CAP Payments Inconsistencies

farmer2018

Can someone please explain to me how there are inconsistencies across the board in the the CAP payments, I know of people with the same amounts of land getting but getting different payment sums. How can this be and can it be changed?

Dinzee Conlee

https://www.boards.ie/discussion/2058213820/cap-payments-inconsistencies

https://www.agriland.ie/farming-news/cap-explained-why-and-when-was-it-set-up/

As per article, CAP was decoupled in 2003

Before this, you paid a certain amount per animal (or ha if you were tillage)

So, prior to 2003, you got paid based on production (per animal) Post 2003, your average payment for the reference years was taken, and divided by your number of Ha, and that was the value of the entitlements you had.

So, an example

Farmer A had an average payment prior to 2003 of 10k, farmed 20ha, so in 2003 had 20 entitlements of 500euro

Farmer B had an average payment prior to 2003 of 5k, also farmed 20ha, so in 2003 had 20 entitlements of 250euro

Why there was differences, a lot of reasons. Some peoples systems didn't take full advantage of the subsidies per animal, others did. Bad luck of having a bad year during the reference years. Lots of reasons...

Can it be changed - it is being changed via divergence. They will make everyone get the same rate/ha over the next few years. How quick this will take place is still being worked out...