Organic Farming Scheme: A Viable Option

by John on April 22, 2010Print This Post Print This Post

The deadline for the Organic Farming Scheme is fast approaching with receipt of applications due in local AES (Agricultural and Environment Structures) offices before the 15th of May, 2010.

The scheme, administered by the Department of Agriculture, Fisheries and Food reopened on the 1st of January and is an agri-environment measure under the Department’s Rural Development Programme 2007-13.

Farmers may enter into a contract for a minimum of five years and could qualify for yearly payments of up to €283 per hectare during the conversion period and up to €142 per hectare when they have achieved full organic status

Key-points and conditions

New applicants to organic farming must submit a business plan. Existing organic operators must show how they can increase organic output and income over the five year period.

REPS 3 participants are ineligible to participate in the Organic Farming Scheme until they have finished their REPS 3 contracts.

Funds for this scheme are limited, therefore it is understood that successful applicants will be chosen on the strengths of their business plan. Amendments to the scheme in 2009 were designed to ensure farmers joining it are those who have the most potential in terms of growing the organic sector so it can meet the rise in demand for organic produce.

Additionally, those participating in the scheme will have to complete an approved training course which must be completed before the 30th of September 2010. Teagasc provides a number of training courses which satisfy the requirements: http://www.teagasc.ie/ruraldev/progs/organic_farming/training.asp

When all applications have been received, the level of funding and the exact number of participants being accepted onto the Scheme will be confirmed.

Organic Farming Benefits

When comparing the financial and technical performance of organic cattle rearing and dairy farms to conventional farms, the Organic Production Research Conference (2008) pointed out that organic farmers are generally more financially viable:

  • Higher farm family incomes per hectare
  • Lower production costs
  • Higher subsidies (Organic Farming Scheme, Reps, DAS)
  • Greater labour units
  • More demographically viable

Click to enlarge

An example of the Organic Farming Scheme payment procedure

A farmer has 40 hectares (all in forage). He/she has 10 livestock units and is entitled to payment at the in-conversion rate. This farmer will receive a payment of €4,240 i.e. 10 livestock units divided by minimum stocking density of 0.5LU = 20 hectares X €212.

The On-Farm Scheme for organic farmers can also provide grant aid of 40% of the cost of on-farm investments, up to a maximum grant of €60,000. For off-farm investments, the maximum grant is €500,000.

Conversion Plan

In general, a comprehensive conversion plan will have to be initiated by any farmer who is considering changing to organic farming practices. A two-year conversion period is required before a farm is given organic status. This conversion plan is usually drawn up in consultation with an agricultural adviser familiar with organic standards.

Typical measures contained within a conversion plan include:

  • A description of the current farming system and management practices.
  • The changes necessary to comply with the standards.
  • An animal health plan.
  • Details on livestock housing and feeding.
  • Information on the crop rotation.
  • Soil tests results.
  • Analysis of faecal samples from 10% of the herd/flock.
  • Farm maps plus buildings layout.

The main changes required when converting to organic farming include:

  • A reduction in stock numbers.
  • The introduction of additional clover into pastures.
  • The modification of existing buildings or the addition of new buildings.
  • The use of chemical fertilizers and sprays is prohibited.
  • Routine treatment of animals must be avoided.

The conversion process from conventional to organic farming practices has generally been affected by the attitudes of Irish farmers. A study carried out by the RERC (Rural Economic and Research Centre) in late 2008 into the attitudes of Irish farmers with regard to organic farming provided interesting findings.

It found that 75% of conventional dry stock farmers had a low or very low interest in converting to organic farming compared to 6% showing a high to very high interest. It also highlighted the fact that many farmers in Ireland tended to lack confidence about the possibility of converting their farms and in their own technical ability to go organic. The Organic Farming Scheme is an attempt through financial incentives to increase further the involvement of Irish Farmers in the organic sector.

Organic Farming in Practice

We know that organic farming has been growing, however, a currently cautious farming community can better understand the in and outs involved in organic farming from a farmer on the frontline. One such farmer, based at the foothills of the Comeragh Mountains on the Tipp/ Kilkenny border is Richard Rohan and his family who run an organic beef farm which has been operating under an organic ethos for nearly twenty years.

