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Support for farm businesses must be top priority in next Rural Development Programme

Ulster Farmers’ Union President Harry Sinclair has said that support for the growth and development of farm businesses must be the top priority in the next Rural Development Programme if the agri-food industry is to realise its full potential. The comments were made as the UFU put the finishing touches on its submission for the 2014-2020 Rural Development Programme consultation.

Harry Sinclair said; “The agri-food industry is poised for growth and the next Rural Development Programme is perfectly placed to play a significant role in helping our industry reach its full potential. The agri-food industry is already a cornerstone of the Northern Ireland economy, turning over more than £4billion annually and earlier this year the Agri-Food Strategy Board published ‘Going for Growth’, which details ambitious targets to grow the industry by 60% to £7billion by 2020. Improving innovation and skills, financing growth, co-operation and sustainable growth are all key themes from the ‘Going for Growth’ report and there are obvious synergies between these priorities and that of the next Rural Development Programme. 

“Already the next Rural Development Programme will be working with a significant 22% reduction in funding which will undoubtedly make it difficult to deliver all the proposed measures so now is the time to think strategically. Which priorities will deliver the most ‘bang for their buck’? To us the answer is simple, invest in farmers and farm businesses. 
“By supporting innovation, enabling competitiveness, and ensuring farmers young and old can access new skills and services we will help boost on farm profitability and ultimately ensure the long term sustainability of our sector. The knock-on effect of providing sufficient levels of support to our farm businesses is a thriving rural community with more jobs and more people staying in the countryside. Farmers also play a key role in protecting the countryside and rural heritage. The Rural Development Programme helps farmers to do this by providing the necessary tools and encouraging resource efficiency.

“With the reduced Rural Development Programme budget, we realise there may be the temptation to transfer funds from Direct Support, however, this would undoubtedly undermine a crucial support mechanism for the industry. Farmers are already facing a 10% reduction in the Pillar 1 budget, combined with fluctuating weather patterns, volatile food commodity markets and high input costs.  The 52% drop in farm income in 2012 demonstrates that the Single Farm Payment has never been more important to Northern Ireland’s farmers. In light of this we remain fundamentally opposed to any transfer between Pillar 1 and Pillar 2 which could inflict further difficulties on the industry.

“The Rural Development Programme 2014-2020 presents an ideal opportunity to assist with the drive for further advancement of the agri-food industry and to support the ‘Going for Growth’ strategy.  Further economic development of our industry will have far reaching benefits across the regional economy and to that end it is important that the Northern Ireland Executive ensure that they fully assess the Rural Development Programme and allocate funding towards measures and schemes which will deliver the maximum economic return.

“The UFU is confident that our recommendations, if adopted, can produce a Rural Development Programme which will effectively address the needs of agriculture and rural communities, advance economic growth in the agri-food industry and in turn bring significant benefits to society as a whole and rural areas in particular.”The UFU will be writing to our politicians and other key stakeholders to share our views on the proposals for the Rural Development Programme 2014-2020. The submission deadline for responses to the consultation is 21st October 2013.