From Department of Agriculture, Food and the Marine
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The Minister for Agriculture, Food and the Marine, Charlie McConalogue, and Minister of State for Land Use and Biodiversity, Senator Pippa Hackett, have announced the reopening of the Organic Processing Investment Grant (OPIG) Scheme with an allocation of €3.5 million for 2025, following unprecedented investment in the organic processing sector in 2024.
The OPIG scheme provides funding to processors who wish to invest in developing facilities for the processing, preparation, grading, packing and storage of organic products.
This new tranche of the scheme will open tomorrow (Thursday 9 January) and will remain open until 8 February. Applications can be made by post or email by the closing date.
Minister McConalogue said:
“I welcome the focus on ensuring that organic farmers, fishers and food producers are competitive and productive, with enhanced well-being and economic sustainability. The incomes of our producers are central and critical to the success of our FoodVision 2030 strategy, as they are the bedrock of our world-class organic agri-food sector. The reopening of this scheme once again underlines Government's commitment to delivering a premium price for organic product and ensuring we meet the target in our National Organic Strategy of more than trebling the value of organic output by 2030.”
Minister Hackett commented:
“Last year I increased the OPIG grant rate to 60%, and we saw a trebling of investments in the sector compared to previous years as a result. I am delighted now to respond to that clear level of demand by securing a significantly increased budget for this year’s scheme. The State now has a target to purchase 10% organic when procuring food, and we need to make sure as much of this as possible is Irish organic food. Increased investment in the organic processing sector under this scheme will have us well placed to do so.”
In April 2024, the government approved the Green Public Procurement (GPP) Strategy that mandates that 10% of the value of food purchased via public procurement must be accounted for by produce that is certified organic.
The food categories to which the 10% organic rule applies are cereals, fresh beef, lamb, pork, poultry, fish, vegetables, and dairy produce.
The new strategy, which comes with an action plan for its implementation, replaced the old system of ‘green tenders’.
Minister Hackett continued:
“I know from talking to processors that there is significant interest in the OPIG scheme. This scheme, along with the ongoing work of Bord Bia and the entire sector, demonstrates to organic farmers that we are making every effort to ensure that there will be strong demand for their produce. Last September a new National Organic Strategy was launched for 2024-2030, continued investment in processing capacity being a key priority for the sector, and this scheme will ultimately help us to ensure that farmers receive a premium price for organic product.”
The Minister concluded:
“Another 700 farmers have begun the process of converting to organic farming this year, bringing to 5,600 the number of farmers who are farming organically or in the process of converting to organic farming. Investing in our processing sector, which allows organic processors to increase efficiencies and capacity, is key to ensuring that a market premium is obtained for organic output.”
The OPIG Scheme will open in tranches, this tranche being open from 9 January to 8 February 2025.
Copies of the terms and conditions of the grant scheme, together with application forms, are available from the Organics and Market Supports Division, Department of Agriculture, Food and the Marine, Johnstown Castle, Wexford, and on the department’s website, at: Organic Processing Investment Grant Scheme: Terms and conditions.
This organic support scheme is financed from the National Exchequer.
Applications to be received by post or email on or before 7 February 2025.
Increase in wholesale food value from €200 million in 2024 to €750 million by 2030.
Organic beef numbers will double in 2025 compared to 2024, with beef output estimated to increase to 12,000 tonnes by 2030, from 4,000 tonnes today.
Organic sheep numbers will treble in 2026 compared to 2024, with lamb output estimated to increase to 3,000 tonnes to 2030, from approx. 500 tonnes in 2024.
Milk production could double to 40 million litres by 2030, from approx. 20 million litres in 2024.
Tillage area expected to more than double by 2030, with oats and combi-crops (protein and cereal) offering major opportunities. A DAFM organic feed survey estimates a need for 50,000 tonnes of livestock feed (concentrates and straights) this winter. Approximately 30,000 tonnes of this will be imported.
Poultry production could increase significantly, with potential for a 50% increase in egg production, to 53 million eggs, annually.
Pork has major opportunities to grow, particularly though direct sales, albeit from a low base.
Horticulture - in line with the national strategy for horticulture, considerable potential exists for growth. Imports currently account for approx. 70% of retail sales in Ireland. The aim is to reduce this to less than 50% by 2030.
Aquaculture - Ireland is by far the leading producer in the EU, with a 42% market share, followed by Italy (16%) and France (8%). Scope for future growth is recognised by all stakeholders.
Supporting Organic Farming Participation:
Coordinating the Value Chain:
Growing the Domestic Market:
Driving Export Growth:
Expanding Public Procurement:
Boosting Skills and Support: