This article is from page 67 of the 2007-12-04 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 67 JPG
THE Irish Beef Sector is set to lose as much as €100 million should a proposal contained in the review of the CAP, known as the “health check” come about.
Commissioner Fischer Boel has proposed to increase the compulso- ry modulation levy from its current level of five per cent to 13 per cent by 2013.
This proposed move has led to an- ery responses from the IFA.
“While the commission is suggest- ing that part of this cut-back in fund- ing of the EU Single Payment could be recycled to some farmers, this is far from clear, and such ‘rural de-
velopment’ and ‘agri-environment’ measures are likely to impose ad- ditional costs on farmers,’ said IFA National President, Padraig Walshe.
‘In addition to the cut in the Single Payment due to the increase in the modulation levy, many farmers most dependent on the Single Payment for their incomes, particularly cattle and sheep farmers, would also lose out from the proposal to switch from the current individual farmer payment, based on his past level of production, to an average payment across all the land of the country.”
Speaking on the issue, the Minis- ter for Agriculture, Mary Cough- lan, was more positive, saying that the CAP Health Check provide an
ideal opportunity to reduce the ad- ministrative burdens on farmers by simplifying the requirements of the Single Payments System and cross- compliance.
The minister said she had serious concerns about the commission’s pro- posal to increase the rate of compul- sory modulation. Noting that Ireland had shown its strong commitment to rural development through very sub- stantial national exchequer funding, she said she did not see the merit of Supporting rural development at the expense of direct payments to farm- ers, especially at a time when farm- ers were still adapting to the impact of decoupling.
Coughlan also expressed scep-
ticism about the suggestion that changing from a historic to a flat rate model of payment would simplify the Single Payment system and she emphasised that she had no plans to do so in Ireland.
On milk quotas, she stressed the need for careful analysis before any final decisions are taken and said that she was undertaking a consulta- tion process with key stakeholders in Ireland on this important issue.
“Tam optimistic that we can find a practical and useful outcome that de- livers real simplification and assists our farmers to take advantage of the opportunities offered by decoupling and by stronger dairy markets,’ she said.