The TAMS II Tillage Capital Investment Scheme (TCIS) continues to facilitate the investment in new farm machinery, technology and infrastructure on tillage farms around the country. This has helped tillage farmers to modernise their production systems while also increasing labour and resource efficiency.

So far, a total of 2,524 approvals have been issued for applications to TCIS

Department of Agriculture, Food and the Marine figures seen by the Irish Farmers Journal show that in total, 2,952 applications have been received for TCIS, with 842 applications received in 2019. Of these applications, 439 have been received from Young Farmers.

So far, a total of 2,524 approvals have been issued for applications to TCIS, with an estimated value of nearly €31m. A total of 1,434 applications have been paid so far, worth over €17m. A further 46 claims have been submitted with an estimated value of €501,000 and are awaiting payment.

Coronavirus impact

We are now in Tranche 11 of the TCIS and Tranche 17 of the overall TAMS II. As reported last week, applications for the latest tranche of all TAMS II schemes were due to close on 24 April but it has now been extended to 6 June.

The window for submitting payment claims has also been extended due to the disruption from the coronavirus.

The granting of payment was also dependent on completion of a health and safety course

The Department is now allowing a three-month extension on outstanding TAMS payment claims for projects to be completed by 1 July 2020.

The granting of payment was also dependent on completion of a health and safety course.

Due to restrictions on gatherings and the postponement of these courses, a derogation has been granted allowing the applicant to submit their payment claim without completing the course.

TAMS is due to stay open for applications until 31 December 2020. It has yet to be decided if this will be extended to 2021.

Budget

However, even if the time frame for applications is extended into 2021, the Department expects that the TAMS II budget will be fully spent based on the number of applications received, the approvals that have not yet matured to payment stage and by factoring in future tranches.

It is expected that the entire €4bn RDP allocation will be spent by the end of 2020, with some spend in 2021

TAMS II is co-funded by the national exchequer and the European Union under Ireland’s Rural Development Programme 2014–2020 (RDP). It is expected that the entire €4bn RDP allocation will be spent by the end of 2020, with some spend in 2021.

Under EU regulations governing the programme, funds for multi-annual commitments (including TAMS) entered into by the end of 2020 may be claimed up to the end of 2023. Any farmers thinking of investing in the scheme, particularly if they are constructing a grain store or any other building, should begin planning immediately.

TAMS – the basics

It’s worth touching on the basics, as there is still time for farmers to apply to the scheme.

Applicants are eligible for grant aid of 40% up to the maximum investment ceiling of €80,000 per holding. This would mean grant aid of up to €32,000.

This can be doubled up if there are two farmers in partnership together, making them eligible for 40% grant aid of €160,000.

If a young farmer wishes to apply for a 60% grant on their maximum of €80,000 investment, they must apply through the Young Farmer Capital Investment Scheme (YFCIS). This would make them eligible for up to €48,000 in grant aid.

If they apply through the TCIS, the maximum they will be eligible for is 40%. This is a common mistake that is costing young farmers up to €16,000 in grant aid.

If there are two young farmers in partnership together, they are eligible for grant aid of €96,000 or 60% of €160,000. To be eligible for the TCIS farmers must have a minimum of 15ha of eligible crops declared under the BPS.

Your top investments of 2019

Below is a list of top investments through the TCIS in 2019.

1 Mounted disc stubble cultivator. This falls under the minimum disturbance tillage (non-PTO driven equipment) category and received the highest amount of applications last year. Reference cost formula: €4,123 x length in metres - €2,108.

2. Retrofit tractor/combine steering control kit. Under the GPS machinery control category, these retrofits must have a minimum of 200mm accuracy. These are costed on a per-unit basis up to the value of €7,990.

3. Mounted fertiliser spreader with full GPS control. Reference cost formula: €1.06 x litre capacity + €17,600.

4. Trailed sprayer with full GPS control. Reference cost formula: €11.207 x litre capacity + €14,499.

5. Heavy Cambridge roller without paddles: Reference cost formula: €2,316.5 x length in metres – €1,147.

6. Trailed disc stubble cultivator. This also falls under the minimum disturbance tillage (non-PTO driven equipment) category. Reference cost formula: €2,086 x length in metres + €15,457.

7. Seed broadcaster to mount on cultivator. An increasingly popular items under TCIS, often used for cover crop establishment. These are costed on a per-unit basis up to the value of €3,400.

8. GPS standalone unit. These are costed on a per-unit basis up to the value of €3,500. The cost includes the control unit, display and GPS receiver.

9. Heavy Cambridge roller with paddles. Reference cost formula: €3,342.4 x length in metres - €1,290.

10. Mounted sprayer with electronic control. Reference cost formula: €11.694 x litre capacity + €9,758.5.