Plans are being made within DAERA for NI farmers to receive advanced CAP payments worth 70% of claims from mid-October.A DAERA spokesperson confirmed on Tuesday that the department is on course with processing applications and is planning to issue advanced payments again this year.
“A derogation has been sought from the European Commission to increase the advance payment from 50% to 70% and we are awaiting confirmation,” the spokesperson added.
In the Republic of Ireland, Minister for Agriculture Michael Creed confirmed last week that a request has been made to allow farmers to receive early payments worth 70% of claims.
He cited pressure on financial margins across farming sectors as the reason for making the request to the European Commission. This will be the fourth year in a row that DAERA has been able to issue advanced payments from mid-October. If this year’s derogation is approved, it will also be the fourth time that the advanced payment rate has increased in NI from 50% to 70%.
In 2016, the higher rate was allowed as part of the European Commission’s exceptional aid package in response to pressure on farm incomes across sectors.
It was permitted again in 2017 after farms were flooded in the northwest, and a derogation was approved last year following drought conditions in parts of NI during the summer.
Over the past three years, advanced payments were issued by DAERA to farmers with fully verified claims from 16 October through to 31 October. After that, balance payments for farmers that received an advance, and full payments for those that did not, were issued from 1 December.
Exchange
Crucial to the final value of payments to NI farmers is the euro to sterling exchange rate. With financial markets increasingly worried about the prospect of a no-deal Brexit since the arrival of Boris Johnson into Downing Street, sterling weakened and was trading as low as €1=94p earlier this month. However, for most of the month it has stood around the €1=92p mark, although it strengthened to €1=91p earlier this week.
To convert CAP payments to sterling, the average rate across September is used. Last year payments were converted at a rate of €1=0.89p. Only once, in 2009, have area-based payments been converted above the €1=0.90p mark, when the rate used was €1=0.909p.
Read more
NI farms set for 70% BPS advance
Minister Creed requests early BPS from Europe
Plans are being made within DAERA for NI farmers to receive advanced CAP payments worth 70% of claims from mid-October.A DAERA spokesperson confirmed on Tuesday that the department is on course with processing applications and is planning to issue advanced payments again this year.
“A derogation has been sought from the European Commission to increase the advance payment from 50% to 70% and we are awaiting confirmation,” the spokesperson added.
In the Republic of Ireland, Minister for Agriculture Michael Creed confirmed last week that a request has been made to allow farmers to receive early payments worth 70% of claims.
He cited pressure on financial margins across farming sectors as the reason for making the request to the European Commission. This will be the fourth year in a row that DAERA has been able to issue advanced payments from mid-October. If this year’s derogation is approved, it will also be the fourth time that the advanced payment rate has increased in NI from 50% to 70%.
In 2016, the higher rate was allowed as part of the European Commission’s exceptional aid package in response to pressure on farm incomes across sectors.
It was permitted again in 2017 after farms were flooded in the northwest, and a derogation was approved last year following drought conditions in parts of NI during the summer.
Over the past three years, advanced payments were issued by DAERA to farmers with fully verified claims from 16 October through to 31 October. After that, balance payments for farmers that received an advance, and full payments for those that did not, were issued from 1 December.
Exchange
Crucial to the final value of payments to NI farmers is the euro to sterling exchange rate. With financial markets increasingly worried about the prospect of a no-deal Brexit since the arrival of Boris Johnson into Downing Street, sterling weakened and was trading as low as €1=94p earlier this month. However, for most of the month it has stood around the €1=92p mark, although it strengthened to €1=91p earlier this week.
To convert CAP payments to sterling, the average rate across September is used. Last year payments were converted at a rate of €1=0.89p. Only once, in 2009, have area-based payments been converted above the €1=0.90p mark, when the rate used was €1=0.909p.
Read more
NI farms set for 70% BPS advance
Minister Creed requests early BPS from Europe
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