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The Nitrates Derogation Changes and its Implications

10 November 2023
Type Media Article

Austin Callaghan, Drystock Advisor, Teagasc Claremorris

There are huge levels of comment in relation to the warming of the planet. This along with the loss of biological diversity and the decline in our surface, ground and estuarine water quality has caused much focus on agriculture and its role in all three.

The government response, over many years now, has been the introduction of regulations, schemes and programmes. These in combination aim to deliver improvement in water quality, reverse the decline in biodiversity loss and reduce the greenhouse gas emissions from agriculture.

Regulations are laws introduced to address these issues. The Nitrates Regulation was introduced in 2004 and it introduced rules in relation to stocking rate limits, slurry storage requirements and chemical fertiliser limits. Its aim is to reduce the loss of nitrates to the 3 main water bodies i.e. surface, ground and estuarine waters. It also targets the reduction in the loss of phosphorus from agriculture to our surface waters.

The big change in 2004 was the introduction of stocking rate limits on all farms. Farmers from then on had to farm within a stocking density of 170kgs of organic nitrogen per hectare.  However, farmers could farm above this limit of 170kgs per hectare, up to 250kgs per hectare, but, on an annual basis they had to apply to do so. And every 4 years the country had to apply to the European Union for a continuation of this Derogation (exception to the rule). Ireland is permitted to have this derogation until 2027.  However, after a mid-term review a reduced maximum stocking rate of 220kgs per hectare will apply from 1st Jan 2024. In Mayo this will have implications for less than 100 farmers who apply for this derogation each year.

The big question now is will Ireland retain this derogation after 2027. Or will the derogation be removed entirely? If so this will have huge implications for intensive farmers across the country. In this scenario, for these farmers to maintain current livestock numbers they’d have to increase the land farmed by 50%. In other words the farmer with 100 acres would now require 150 acres.

This outcome would have a huge effect on farming in Ireland. Our competitive advantage in the area of growing grass would be greatly diminished. In addition there will be increased demand from these farmers for additional lands be it rented, leased or land purchase in some cases. Therefore, changes in 2024 and possible changes after 2027 will affect the beef, sheep and tillage farmers already operating in the land rental market.

You would expect cattle numbers in the country will reduce because of this. The area under tillage will very likely reduce. Dairy farming is the most profitable farming enterprise. The changes to the derogation will reduce profitability on these farms but it will have implications for all farming enterprises.   It is therefore vital that a renewed effort is made by all to reduce nutrient loss from agriculture to our waters. In the scenario where water quality does not improve the case for the retention of the 220kgs organic nitrogen limit will be more difficult to achieve.