Jennifer Murnane O'Connor
Question:62. Deputy Jennifer Murnane O'Connor asked the Minister for Agriculture, Food and the Marine what supports are in place to encourage generational renewal on farms. [25645/24]
View answerThursday, 13 June 2024
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Written answers
I am a strong supporter of assisting the next generation take over the farm when the time is right to do so. It's essential that the sector has young and enthusiastic people coming through to further develop it.
Food Vision 2030, the stakeholder-led strategy for the agri-food sector, highlights the challenge of generational renewal and proposes several actions, including maintaining the current strong level of current support, the promotion of succession planning & land mobility, and increased education and promotion of the diversity of careers in the agri-food sector.
The new Common Agricultural Policy (CAP) cites generational renewal as one of its nine key objectives. Under Ireland’s CSP 2023-2027 I am providing substantial investment in achieving generational renewal and measures include:
• The Complementary Income Support for Young Farmers (CIS-YF), which has a significantly increased financial allocation of 3% of the direct payments ceiling. Payments of some €33 million have issued to date.
• Under the National Reserve Scheme, young farmer and new farmer are priority categories. Payments of some €4.5m have issued under this scheme.
• A higher grant rate of 60% for qualified young farmers under the TAMS capital investment measure is available.
• A Collaborative Farming Grant Scheme provides financial support to encourage farmers to form partnerships with young, trained farmers.
Last September, I announced the Succession Planning Advice Grant, an innovative measure to encourage and support farmers aged 60 years and over to seek succession planning advice, assisting them to plan for the future of their farms. In the first tranche, 81 applications were received and payments of €61,354 issued to 52 eligible applicants. Tranche 2 is now open. While relatively modest in its funding, I believe this measure has the potential to encourage and initiate important conversations within families on succession.
I have also provided significant funding towards the operation of the Macra Land Mobility initiative since its initial pilot stage in 2015. This has supported Macra to develop the service to move towards a self-financing model.
Nationally, there are strong taxation measures to facilitate succession and assist land mobility. For succession, Agricultural Relief is the key measure, which along with 100% Stamp Duty Relief and Consanguinity Stamp Duty Relief, provided support of some €274 million in 2022. 100% Stock Relief for Young Trained Farmers was worth another €1.7 million. In addition, the Succession Farm Partnership Scheme provides for a €25,000 tax credit over five years to further assist the transfer of land within a partnership structure. Long-term leasing income tax relief supports access to land for young farmers and provides a route to retirement for older farmers.
On access to finance, the new €500 million Growth and Sustainability Loan Scheme launched last year providing long term investment by SMEs, including farmers, fishers and food businesses and will assist young farmers in particular. To date approximately 266 loans to the value of €27.9m have been sanctioned.
In addition, Teagasc agricultural education activities continues to focus on equipping our young farmers with the necessary knowledge to build successful careers in farming. Supporting young farmers continues to be a priority and I will continue to actively engage on this important issue.