CAP/Rural Development
1973-2006: €41.4 bn, 2007-2013- €12.2bn
The Common Agricultural Policy has played a key role in the development of farming and the food industry in this country since 1973. EU decisions continue to exercise a major influence on the sector. It is vital that Ireland should continue to play a full and positive role in EU decision-making, and this is especially important for the agri-food sector.
Irish farming has come a long way since we joined the Common Market in 1973. Farm size has increased significantly, from 22 hectares to 32 hectares. EU membership has increased farmers’ incomes and transformed living standards to the benefit of farming, the food industry and above all, the rural community.
Society at large has also benefited in the form of a better environment, higher levels of food safety, additional employment in food processing and a positive contribution to our balance of payments.
From 1973 to 2006, Ireland received a total of over €41 billion from the EU. €38.7bn came from the European Agricultural Guidance and Guarantee Fund (EAGGF) Guarantee Funds for direct payments, market supports (export refunds, intervention, Aid for Private Storage APS), as well as the accompanying measures including the Rural Environmental Protection Scheme (REPS), Early Retirement Scheme (ERS), fish withdrawal schemes and Forestry.
The Rural Environmental Protection Scheme (REPS), Early Retirement and Forestry measures have made a substantial contribution to the agricultural, environmental and socio economic development of rural communities.
In the period from 2007-2013, Ireland can expect to receive approximately €12bn from the CAP, with €2.3bn to fund REPS, ERS, Farm Investment Programmes, Installation Aid Schemes and Leader Programmes. Almost €10bn will be used to fund the Single Payment Scheme (SPS) and market support measures (export refunds, intervention etc).
Decoupling of direct payments since 2005 gives farmers more flexibility to match production with market requirements, and also allows them to farm on a more extensive basis if they so wish. The CAP has brought a transformation of living standards in rural areas.


Maryborough Lodge,
Maryborough Hill,
Douglas, Cork, Ireland
Tel: +353 (21) 4896 433
Fax: +353 (21) 4896 401