Entitlements

Ex135

I have the opportunity to rent approx 40 acres relatively cheaply, I am a new entrant to farming and have undertaken the green cert. I was wondering would anyone have a ballpark figure of how much it would earn annually with the SFP and with a top up from the national reserve. Many thanks

Limestone Cowboy

€250/Ha + €60/Ha for 5 years in the young farmer scheme.

wrangler

Limestone Cowboy wrote: »

€250/Ha + €60/Ha for 5 years in the young farmer scheme.

Subject to availability, It was closed to new entrants for a year before, it depends on how many entitlements are surrendered

Limestone Cowboy

wrangler wrote: »

Subject to availability, It was closed to new entrants for a year before, it depends on how many entitlements are surrendered

Ya I thought I had missed out on it but was lucky enough to get my entitlements topped up after.

wrangler

Limestone Cowboy wrote: »

Ya I thought I had missed out on it but was lucky enough to get my entitlements topped up after.

Not many being sold, you'd be lucky to end up with half the money, 25% of entitlements to national reserve and 33% CGT on the money.
Leasing is best, I think there's pub talk out there that this is a reference year so farmers are hungry for them. I've been asked about mine already.

Tileman

wrangler wrote: »

Not many being sold, you'd be lucky to end up with half the money, 25% of entitlements to national reserve and 33% CGT on the money.
Leasing is best, I think there's pub talk out there that this is a reference year so farmers are hungry for them. I've been asked about mine already.

Sorry to drag up old thread but what is the going rate to buy this year.

Have been offered ones of 400€ at 3 times the value or €236 at 2.6 times the value. What way does convergence work over the next couple of years

Bass Reeves

Tileman wrote: »

Sorry to drag up old thread but what is the going rate to buy this year.

Have been offered ones of 400€ at 3 times the value or €236 at 2.6 times the value. What way does convergence work over the next couple of years

With the move towards convergence the 400 euro ones have a 4-5 year payback timetable and that is pre tax. The average entitlement at present is about 280/ha and again that will trend downwards. I eoukd not give a premium to buy high value entitlements

wrangler

Tileman wrote: »

Sorry to drag up old thread but what is the going rate to buy this year.

Have been offered ones of 400€ at 3 times the value or €236 at 2.6 times the value. What way does convergence work over the next couple of years

The whole thing is being reformed next year, buying now is a gamble
There's no guarantee there'll even be entitlements next year.