The Irish Natura and Hill Farmers’ Association (INHFA) is calling on the state to establish a fund that will top up the purchase price of designated land when it is being sold.
Speaking on the latest Farmland programme produced by Agriland Media Group, president of the INHFA, Vincent Roddy, outlined that designated land in Ireland is falling in value, with some farmers encountering a 50-80% devaluation against comparable sites in the area.
The devaluation of designated land is becoming a significant issue cropping up not only when farmers want to sell, but also when they want to borrow on the strength of their land.
“We are looking for the state to put in place a fund so that if I sell land that is designated, and the non-designated land in the area is selling for €5,000/ha but I can only get €1,000/ha, then the state will make up that shortfall of €4,000,” Roddy explained.
Establishing a fund to offset this issue for farmers who are already under strain from the restrictions involved with their land is deserved, according to the INHFA president.
Click on the video below to watch the full interview about land designations.
Roddy added that the amount of money needed is not expected to be a lot as there is not much land changing, however the organisation believes it is important to have the measure in place.
Designated land payments
The INHFA recently called for a ‘baseline payment’ for designated farmers to compensate for the regulatory burden of farming in these areas.
It said while the payments currently received are insufficient, they also do not recognise the work these farmers do and the contribution they make to the Irish and EU economy.
“It’s estimated that natura delivers around €200-300 billion to the EU economy every year. Currently 1.1% of Ireland’s land is under designations, meaning that it generates €2-3 billion annually, yet farmers don’t see any benefit,” Roddy outlined.
He added that the EU previously acknowledged that the estimated cost of managing designations would work out at approximately €150/ha per year. However, designated farmers currently receive €79/ha through the Green, Low-Carbon Agri-Environment Scheme (GLAS).
“If farmers want to spread lime, farmyard manure, chemical fertiliser or change their stocking rates, they have to get permission. If they’re doing anything that involves digger work, you’re looking at the full cost of planning permission which involves a natura impact statement.
“All of these are transactional costs that farmers on non-designated lands don’t have to consider. There is a clear burden here that farmers have taken on and we need this to be recognised,” Roddy concluded.