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Farming and Living in Rural Ireland: evidence from the 1990s and implications for the future Caroline Crowley.

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Presentation on theme: "Farming and Living in Rural Ireland: evidence from the 1990s and implications for the future Caroline Crowley."— Presentation transcript:

1 Farming and Living in Rural Ireland: evidence from the 1990s and implications for the future Caroline Crowley

2 Presentation Outline National trends in Irish farming Spatial trends in Irish farming Evolving CAP - shift towards funding for rural development measures Issues raised in Farmer Surveys commissioned by Rural Development Groups Implications and conclusions

3 National Farm Trends Between (Census of Agriculture)   Active farms  17% (to 142,000)   Sole occupation farmers  24% (79,000)   Farmers with another job  37% ( 63,000) Growing importance of the non-farm economy to maintaining farms

4 Importance of Off-farm Income Components of direct income – farm households Source: Commins (2003) Income source 1987 (%) 1994 (%) 2000 (%) Wages/salaries (off-farm) Farming Other (e.g., pensions, investments) 1278

5 Some Spatial Trends in Irish Farming

6 Teagasc Walsh Fellow Research Data from Census of Agriculture and DAF 130 detailed maps of farm structure, farming systems and rural development schemes Spatial variation underpinned by   diverse land resources   uneven income opportunities in the non- farm economy   uneven land development pressures   evolving agricultural policies (changing farm income support structures)

7 Farm Income Support Structure CAP   Pillar 1 (market supports and SFP)   Pillar 2 (sustainable development of rural areas) CAP funding structure is changing – shift from Pillar 1 to Pillar 2

8 Farm Income Support related to Farm Output (CAP Pillar 1)

9 Average Farm Business Scale 2000 Darker green = larger av. farm businesses S & E - Dairying and Tillage

10 Farm Income Support related to Public Goods Delivery (CAP Pillar 2)

11 REPS 2003CAs 2000

12 Farm Income Supplementation from Non-farm Economy

13 Change in % farmers with other job   Pinks and reds = increases   Increasing orientation towards the non- farm economy state-wide

14 Summary of Farm Income Support Indicators   Farm income supports from:   CAP Pillar 1 – greater in the S & E   CAP Pillar 2 – greater in the N & W   Non-farm Economy – increasing statewide   In light of increasing orientation by farmers towards the broader economy, focus on CAP Pillar 2 measures for rural development

15 Rural Development

16 CAP Pillar 2 Close-up €1,711 million €6,028 million €461 million

17 Implications 1   DAF AgriVision Action Plan retains a commercial farming focus to increase competitiveness, innovation and market orientation   Axis 1 (21% of Pillar 2 funds, )   Ex Ante Evaluation of RDP by AFCon Management Consultants/Jim Dorgan Associates describe it as “primarily a plan to address environmental priorities” (2006: vi) based on the planned expenditure   Axis 2 (73.5% of Pillar 2 funds, )

18 Implications 2 “Regardless of some very positive aspects of farming life, people of enterprise will tend to pursue non-farming alternatives, where initiative and ability are rewarded pro rata” (UCD Department of Agri-business Extension and Rural Development and Rural Dublin LEADER, 1999) Evidence from 1990s of increasing orientation towards non-farm economy among farmers and other members of farm households Underpinned by rising third-level education rates and greater living standard expectations

19 Implications 3   Farmer surveys from LEADER groups show young people still interested in farming provided:   Access to off-farm jobs (Axis 3 and Regional Development via National Spatial Strategy)   Availability of necessary services such as childcare, eldercare, and public transport (Social Inclusion and Transport Programmes)   Farmer surveys indicate well-educated successors more interested in diversified farm enterprises (Axis 3 and Regional Development via National Spatial Strategy)   Axis 3 only attracts 5.5% of Pillar 2 funds,

20 Conclusions   Evidence shows important role for development of broader rural economy in sustaining farm households and encouraging farm succession   Challenges (Rural Foresight, 2006)   attracts small proportion of CAP funding   rural development falls under remit of wide range of government departments   research required to fill gaps in knowledge

21 Thank you

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