Annual Report 2020 Annual Report 2020 Department of Agriculture, Food and the Marine Mission Statement Serving the government and people of Ireland by leading, developing and regulating the agri-food sector, protecting public health and optimising social, economic and environmental benefits. Vision Statement An innovative and sustainable agri-food sector operating to the highest standards. This Annual Report is produced in line with the objectives set out in the Statement of Strategy 2016-2019 Annual Report 2020 Content Review and Main Achievements of 2020 4 STRATEGIC GOAL 1 Food Safety, Animal and Plant Health and Animal Welfare 11 One Health 12 Food Safety 15 Animal Health and Welfare 21 Plant Health 31 Laboratory Service 37 STRATEGIC GOAL 2 Farm/Sector Supports and Controls 57 Promoting Sustainable Farming 58 Annual Report 2020 Customer Service 67 Scheme Operations 69 Department of Agriculture, Food and the Marine STRATEGIC GOAL 3 Policy and Strategy 71 EU Interactions 72 International Interactions 77 Food Security 86 National Policy Framework 87 Research & Innovation 94 Food and Drink Sector 98 Mission Statement Primary Production 106 Sustainable Production 113 Serving the government and people of STRATEGIC GOAL 4 Ireland by leading, developing and regulating Seafood Sector 121 the agri-food sector, protecting public Overview Seafood Sector 122 Fisheries Management and Conservation 124 health and optimising social, economic and Fishery Harbour and Coastal Infrastructure Capital Development Programme 128 environmental benefits. STRATEGIC GOAL 5 Corporate Development 131 Financial Management 132 Vision Statement Staff and Organisational Management 136 Developing IT Capability 141 An innovative and sustainable agri-food Corporate Affairs 147 Communications Unit 150 sector operating to the highest standards. Digital Transformation 151 APPENDICES 153 Appendix A Organisation of Department 154 This Annual Report is produced in line with the objectives Appendix B State Bodies 157 set out in the Statement of Strategy 2016-2019 Appendix C Vote 30 Agriculture, Food and the Marine 2020 161 Appendix D Performance Budgeting 164 Appendix E EAGF/EAGGF Guarantee Expenditure 2020 167 4 Review and Main Achievements of 2020 Review and Main Achievements of 2020 €14.2 billion of agri-food exports in 2020 The agriculture and food sector continued to play a Corporation of Ireland (SBCI) and the European vital role in Ireland’s economy with agri-food exports Investment Fund (EIF). Competitively priced, the accounting for 8.8% of total merchandising exports, loans are for terms of 7-10 years to support strategic with a value of €14.2 billion, marking growth of long-term investment in a post-Brexit environment. 60% since 2010. The UK remained Ireland’s largest The significant and sudden financial impact of the agri-food export destination, despite a drop from Covid-19 pandemic on businesses prompted the €5.5 billion in 2019 to €5.3 billion in 2020 or from launch on 30 July 2020 of a second tranche of €500 38% to 37% of total agri-food exports. Exports to million, with up to 40% available to the agri-food sector. the EU were down slightly at €4.6 billion or 32% of the total, while exports to the Rest of the World were up marginally at €4.3 billion or 31% of the total in 2020. The top three export categories in 2020 were Dairy Produce at €5.1 billion, Beef at €2.3 billion and Beverages at €1.5 billion, accounting for €8.9 billion or 63% of total worldwide agri-food exports. The agri-food sector makes a significant contribution to employment, accounting for 7.1% of total employment or 163,600 jobs, in rural and coastal areas. Launched in March 2019 the Future Growth Loan Scheme was developed by the Department of Agriculture, Food & the Marine and the Department of 163,600 jobs Enterprise, Trade & Employment in co- supported by the Agri Sector in 2020 operation with the Strategic Banking Review and Main Achievements of 2020 5 A total of €58 million will be spent in 2021, covering staffing (€29 million), infrastructure (€17 million) and facilities management (€12 million). It also provided sufficient funds to ensure that the major Rural Development measures could be rolled out seamlessly during the CAP transition period. This ensures that the relevant Sanitary and Phytosanitary checks are conducted as required in Dublin and Rosslare ports and at Dublin Airport in 2021. A further €4 million was made available for Bord Bia, to continue its market support efforts in UK, European, and wider international markets. €3.4 billion Budget 2021 also provided an overall contingency fund of €3.4 billion to address the twin challenges of Brexit to address Brexit and Covid-19 and Covid-19. In addition, in 2020 the EU established a Brexit Adjustment Reserve of €5 billion, for Member States and the sectors worst impacted by Brexit. Drawing on both these national and EU commitments, Demand for the scheme continued and at the end of the Department will