Commercial horticulture sees €5m investment from Budget 2018

The Minister of State at the Department of Agriculture, Food and the Marine Andrew Doyle, has welcomed the allocation in Budget 2018.

Agriculture and horticulture both see increased investment with organics receiving an €11.7m investment.

Horticulture

11 October 2017

The expenditure allocated for next year will amount to:

€ 106 million for the Forestry Programme.
€5 million in capital investment for the commercial horticulture sector.
€10.5m is being provided for the Organic Farming Scheme and a further
€1.2m for Development of the Organic Sector.

Horticulture

The increase in the funding for capital investments in the Horticultural sector secured last year is maintained for 2018 with a budget of €5 million in funding for capital investments in the commercial Horticulture sector.

“The processors of horticultural produce will qualify for the Brexit Loan Scheme which was announced today and an additional loan scheme for primary producers, including horticulture producers is to be considered for next year.” said the Minister.

Bord Bia is investing in market development programmes to assist companies facing currency challenges. In addition, Bord Bia will continue to work with horticulture companies, Teagasc and Enterprise Ireland on ‘lean’ production tools to improve competitiveness.

“I am keenly aware of the challenges that the horticulture sector is experiencing particularly in light of recent fluctuations in currency. I am focused on working with the industry to meet these difficulties in the months and year ahead,” said Minister Doyle.

Organics €11.7 million

€10.5m is being provided for the Organic Farming Scheme and a further €1.2m for Development of the Organic Sector.

Welcoming the allocation for Organics, Minister Doyle said: ”I am delighted to welcome the sum of €11.7m available for this important sector in 2018. This will provide for ongoing support to over 1,700 organic farmers under the Organic Farming Scheme, as well as wider supports across the sector in areas such as marketing, promotion and awareness, and capital investments by processors. Additional support, not included here, of over €1m is also being made available to organic farmers under the TAMS organic capital investment scheme,” he added.

Organics is a growth industry in every sense of the word and the value of the market in Ireland has grown by double digits in the last few years, and the number of producers and area under organic production has expanded also.

“With some 72,000 hectares of land now under production, we have met all targets set within our Rural Development Programme and the emphasis now must be on developing sustainable markets for the increased volume of organic product which is already coming onstream,” said the Minister.

Forestry

2018 will see continued major investment in forestry with an allocation of €106m (including a capital carryover) available for forestry development during 2018. Welcoming the announcement the Minister said

“This allocation is evidence of the Government’s commitment to ensuring a successful afforestation programme and supporting the further development of the sector in line with the Forestry Programme 2014 – 2020. This allocation will allow for the planting over 6,600 new hectares of forests next year and is in fact an increase in the budget over what was spent in the last three years. This funding being provided in 2018recognises the potential role of forestry in helping to achieve the targets set for climate change mitigation”.

Minister Doyle added: “In addition to existing afforestation, there is also significant allocation for the development of existing forests with funding provided for over 100 km of new forest roads as well support for a wide range of other schemes to help forest owners to manage their forests in a productive and sustainable manner.

“The Department will continue to actively promote the afforestation scheme in conjunction with Teagasc and all the relevant stakeholders. We are currently preparing a series of initiatives on communicating the benefits of forestry to farmers to ensure that landowners are considering forestry as a viable land use option on some of their land.”

Finally, Minister Doyle welcomed the broader support for the Rural Development Programme, with an increase of spending to bring the programme to €626m in 2018 and in particular, the increase of €25m in the ANC’s, honouring a commitment in the Programme for a Partnership Government.