Farm modernisation scheme suspension and output
The Minister said the scheme’s suspension would not significantly affect 1983 production, though future output would suffer, and promised revised grants. He acknowledged hardship for farmers who had planned investments around grants; he had no cost-benefit estimates available.
asked the Minister for Agriculture if he will give an estimate of the loss in increased output of produce as a result of the suspension of the farm modernisation scheme.
11.
Comment on this
asked the Minister for Agriculture if he will quantify the loss in agricultural production because of the suspension of the modernisation scheme; and if he will make a statement on the matter.
Comment on this
I propose to take Questions Nos. 10 and 11 together. It is not expected that the modifications to the farm modernisation scheme announced in the budget will have any significant effect on agricultural production in 1983.
It is my intention to introduce a revised system of grant aid at the earliest possible date which will concentrate scarce resources on the most essential forms of investment thus ensuring the greatest possible increase in productivity.
Comment on this
Am I to take it that there is no mechanism in the Department to monitor the cost-benefit of the money spent on the farm modernisation scheme? The suspension of the scheme has meant the cessation of the development work which was so necessary. Our development is so far behind that of our competitors that we will need to spend money over many years to build up our agricultural infrastructure.
Comment on this
Is the Minister telling us that there is no mechanism in the Department to monitor the cost-benefit of expenditure under the farm modernisation scheme?
Comment on this
No such estimation has been given to me but I will ask if there have been any calculations along the lines requested by the Deputy.
Comment on this
Arising from the reply obviously prepared by a Department official, is the Minister serious in telling us that there is no loss in agricultural production because of the suspension of the farm modernisation scheme? By implication he is telling us that the money spent on the scheme over the years was useless. Will he go back to his officials and ask them to take this matter seriously and not to try to fool us?
Comment on this
Will the Minister take into consideration a small farmer who might lose a grant of about £1,000 which he would have re-invested in fertilisers and so on? It is a direct loss to this nation and the families concerned.
Comment on this
I said that there will not be any significant loss in agricultural production in 1983. I would not be so naive as to say it will not affect production to some degree in future years. We cut the Estimate and we will have to suffer some consequences as a result. I will not tell lies about this. We set out to save £10.5 million as part of our budget strategy and of course there will be some loss in output in years to come as a result.
Comment on this
The Chair feels he should say that there seems to be an increase in the undesirable practice of attacking officials who are not here. Even though they are not named, it is still an undesirable practice. Whatever the Minister says in the House is his responsibility and he is answerable for it, not unnamed officials who should not be attacked. It should not be suggested that they are trying to mislead anybody. The Minister must take responsibility.
Comment on this
Is the Minister aware that many farmers who are in financial difficulty had made projections based on grants being available to them? Those projections will not now be viable.