This will provide a reserve of €24,786,061.20. This is a once-off allocation and in subsequent years the

Reserve is replenished from the return of unused entitlements.

Priority for the allocation of entitlements from the Reserve is given to ‘young farmers’ and to those who

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‘commence their agricultural activity’ i.e. new entrants to farming. In all cases, allocations of entitlements from the Reserve may only be given to persons who meet the definition of ‘active farmer’.

The Reserve will be used both to allocate new entitlements and to increase the unit value of existing

entitlements held by a farmer.

Definition of Young Farmer and New Entrant

A ‘young farmer’ under the National Reserve is defined in the same way as under the ‘Young Farmers

Scheme’ (see page 29).

A ‘new entrant to farming’ is defined as follows;

  • they commenced their agricultural activity in the 2013 calendar year or any later year

  • they submit an application under the Basic Payment Scheme not later than two years after the

    calendar year in which they commenced their agricultural activity

  • they did not have any agricultural activity in their own name and at their own risk in the five years preceding the start of the new agricultural activity

  • they successfully completed a recognised course of education in agriculture giving rise to an award at FETAC level 6 or its equivalent

  • other criteria (to be decided), such as off-farm income, may be applied both to young farmers and to new entrants regarding their application to the National Reserve

    • Value and Number of Entitlements to be Allocated

    For eligible farmers, the National Reserve will be used both to allocate new entitlements and/or to increase the value of entitlements held by a farmer which are below the National Reserve national average entitlement value. The following criteria govern the number and value of entitlements to be allocated from the National Reserve;

  • The value of entitlements that will be allocated under the National Reserve will be based on the

    National Reserve national average in the year of allocation. The National Reserve national average

    may vary slightly from year to year and entitlements allocated from the Reserve may be subject to

    slight modifications in subsequent years.

  • The number of entitlements that will be allocated to an eligible farmer will be based on the number of eligible hectares declared by that farmer.(subject to the last bullet point below)

  • Where an eligible farmer holds entitlements whose value is below that of the National Reserve

    national average value of entitlements, the value of his entitlements will be increased to the National

    Reserve national average value of entitlements (subject to the last bullet point below)

  • Where an eligible farmer holds more land than entitlements, he will be allocated a number of

    entitlements equal to the number of ‘surplus’ hectares he holds. In other words, he may be allocated entitlements to cover the hectares for which he does not hold entitlements (subject to the last bullet point below)

  • An allocation from the National Reserve may be subject to a cap (to be decided) in terms of the

    number and/or value of entitlements to be allocated