provide both for immediate and December 2020, 1,072 loans to the value of €128.3 longer term adjustment supports for those sectors million had been sanctioned to farmers; 21 loans most impacted. to the value of €9.2 million sanctioned to fishers; and 209 loans to the value of €44.6 million sanctioned to The UK left the EU on Friday 31 January 2020, nevertheless, food companies. there continued to be much uncertainty surrounding Brexit during 2020 in relation to the outcome of the future Access to finance is a key component of the relationship negotiations between the EU and the UK and Government’s supports to help businesses counter whether the transition period would end with a deal or not. the economic disruption of the Covid-19 pandemic. In the end, the EU – UK Trade and Cooperation Agreement The Covid-19 Credit Guarantee Scheme (CCGS) was (TCA) was agreed on 24th December 2020 and came into established by the Department of Business, Enterprise effect on 1 January 2021 creating a new framework for the & Innovation, in collaboration with the Department of future EU-UK relationship. Agriculture, Food & the Marine, and is administered by the SBCI through the main banks. With a capacity Minister McConalogue welcomed the conclusion of the TCA, of up to €2 billion, the CCGS provides a State-backed which together with the Withdrawal Agreement, including guarantee on bank lending to SMEs and is targeted at the Protocol on Ireland/Northern Ireland, meant that businesses impacted by the pandemic. It provides a Ireland’s key Brexit objectives were achieved. wide range of products including, but not limited to, overdrafts, working capital facilities and term loan The TCA avoids the worst outcomes of a No Deal facilities. It is open to the agri-food sector, including Brexit, and, ensures that there are no tariffs or farmers and fishers. quotas on goods of EU and UK origin traded between the EU and the UK. This was hugely significant to the Budget 2021 was delivered in the context of ongoing Irish agri-food and fisheries sectors, as it avoided the economic disruption arising from the Covid-19 potential for between €2 and €2.5 billion tariffs on pandemic and ongoing Brexit uncertainty, which trade between Ireland and the UK. Whilst the outcome limited capacity to introduce any new measures. The on fisheries was a difficult compromise, it avoided announcement of Accelerated Capital Allowances exclusion from UK fishing waters for EU fishing vessels. for certain farm safety equipment, as proposed by the Minster for Agriculture, Food & the Marine in The Department, as part of the whole of Government his Budget 2021 submission, provided an important approach, engaged extensively during 2020 with support to promote safer farming practice and help stakeholders in industry and the wider agri-food and farmers who have experienced a disabling incident to marine sector through various means which evolved return to farming. due to the impact of the Covid-19 pandemic. Budget 2021 provided significant additional funding in for the Department’s Vote for Brexit expenditure. 6 Review and Main Achievements of 2020 The legislative proposals for the next CAP 2021- 27, continued to be discussed under the Croatian and German Presidencies in 2020. In July 2020 the German Presidency took over responsibility of the CAP post 2020 negotiation process. They set an ambitious agenda which culminated in EU Agriculture Ministers reaching a Council General Approach on the CAP post 2020 legislative proposals at the Agri-Fish Council on 19/20 October. The Beef Finisher Payment (BFP) scheme was a one off, exchequer funded grant aid scheme under the Covid 19 State Aid Temporary Framework. The €5.1 objective of BFP was to provide support for beef finishing farms in Ireland which had been severely impacted by the economic effects of the Covid-19 pandemic. Support for beef finisher enterprises billion ensured that beef farmers with other enterprise value of dairy products exported types, such as suckler farmers, were able to maintain routes to market for their product. to approximately 24,400 farmers carried out the required weighing and recording and received payments totaling 143 countries €40.4 million for the Beef Environmental Efficiency Programme - Sucklers. The evaluation of both the BEEP Pilot and BEEP-S conducted to date indicates that it has helped farmers recognise the benefits of weighing their animals and the data generated has Five meetings of the Brexit Stakeholders Consultative improved genetic evaluations. Committee were held virtually. This included monthly meetings being held from September onwards, as the negotiations concluded. We also engaged in both public and industry information campaigns, through advertisements, online webinars, social media and information on our website. The overall Department website migrated to the central Government web portal www.gov.ie/agriculture with a dedicated Brexit page at www.gov.ie/agriculture/brexit.