Cap pays food producers €2 billion

Nearly €2 billion was paid to Irish farmers and businesses under the EU Common Agricultural Policy (Cap) in 2009, according to…

Nearly €2 billion was paid to Irish farmers and businesses under the EU Common Agricultural Policy (Cap) in 2009, according to the Department of Agriculture.

The names of all Cap recipients from October 16th, 2008, to October 15th, 2009, have been published on the department’s website, www.agriculture.gov.ie, and major food companies feature prominently among the largest recipients.

The net amount paid out under the Cap payments for 2009 was €1,930,994,768, with 137,736 beneficiaries. The average payment for 2009 was €14,019.54.

On the department’s website, the Irish Dairy Board tops the list with €7,928,238 in payments, followed by Commercial Mushroom PRS Co-op in Monaghan with €4,771,652, and Bailie Foods of Bailieboro, Co Cavan, which received €3,344,459. Also in the top 10 was Dublin-based R&A Bailey Ltd (€1,131,479) and Wyeth Nutritionals Ireland, Askeaton, Co Limerick (€1,092,144).

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Most of the payments received by the top 10 relate to export refunds.

Among individuals who received the largest payments were Walter Furlong of Enniscorthy, Co Wexford (€402,252), and Cyril Goode of Arklow, Co Wicklow, who got €318,648.

Others who received more than €100,000 include Rosderra Irish Meats, Edenderry, Co Offaly, (€515,115); Meitheal Forbartha Na Gaeltachta, An Daingean, Co Chiarraí (€351,774); and Kells-based Meath Community Rural and Social Dev (€350,506).

In total, 434 individuals and companies received more than €100,000 under the scheme.

Eddie Punch, general secretary of the Irish Cattle and Sheep Farmers’ Association, said the ICSA had no problem with general information on payments, but said that posting individuals names was “very intrusive” and likened it to putting up people’s social welfare payment details.

Mr Punch said the ICSA was not in favour of very large Cap payments as these “muddied the waters”, adding that in the cattle and sheep sector, direct payments were 130 to 180 per cent of actual family farm incomes.

Payment recipients can be found by name and location, among other variables, on a searchable database on the department’s website. The amounts published take into account recoveries made by the department in relation to penalties and clawbacks under the various schemes.

Just over €2 billion was paid out under the policy between October 2007 and October 2008.

European Commission legislation requires all member states to publish details of payments.

Irish farmers are now concerned they may lose the single farm payment under a new agriculture policy, which will supersede the current one when it runs out in 2013.

When set up in the 1950s, the focus of the policy was to encourage productivity to provide a stable supply of food and ensure the EU had a viable agricultural sector, through subsidies and systems that guaranteed high prices. Following restructuring, Cap recipients today get direct income payments but the link to production has been severed.

Jason Michael

Jason Michael

Jason Michael is a journalist with The Irish Times