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€30m cuts in agricultural sector will cost rural jobs

This article is from page 10 of the 2011-12-06 edition of The Clare People. OCR mistakes are to be expected so download the original SWF or the rendered page 10 JPG

RURAL Clare jobs will be lost as a result of the € 30 million cut in the Disadvantaged Area Scheme announced in yesterday budget. That is according to O’Callaghan’s Mills farmer and Clare head of the ICMSA Martin McMahon, who said that yesterday’s announcement will dampen down any potential for growth in the sector.

The East Clare farmers also accused Taoiseach Enda Kenny (FG) and Minister for Agriculture Simon Coveney (FG) of misleading Clare farmers at the recent ICMSA national congress in Limerick when they indicated that there would be few cuts in the agriculture sector.

All of Clare is classified as a disadvantaged area – meaning that every farmer in the county receives a payment each year to help with the cost of improving the land.

Payments under the Disadvantaged Area Scheme are usually spent on buying fertisiler or paying for the first cut of silage to be done – meaning that the vast majority of the money allocated is spent by farmers in the local economy.

“When we met with Enda Kenny at the ICMSA AGM they gave us the impression that agriculture, as one of the remaining growth areas in the economy, would not be hit very badly in this budget,” he said.

“These cuts are going to hit productivity and that means that jobs will be effected. A cut in productivity will inevitably mean a cut in exports. But it will also have knock-on effect for the local community as virtually every penny received under the Disadvantaged Area Payment goes back into the local economy.

“The Disadvantaged Area Scheme is the most important payment for farmers in Clare and in the west of Ireland. It is the first payment that is made and usually goes to cover the cost of fertiliser or having silage cut.

“I think the name of the scheme says it all – people receive this payment because they are already in a disadvantaged area. We should be trying to encourage farming in these areas not undermining it with cuts like this.”

The € 30 million cut in the Disadvantaged Area Scheme is part of a € 105 million cut in expenditure announced for the Department of Agriculture, Marine and Food. A further € 19 million will be cuts from the Rural Environment Protection Scheme (REPS) which will also effect many Clare farmers.

It is as yet unclear where the remaining € 56 million in cuts will be made.

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