteria of the Afforestation and Woodland Creation scheme, which is currently excluded. - The introduction of a Forest Owner Producer Organisation Scheme to provide supports for the preparation and implementation of Production and Marketing Plans for forest owner organisations. - The development of a national Forest Certification scheme to overcome the obstable to private forest owner certification that mirrors similar successful schemes operating in other European countries. National Food Ombudsman - The NFO must be adequately resourced and funded in order to effedtively tackle the imbalance of power in the food supply chain so that it is fair, transparent, well functioning and equitable. Horticulture - Funding for the scheme is increased to €10m in Budget 2021 to meet the demand for investment, evidenced by the oversubscription of the scheme in previous years. - Compensation must be provided for the disposal of ash plants in the amenity hortiulture sector, arising from the Ash- Dieback disease. Animal Health - The Wildlife Control Programme must be resourced to proactively deal with all species of wildlife that are susceptible to TB and achieve eradication of TB within the shoretest feasible timeframe. - The Government apply 0% VAT rate on non-oral animal medicines and vaccines. - Direct funding support to farmers to off-set the costs associated with implementing additional biosecurity measures on their farms. - Investment in developing and providing pen-side testing and analytical tools to farmers and veterinary practitioners to facilitate implementation of best practice advice for veterinary medicine usage. - Commence the 10-year renewal programme in the Regional Laboratory Network as per the commitment in the Programme for Government Our Shared Future. - Appropriate veterinary staff numbers must be provided in all Regional Veterinary Offices. - Direct financial support for farmers for the testing costs associated with completion of the BVD eradication programme. - Continuation of funding levels in the Johnes control programme. - Funding for a Department of Agriculture administered National IBR programme. - Dedicated budget for the Early Warning System (EWS). Aquaculture COVID-19 Market Disruption - Subsidised scheme for loss of sales/reduction in production - 40% subsidy/single farm payment for reduced 2020 production and sales based on a 3-year average of verifiable annual production figures, compared with reduced prodution figure for 2020. - Compensation for stock lost due to mortality losses/unsaleable stock as a result of over-stocked sites unable to sell due to lack of demand and no available markets. Unsaleable stock losses to be assessed similar to 40% subsidy/single farm payment. Implementation of Aquaculture Licensing Review Recommendations -Adequate and appropriate resources must be allocatd to fully implement all the recommendations of the Independent Aquaculture Licensing Review. - Sufficient funding must be provided to ensure the earliest possible implementation of Recommendation 8.2; pre-application process and Recommendation 8.5; the establishment of a web-based Aquaculture Application and Monitoring Sytem. Blue Carbon Potential Sufficient funding and resources must be allocated to the Marine Institute to facilitate this scientific research. Consideration must be given to the role of the aquaculture industry as a carbon efficient source of sustainable protein and its contribution to marine ecosystem services. Social Protection Farm Assist - The income disregard is incresed from the current level of 30% to 50%. - In the means test for Farm Assist, the depreciation rate for farm equipment and machinery should be increased to a standard rate of 10% to more accurately reflect the useful life of these assets. - The income disregards for agri-environmental schemes, included in the means test for Farm Assist, must be extended to also disregard forestry premium payments. - The option of a three-year income test assessment be considered. Fair Deal and Support for Older People - Nursing Home Support Scheme (Amendment) Bill 2019 must be reintroduced immediately and provide for the inclusion of farm land leased to third parties, in line with other Government policy on inheritance under Agricultural Relief. - Older people must be supported to live at home through incresed funding for the Home Care Package Scheme so that the number of hours provided is increased. - The Total Contribution Approach (TCA) for calculating Contributory State Pension payments must be implemented in line with National Pension Framework (2008) agreement, which provides for total contributions of 30 years to qualify for a maximum payment. - Credits must be provided to farmers on Farm Assist prior to 2007, when they were ineligible to make PRSI contributions under the scheme. Farm Safety - The introduction of a Farm Safety Scheme, with increased funding for health and safety equipment under TAMS. - A handbrake and PTO improvement scheme, to include a PTO scrappage scheme and a handbrake replacement scheme, to assist farmers in replacing malfunctioning equipment. - An annual farm safety budget be allocated to the Farm Safety Partnership Advisory Committee to implement future farm safety action plans. Road Development - Farmers impacted by national road developments under the new National Development Plan must receive a fleibility payment, reinstated to the value of €5,000/ac.

Name of person primarily responsible for lobbying on this activity Tim Cullinan, IFA President, Chris Hill (Wicklow IFA Chairman), John Mallick (Wicklow Farm Business), Selena McKenzie (Wicklow Sec), Angus Woods, Stephen Arthur (Wicklow FMP)

Did any Designated Public Official(DPO) or former Designated Public Official(DPO) carry out lobbying activities on your behalf in relation to this return? You must include yourself, and answer Yes, if you are a current DPO or a DPO at any time in the past. (What is a Designated Public Official?) No

Did you manage or direct a grassroots campaign? Yes

What is the directive you gave to the grassroots campaigners? To lobby Oireachtas members regarding IFA 2021 Budget Submission - Expenditure Measures to Support Farm Enterprises

Was this lobbying done on behalf of a client? No

Mass communications

Letter All TDs

Submission All TDs

Letter All Senators

Submission All Senators

Letter All MEPs

Submission All MEPs

Lobbying activity

The following activities occurred for this specific Subject Matter Area.

Meeting (2-5)

Informal communication (21-30)

Email (6-10)

Phone call (2-5)

Letter (2-5)

Designated public officials lobbied

The following DPOs were lobbied during this return period on this specific Subject Matter Area. These DPOs were involved in at least one of the Lobbying Activities listed above, but not necessarily all of them. As returns are specific to a Subject Matter Area the above Lobbying Activities may be associated with multiple returns.

Barry Cowen TD (Dáil Éireann, the Oireachtas)

Dara Calleary TD (Dáil Éireann, the Oireachtas)

Brendan Gleeson Secretary General (Department of Agriculture, Food and the Marine)

Sinead McPhillips Assistant Secretary (Department of Agriculture, Food and the Marine)

Paul Dillon Assistant Secretary (Department of Agriculture, Food and the Marine)

Paul Savage Assistant Secretary (Department of Agriculture, Food and the Marine)

Micheál Martin Taoiseach (Dáil Éireann, the Oireachtas)

Pat Casey TD (Dáil Éireann, the Oireachtas)

Matt Carthy TD (Dáil Éireann, the Oireachtas)

Niall Collins Minister of State (Department of Education and Skills)

Damien English TD (Dáil Éireann, the Oireachtas)

Roderic O'Gorman Minister (Department of Children, Equality, Disability, Integration and Youth)

Ciarán Cuffe MEP (European Parliament)

Eamon Ryan Minister (Department of Climate Action, Communication Networks and Transport)

Norma Foley Minister (Department of Education and Skills)

Charlie McConalogue Minister (Department of Agriculture, Food and the Marine)

Aisling Dolan Senator (Seanad)

Michael Healy-Rae TD (Dáil Éireann, the Oireachtas)

Mattie McGrath TD (Dáil Éireann, the Oireachtas)

Michael Ring TD (Dáil Éireann, the Oireachtas)

Anne Rabbitte Minister of State (Department of Health)

Helen McEntee Minister (Department of Justice)

Frank Feighan Minister of State (Department of Health)