As to the change to organic, it was a decision which Richard had little regrets. However, the past couple of years have been stressful especially with adverse weather conditions and the global recession,

“It’s like anything, you get from it what you put into it. The last three years, however, have been very tough for all farmers whether organic or conventional. It has been a constant struggle to stay afloat but one must keep going.”

organicfarmerRichard’s farm consists of 150 acres, 40 acres of which is composed of wet, marshy land unsuitable for agricultural purposes for large periods of the year. Therefore, proper management of the land and its resources is central to the success of the holding,

“Every farm should be able to cope within the resources available to it. Stocking is central to our farm here, as putting too much pressure on the land will inevitably lead to the downfall of any farm, but especially organic farms, where fertilisers and sprays cannot be relied upon.”

He has in the past grown potatoes organically but he found it to be land intensive compared to beef farming; although, there is a large amount of producers who are willing to buy organic vegetables.

“If one grows 5 acres of potatoes, you effectively need 20 acres as you need to give the land three years to recover. That is ok if you have the necessary amount of land to do it. However, it is very difficult if resources are tight,” he said.

A major aspect of organic farming, according to Richard, is the need to be constantly striving to be experimental and creative with regards to the holding.

“We have tried many types of clover to see which would be the most effective over the years. It is important not to stay stagnant and move with the times. The Teagasc Farm Walks that I attended were brilliant with regards to new ideas,” he said.

The conversion process which hinders many farmers from entering the industry is, he maintains, not the difficult process which many farmers believe it to be.

“Many farmers these days are practically organic, bar in name. Many holdings have the capabilities to switch over to organic farming very simply. The main necessity as regards infrastructure is the need for adequate space to be provided for animals. The sheds must be equipped to provide straw bedded areas away from the slatted unit,” he said.

In the surrounding area, Richard has noted that a large amount of farmers locally have converted to organic farming over the past number of years. He attributes the rise to a number of factors but mainly the quality of the land in the area and the view that Organic Farming is an easier way of farming.

“Many farmers see organics as a way of easing towards retirement in that you are lowering the stocking densities of the farm. There is also less maintenance required especially in regard to spreading fertilisers and generally a lot more is left up to the environment,” he said.

In relation to selling the finished product, Richard notes that there are only three dedicated Organic Meat Processors in the country. Luckily, two of these are located nearby in Cahir (The Good Herdsmen Ltd and the AIBP aligned with IOFGA) and the Leitrim Organic Farmers Co-Op. Therefore, many farmers have to sell their animals in the conventional factories. This is the biggest problem with organic farming in Ireland at present according to Richard as there are very few processors aligned with an organic ethos.

Regarding farmers markets, he knows of many organic farmers who are doing well selling their produce in the markets. However, with regard to his own situation he notes that, “it is difficult to be in Clonmel selling your produce during the week or on a weekend when there is work to be done at home. It is only made possible when there are two involved on the farm as the workload is too much for one person. How can one have cattle calving and be in a stall at the same time?”

The future of organic farming is safe with the introduction of the new Organic Farming Scheme according to Richard. Although the recession might affect the sale of organic products, it is unlikely to lead to a move away from the organic sector from those already involved, whether it be as part of Reps 3 contracts which are soon expiring or the Organic Farming Scheme.

“The availability of funding and support will lead to organic farmers staying in the sector, however, I think there will be growth in the sector especially with other sectors of farming such as dairying under immense pressure at the present time,” he said.

Further Information

Details of the Organic Farming Scheme, Terms and Conditions and Application Forms can be obtained in full on the Department of Agriculture, Fisheries and Food website.

For more information about the change to organic, Teagasc have a specialised Organic Advisory Team who will provide information for a wide range of issues from Organic Conversion Plans to Training. Further information is available on their website.

Related articles can be viewed here.

Comments are open at the bottom for you to add your thoughts. Any and all input welcomed.

{ 1 comment… read it below or add one }

lndinkar April 22, 2010 at 11:42 am

High cost conventional or rather chemical farming is not beneficial for any farmer over a time. A farmer can make profit while practicing organic farming even in commercial crops. Per acre profit is definite in organic farming even without premium rate, which is not the case in chemical farming.

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