Forestry options to consider before BPS date

SINCE 2009, farmers who planted eligible land have been able to claim the Basic Payment (BPS) on the planted land and so make the most of this important annual payment. Receipt of BPS, in addition to the annual forestry premium, can help farmers to provide secure additional income for farmers. With the application deadline for the 2020 Basic Payment of 15th May fast approaching farmers may have questions on how forestry interacts with BPS.

I have land planted: can I draw down a Basic Payment on this area ? YES: Once a number of BPS requirements are met. To be eligible for a BPS payment in 2020, land planted in or after 2009  must satisfy the  following conditions: The land planted/to be planted was declared on a 2008 SPS application; the declared land was eligible for SPS in 2008; the area must have given a right to payment under the 2008 Single Payment Scheme.

Is there money out of planting? YES. In addition to receipt of the BPS on eligible land, a farmer can receive an additional annual forestry premium, typically ranging €510 to €680 per hectare each year for 15 years, depending on the land type and the tree species planted. On top of the forestry premium the cost of planting and establishing the forest will attract a generous afforestation grant which in most cases will cover 100% of the cost. (See contacts below)

Do I have to continue farming part of my land to remain BPS eligible? NO. Prior to 2020, there was a requirement for farmers to retain at least 10% of the eligible land area in an agricultural activity (by themselves or their predecessor) – subject to a minimum area of 3 hectares to be eligible for BP. This retention requirement does not apply in 2020. In addition, the 3 ha/10% retention rule is not required to ensure continued BPS eligibility for forests planted prior to 2020. Therefore, if an applicant planted land in any year between 2009 and 2019, they are no longer required to comply with previous rule (3 ha or 10% retention) in order to continue claiming BPS entitlements on the planted land. If they so wish, they can plant the remaining land in 2020 and claim the full BPS for this eligible forestry land.

For more, read this week’s Connacht Tribune.

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