Leitrim farmers face €6m annual loss under proposed CAP cuts

Concerns have been raised over a revised long-term budget proposal that could see a 24 per cent cut to the Common Agricultural Policy (CAP) budget.

At November’s meeting of Leitrim County Council, councillors Pádraig Fallon and James Gilmartin put forward similar motions calling for intervention on the proposal, warning that the proposed cuts could have a significant impact on farmers in Leitrim and the resr Ireland.

The proposal, known as the negotiating box, is a working document prepared by the rotating presidency of the Council of the European Union, which Ireland currently holds. It is intended to guide high-stakes negotiations on the EU’s long-term budget, known as the Multiannual Financial Framework, for the period 2028 to 2034.

In his motion, Cllr Fallon called on Leitrim County Council to reject the Government’s proposal, which could result in a 24 per cent cut to CAP funding.

“This cut would mean a loss of €6 million per year to farmers in Leitrim,” said Cllr Fallon. “In the EU Council’s budget proposal earlier this year, they proposed a minimum flat rate payment of 130 per hectare. The Irish Government’s proposal cuts this minimum payment rate to 90 euro per hectare,” he added.

Cllr Fallon noted that the main concern was the CAP budget, with the European Commission proposing significant changes that could result in a reduction of between 22 and 24 per cent. The proposal would also bring an end to the two-tier system used under the current and previous CAP programmes.

“Farming organisations have been campaigning for an increased budget all year and in the Irish presidency’s proposal there was no change proposed to the amount of money set aside for the CAP budget,” he added.

Cllr Fallon also requested that the motion be circulated to all Oireachtas members.

“This has a devastating impact on agriculture here in Ireland. That impact is multiplied numerous times when you look at Leitrim and counties along the Western seaboard,” he said.

In a similar motion, brought forward afterwards, Cllr James Gilmartin called on the Council to write to the Minister for Agriculture and An Taoiseach, asking them to urgently engage with the European Commission and relevant EU institutions to secure an increase in the CAP budget.

“The current proposed 24 per cent reduction would have a detrimental impact on farming in the region threatening farm incomes, rural livelihoods and the viability of family farms. It would also negatively affect wider local economic activity,” Cllr Gilmartin told the meeting.

“Our farmers simply do not have the same production capacity or commercial advantages as those farming more productive land elsewhere. CAP payments help bridge that gap. They are not a bonus or an optional extra; they are fundamental to keeping farms viable,” he said, adding that the proposed reduction would put further pressure on already stretched farm incomes.

Cllr Gilmartin also welcomed proposals to reintroduce installation aid to support young farmers entering the industry. However, he warned that such measures would be undermined by an overall reduction in CAP funding.

“It should be requested that all attempts to secure adequate CAP funding be made before Ireland's Presidency of the Council of the EU ends,” he added, noting that the presidency concludes on December 31.

All members of Leitrim County Council supported the motions.