Minister for Agriculture, Food and the Marine Charlie McConalogue TD is set to deliver an opening address at the Skipper Expo ‘22 in Limerick today. Skipper Expo ‘22 is Ireland’s flagship fisheries show that attracts large numbers of exhibitors and visitors from all over the world. Speaking in advance of the opening Minister McConalogue announced a new Brexit mitigation scheme to promote the Blue Economy and to be delivered through the seven Fisheries Local Action Groups (FLAGs). The scheme delivers on a recommendation of the Report of the Seafood Task Force – Navigating Change (October 2021).
Announcing the Scheme, Minister McConalogue said: “I am pleased to announce today the implementation of a further recommendation of the Seafood Task Force, designed to assist coastal communities to overcome the impacts of Brexit and grow and diversify their local economies by promoting the growth of the wider Blue Economy. The Brexit Blue Economy Enterprise Development Scheme will have a €25 million budget for the years 2022 and 2023, funded under the EU Brexit Adjustment Reserve. The scheme will offer grants of up to €200,000 for entrepreneurial initiatives by micro and small enterprises operating in the Blue Economy, within the 10 kilometre coastal remit of the seven FLAGs. Stimulating entrepreneurial activity in the blue economy will provide a post-Brexit stimulus to the economies of our coastal communities. The scheme will support capital investment projects and business mentoring and capacity development by enterprises engaged in the Blue Economy and also upskilling and training to support individuals to build on their existing skills and knowledge to develop new complementary skills that will enable them to exploit economic opportunities in the blue economy”.
Minister McConalogue added: “I am also pleased to announce the implementation of a further recommendation of the Seafood Task Force, a Brexit Inshore Marketing Scheme, designed to assist the inshore fisheries sector to mitigate the impacts of Brexit by growing value in existing markets and developing new markets. As part of this scheme, I have approved Bord Bia’s marketing plan for 2022 for inshore fisheries products and this will focus on supporting the sales and promotion of inshore species such as Irish crab, lobster, whelks, inshore herring/mackerel and line caught hake and pollock on both the domestic and export markets. The plan was developed by Bord Bia in consultation with industry stakeholders and the main inshore exporters and processors. The 2022 marketing plan will have a budget of €615,000 ”.
Continuation of both schemes after 2023 will be examined as part of the development of the forthcoming Seafood Development Programme, as recommended by the Task Force.
Notes for Editors
In March 2021, Minister McConalogue set up the Seafood Sector Task Force to examine the implications for the Irish Fishing industry and coastal communities particularly dependent upon it arising from the Brexit Trade and Cooperation Agreement, agreed between the European Union and the UK. The Task Force, chaired by Aiden Cotter, was charged with recommending initiatives that could be taken to provide supports for development and restructuring, so as to ensure a profitable and sustainable fishing fleet and to identify opportunities for jobs and economic activity in coastal communities dependent on fishing.
Minister McConalogue received the Report of the Seafood Task Force – Navigating Change on 11 October 2021. The report recommended 16 support schemes at a total estimated cost of €423 million. These stakeholder recommendations are being urgently examined across Government with particular regard to available funds, eligibility of the recommended measures for funding under the EU Brexit Adjustment Reserve and with regard to State Aid rules and the Public Spending Code. This process is very well advanced.
Recommendation of the Task Force concerning the FLAG scheme
Section 16.11 of the Task Force report stated: “The Task Force recommends that significant funding is made available to support communities dependent on fisheries and aquaculture impacted by Brexit. The funding will target entrepreneurial initiatives to drive real economic development thereby allowing operators and their communities to restructure, reconfigure, retrain and diversify post Brexit. Funding of €35 million is proposed to support the initiatives and will be derived from both BAR and the EMFAF with the former being available for immediate investment given the deadlines stipulated from that source. An additional €10 million is proposed to support the CLLD initiatives with a direct connection and relevance to the inshore fisheries sector”.
Background to the FLAG initiative
Established in 2013, the FLAG initiative empowers coastal communities to establish a local development strategy for their region and to select projects for funding that best contribute to the achievement of that strategy. The FLAGs comprise community representatives, drawn especially from the seafood and marine sectors, and other local actors. The Fisheries Local Action Groups uniquely focus development funding specifically for fisheries and aquaculture areas within 10kms of the sea around the entire coast. The seven FLAGs currently have an extant structure in place under Ireland’s European Maritime Fisheries Fund Programme, with each FLAG board having an existing strategy which is focused on CLLD in their individual areas. These existing strategies and structures allow for a targeted Brexit Adjustment Reserve (BAR) scheme to be put in place.
Brexit Blue Economy Enterprise Development Scheme
For the purposes of the scheme, theBlue Economymeans industries and sectors related to oceans, seas and coasts, whether they are based directly in the marine environment or on land. Applications must be in one of the following sectors of the blue economy:
- Small Non-Commercial Harbour/Pier Activities
- Boat Building and Repair
- Coastal Tourism
- Marine Leisure and Sport
- Seafood
- Renewable Energy Initiatives supporting the Blue Economy
The scheme will comprise three project types:
- Capital Investment
Capital investment projects from entities operating in or seeking to enter the blue economy and that promote entrepreneurial initiatives such as value adding or increasing employment opportunities in coastal areas. Maximum support of €200,000, subject to deminimis rules where applicable. Support rate 50%.
- Business Mentoring and Capacity Development
Participation in recognised business mentoring and capacity building or coaching recognised by BIM or Local Enterprise Offices, with maximum eligible costs of €10,000 or 50% of the cost, whichever is lower.
- Upskilling and Training
50% of the costs of formal, accredited training that will enable participants to seek employment, upskill or develop a career in the blue economy. Funding will be prioritised for former crew, skippers and owners of decommissioned fishing vessels.
Projects from small scale coastal fishermen may qualify for support of up to 80%.
FLAG boards will ensure that 20% of their scheme budget is prioritised towards projects with a direct connection and relevance to the inshore fisheries sector.
Qualification for grant support may be subject to deminimis rules. Applicants will be required to provide details of previous deminimis aid received.
Projects approved for grant aid support for the same expenditure under a grant from BIM or through a grant from another State Agency will not be eligible for support. Projects that are eligible for funding under another open BIM Scheme will also not qualify.
The Brexit Blue Economy Enterprise Development Scheme will operate under both the general Deminimis Regulation (1407/2013) and the fisheries deminimis Regulation (717/2014), and also the Fisheries Block exemption Regulation (1388/2014).
Further details of the Scheme will be available from https://bim.ie/fisheries/funding/
ENDS