Organic farming in Ireland has received a significant boost with the recent announcement that €256 million is to be injected into the sector over the lifespan of the next Common Agricultural Policy (CAP) 2023-2027.

This compares to €56m under the current CAP organic farming scheme.

The CAP Strategic Plan (CSP), published this week, outlined a range of proposed Pillar I and Pillar II funding allocations. The organic farming scheme falls under the latter and would see organic farming receive a 500% increase.

Growing organic in Ireland – what we know so far
  • €256 million earmarked for organic farming scheme in CSP
  • This is a five-fold funding increase
  • This funding will help Ireland achieve 7.5% organic target by 2027
  • Average current payment per farmer in the organics scheme is over €6,000
  • Area of land under organic farming to increase to 330,000ha from 80,000ha

While the specific features of the new organic farming scheme have yet to be determined, Agriland understands that adjustments will be made to the scheme – currently under-subscribed – to encourage increased participation.

A report published earlier this year by IFOAM Organics Europe found that Ireland’s expenditure on organic farming would require a 10-fold increase in order to help meet the European Union’s (EU) 25% organic-land target by 2030.

The report also recommended that, in Ireland’s case, organic farms should have priority access to agri-environment and eco-schemes to help achieve environmental objectives.

While this week’s CSP funding allocation may not be a 10-fold increase, and the devil is still in the detail of just how the scheme will operate – will it be a robust, standalone scheme, or will it operate alongside agri-environment and eco-schemes? – the government’s commitment to the organic sector has been welcomed – generally speaking.

Organic commitment

A detailed analysis of how the organic farming scheme will be administered in CAP 2023-2027 is not possible just yet.

The CSP is Minister for Agriculture, Food and the Marine, Charlie McConalogue’s vision for CAP 2023-2027 but there are a number of processes still to be undertaken before the CSP is finalised/approved.

The minster engaged with the CAP Consultative Committee today (Thursday, October 21) and the CSP will go out for environmental impact assessment consultation at the start of November.

It will then be submitted to the European Commission in December for final approval.

Structure

The fine detail of the organic farming scheme itself, however, will not be drawn until the back end of 2021 and over the course of 2022.

But it is expected that the structure of the scheme will be similar to what is already in place.

Support will be provided annually and as an area-based payment over a maximum contract period of five years (two years in conversion, three years in maintenance), with increased payment per hectare and some targeted incentives aimed at areas that are deemed to be in deficit.

However, it is expected that the rate of payment for conversion and maintenance is set to increase significantly.

The current rates per conversion and maintenance stand at €270 and €180.

The Irish Farmers’ Association (IFA) Organic Project Team (OPT) has called for those figures to rise to €520/ha for farmers in conversion and €470/ha for those in maintenance.

Buoyed by the enhanced funding figure, the OPT will, no doubt, be sticking with this demand.

The OPT has also called for capital investment grant aid of 60% to assist farmers in the conversion phase.

Eligibility

There are a number of basic eligibility requirements and these are expected to include the following:

  • A minimum farm area of 3ha, except for horticultural (including fruit) producers where the minimum farm area is 1ha;
  • Registration with one of the organic control bodies, possession of a valid organic licence and registration with DAFM;
  • Completion of FETAC level 5 course in organic farming.

Europe – what’s the story there?
The area under organic farming in Europe has increased by almost 66% in the last 10 years – from 8.3 million ha in 2009 to 13.8 million ha in 2019. It currently accounts for 8.5% of the EU’s total ‘utilised agricultural area’. This increase in area has been matched by a substantial increase in retail sales. These have doubled in value in the last 10 years, from approximately €18 billion in 2010 to more than €41 billion in 2019.

Stay tuned to Agriland for further updates on the CSP – and organic farming.