• Peter Young, Irish Farmers Journal

• Eimear Ní Bhroin, European Commission

• Denis Naughten TD

CAP post 2014A Local, National & European

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CAP post 2014A Local, National & European

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ChairpersonCllr. Dominic Connolly

CAP post 2014A Local, National & European

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IntroductionCllr. Laurence Fallon

CAP post 2014A Local, National & European

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Peter YoungIrish Farmers Journal

CAP post 2014A Local, National & European

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Eimear Ní BhroinEuropean Commission

CAP post 2014A Local, National & European

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Denis Naughten TD

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Denis Naughten TD

Welcome

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Impact of CAP proposals

A local perspective

CAP post 2014A local perspective

Putting People First Denis Naughten TD

CAP post 2014A local perspective

Putting People First Denis Naughten TD

The CAP Budget reformRedistribution of CAP funds

Direct payment funds (pillar 1)-between Member States over period 2014-2020- within Member States

Redistribution of rural development funds (pillar 2)- allocations by Member State based on objective criteria

(All Member States may transfer up to 10% of pillar 1 national ceiling to pillar 2 –decision by 1/08/2013)

CAP post 2014A local perspective

Putting People First Denis Naughten TD

European Commission’s budget proposals

Proposed Total CAP Budget 2014 -2020 (at current prices)

Direct payments & markets €317.2bn (76%)Rural Development €101.2bn (24%) Total Pillar 1 & 2 €418.4bn (100%)

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Redistribution of CAP funds between Member States

Direct payments - redistribution & convergence of funds (pillar 1)

Member States with direct payments below 90% of EU-27 average will be able to close 1/3 of the gap between their

current level and 90% of average payments

CAP post 2014A local perspective

Putting People First Denis Naughten TD

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Convergence to flat rate system by 2019

- Abolish current entitlement system by 31st Dec 2013(new one on 1st Jan 2014)

- Member States with historic payments – 40% of basic payment must be flat-rate in 2014

-further 60% redistribution progressively to 2019

CAP post 2014A local perspective

Putting People First Denis Naughten TD

What does flat rating mean?

-Current national envelope €1.5bn-divide by no of Hectares = €270/ha

-less deductions = €230/ha(subject to 30% greening = €69/ha)

Estimated basic payment = €161/ha

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Average SFP € /Ha by County1.Laois 386.822.Kilkenny 384.603.Carlow 378.494.Wexford 377.98

5.Meath 376.066.Louth 372.887.Tipperary 362.52

8.Monaghan 354.229.Cork 348.11

10.Offaly345.1411.Kildare 344.72

12.Waterford 342.4413.Westmeath 325.33

14.Dublin 323.2615.Longford 314.1716.Limerick 307.8117.Cavan 290.7918.Roscommon 281.9819.Wicklow 274.0820.Clare 255.0921.Galway 245.90

----average 230-----

22.Sligo 214.0023. Kerry 199.7924. Mayo 194.5025.Leitrim 193.8426.Donegal 192.88

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Historic SFP Flat Rate SFP

Source Teagasc Source Teagasc

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Flat rating by region?

-estimated proportion of national envelope in Connacht €222m

-divide by no of Hectares = €228.7/ha

-less deductions = €195/ha(subject to 30% greening = €58.5/ha)

Estimated basic payment = €136.5/ha

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Average SFP € /Ha by Connacht County

1.Roscommon 281.982.Galway 245.903.Sligo 214.00

-----average €195-----

4. Mayo 194.505.Leitrim 193.84

Historic SFPSource Teagasc

Flat Rate SFPSource Teagasc

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Capping of direct payments- Only active farmers to be eligible for direct payments.

- Main definition proposed: ineligible if direct payments less than 5% of total non-agricultural receipts

(does not apply if direct payments less than €5000 in previous year)

-Degressive payment above €150k; max. payment €300k - Greening payments and declared salaries (including taxes & social security linked to employment) deducted before capping

-Funds accruing from capping added to Rural Development funds in the Member State

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Greening

CAP post 2014A local perspective

Putting People First Denis Naughten TD

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Greening-crop diversification – min. 3 crops on arable land;

each crop must be between 5 – 70% of area -permanent grassland – maintain at least 95% of

hectares in 2014. -ecological focus areas – no production on 7% of all eligible hectares except permanent grassland. Can

include existing areas. All farmers receiving basic payment must respect greening requirements

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Small farmer scheme-All farmers eligible; minimum payment €500/ max.

€1000.Average payment in Co. Roscommon €6k & Co. Leitrim €4k

-Exempt from cross compliance penalties, greening & financial discipline

-Not eligible for additional payments (greening, young farmers, natural constraints, coupled support)

max. 10% of direct payments national ceiling

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Young farmers scheme

- For farmers under 40 setting-up for max. 5 years

- This is in addition to setting-up grant under Rural Development

11% Roscommon & 13% Leitrim Farmers U35 (CSO, 2000)

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Young farmers scheme

- 25% top-up to basic hectare payment for up to 5 years with max. n° hectares

- up to 89 ha depending on Member State average size

- max. 2% of direct payments national ceiling

CAP post 2014A local perspective

Putting People First Denis Naughten TD

CAP post 2014A local perspective

Putting People First Denis Naughten TD

Key prioritiesRetain CAP Budget

Maximum flexibility on implementation

CAP post 2014A Local, National & European

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Q&A

CAP post 2014A Local, National & European

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What you can do, now !

CAP post 2014A Local, National & European

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Roscommon Initiative:Over Christmas, get your family to

Contact their local MEP & MP throughout Europe

CAP post 2014A Local, National & European

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Thank You