asked the Minister for Agriculture and Food the impact on agriculture, and particularly on small farmers, of a reduction of 11 per cent in real terms of aid to farmers in certain less favoured areas; and if he will make a statement on the matter.

Eligible applicants for disadvantaged areas headage payments under the 1988 schemes will suffer no cuts in the level of headage grants which remain the same as in 1987. The Deputy will be aware of the recent report from An Foras Talúntais indicating a 19 per cent increase in farm incomes this year: "small farmers" were included in this survey.

In other words, is the Minister saying small farmers will be better off this year as a result of the 11 per cent cutback?

Yes, that is what the survey indicates. It is not my word, it is theirs.