Smith: Co-financing of payments under CAP unaffordable for Ireland

By Ray Ryan, Agribusiness Correspondent

Friday, November 06, 2009

THE notion of co-financing of direct payments to farmers under the Common Agricultural Policy would obviously be unaffordable for Ireland in current circumstances and also for many other European Union member states.

Agriculture, Fisheries and Food Minister Brendan Smith made this clear when he addressed the IFA organised forum on harnessing farming, food and the green economy in Dublin this week.

"More fundamentally, it would arguably represent re-nationalisation of the only real common policy of the EU," he said.

Minister Smith made his comments as all aspects of the EU budget are being reviewed ahead of negotiations to determine funding for the 2014-2020 period.

He said Ireland has serious concerns at some of the options mooted in a leaked document from the European Commission on the budget review.

While the document is an early draft, it is of concern to Ireland in that it is advocating major policy changes and lower funds for the CAP and clearly indicates at least one strand of thinking on the future.

"Our overarching view is that we need a strong and adequately resourced CAP after 2013. This is a point I have pressed strongly in discussions to date and for which there is good support in the Agriculture Council.

"I am very conscious of the importance of the EU ensuring security of food supply and recognizing the need to maintain family farming in Europe.

"However, particularly as an exporting country, I am also conscious of the need for competitiveness and innovation. I wish to see all of these objectives clearly reflected in the new CAP," he said.

Minister Smith said it is early days in the negotiations. In the upcoming discussions, Ireland will robustly defend the principles of the CAP.

It will seek to secure sufficient resources to preserve the principles of solidarity, support for primary production, food security, quality, and food safety.

"We will be doing our best in the forthcoming negotiations to ensure that the CAP post-2013 will continue to provide a strong supporting structure for our agri-food industry," he said.

This story appeared in the printed version of the Irish Examiner Friday, November 06, 2009