EMFF OP 2014-2020

Implementation PlanSeafood Scaling & New Market Development Scheme

Operational Programme EMFF Operational Programme 2014-2020Priority Union Priority 5 - Marketing and ProcessingThematic Objective 3 - Enhancing Competitiveness of SMEsSpecific Objective UP 5 SO1 - Improvement of Market Organisation for Fishery and

Aquaculture Products.EMFF Certifying Body Finance Division, Dept. Of Agriculture, Food & the Marine.EMFF Managing Authority Marine Programmes Division, Dept Of Agriculture, Food and MarineIntermediate Body Bord Iascaigh Mhara (BIM)Support Rate Up to 40% - SMEs

Up to 20% non-SMEsUp to 60% Collective projectsUp to 100% - Public projects

EU Co-Financing Rate 50%Legal Basis Articles 68

1. Operative DateThis Implementation Plan shall apply to all applications received by BIM from 1 March 2019. The previous version will by default continue to apply to applications received by BIM before that date. However, by agreement in writing between BIM and an applicant, an application received before that date may be considered instead by reference to this Implementation Plan, provided it has not already been considered by the Board, or been selected for funding by BIM and Bord Bia under the simplified selection process.

2. Objective of Intervention

The seafood processing sector is characterised by a large number of micro and small enterprises, with a small but growing number of non-SMEs. It suffers from low profitability, low levels of innovation and new product development, inefficient route to market structures, and insufficient strategic business planning. Raw material supply to the sector is constrained by biological limits on wild catch fisheries and by the productive output of the aquaculture sector. High levels of commodity sales fail to maximise the value of this raw material supply.

To help address these issues, the Seafood Scaling and New Market Development Scheme aims to assist the processing sector to develop markets for their seafood products, improve route to market structures and maximise value from raw material.

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3. Definitions

For the purposes of this document:

‘BIM Project’ means a project undertaken directly by BIM on behalf of the sector as a whole, and which is approved directly by the Managing Authority.

‘Board’ refers to the ‘Project Approvals Board’ comprised of representatives of the Managing Authority (chair), BIM, Údarás Na Gaeltachta, Bord Bia and Enterprise Ireland. The Managing Authority may co-opt additional relevant bodies to be members of the Board and where it does so will advise the Monitoring Committee in writing. The Board may perform its functions once it has a quorum, which will be at least one representative of four of its member bodies;

‘Collective’ is defined, for the purposes of this Measure, as two or more seafood enterprises, or a seafood enterprise working with an established food enterprise, working together under the framework of a formal written signed agreement and business plan, and which in the opinion of BIM are unrelated enterprises, pursuing a project for the collective benefit of the members of the collective. To be accepted as a collective, the applicants must demonstrate to the satisfaction of the Project Approvals Board that each member of the collective is contributing to the resources of the project, and is actively participating in the planning and conduct of the project. Notwithstanding the foregoing, two or more seafood SMEs that have formally merged since 1 January 2013 will continue to be treated as a collective for 5 years following that merger, or until the cessation of the EMFF Operational Programme, whichever is the earlier.

‘Public’ projects are those undertaken by public sector bodies for the benefit of the wider sector. This may include State agencies or public sector research organisations1 (e.g. Universities, Institutes of Technology).

4. Description of the Intervention

The Seafood Scaling and New Market Development Scheme will be administered by Bord Iascaigh Mhara (BIM), in partnership with Bord Bia. The Scheme aims to achieve the objectives specified in section 2 by providing aid to enterprises in the seafood sector to incentivise and support those parties to undertake the eligible projects specified below. SMEs and collective projects will be given priority in the award of supports under this Scheme.

Applicants / Project Applications

Applicants under this scheme and their projects must comply with the following requirements:

Applications must be submitted to BIM and acknowledged by BIM before project completion and before any payments are made to suppliers.

1 As defined under Article 30 Commission Regulation 800/2008,

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Must have all planning permissions and bye-law approvals relevant to the project at time of payment of EMFF supports.

Applicants must have a current tax clearance certificate. Applicants must have the financial capacity to undertake the project. Applicants must comply with conditions of the letter of offer. Applicants must provide a final report that focuses on the achievement of the planned

project outputs and deliverables. Projects must be aligned with the objectives of the Scheme Projects must be an integral part of the strategic development plans of the applicant

enterprise. Projects must represent a cost effective use of investment support funds. Applicants must be eligible for EMFF support having regard to article 10 of the EMFF

Regulation (Regulation 508/2014) and make a signed declaration to this effect. Projects must not be aided by any other agency or scheme.

Eligible Beneficiaries

Subject to article 10 of the EMFF Regulation (508/2014), the following classes of beneficiary may be eligible to apply for support under this scheme. These may be further restricted in a particular call for proposals.

Enterprises active in the seafood sector Collectives (see definition in section 2), BIM and other Public bodies

Eligible Projects

Projects aimed at finding new markets and improving the conditions for the placing on the market of seafood products.

Eligible costs

The following activities may be eligible for support under this scheme. These may be further restricted in a particular call for proposals.

Market Development Measures (e.g. market research, market intelligence, in market resources, market visits, trade show participation, in-store promotion)

Consultancy and professional advice concerning market development and improving the conditions for the placing on the market of seafood products.

Professional advice on drawing up joint venture contracts (e.g. legal, accounting, tax, marketing and business advice). Available to SMEs only.

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Ineligible Costs

The following measures are not eligible for support under this scheme:

Regional, national or transnational communications and promotional campaigns Public Relations Expenditure for the purchase or lease of land or buildings Value added tax except, where it is non-recoverable by the beneficiary under law.

Interest on debt, except in the form of an interest rate subsidy or guarantee fee subsidy. Operational costs Capital costs (buildings, equipment etc) Costs related to the transfer of ownership of a business Costs related to formal training.

Support Rates

The following maximum support rates will apply to this scheme.

BIM Projects 100%

Seafood SMEs Up to 40% capped at €50,000 per project

Non-SMEs Up to 30% capped at €50,000 per project

Collectives Up to 60% capped at €200,000 per project

Public projects up to 100% capped at €300,000 per project

5. Selection Process and Criteria

a) For BIM Projects, the selection process will entail submission of project applications by BIM to the Managing Authority, and the approval by the Managing Authority having regard to the objectives of the Scheme and its contribution to supporting the priorities of the EMFF OP 2014-2020.

b) Industry, collective and Public Projects will be selected for funding by the Project Approvals Board via competitive / open calls for proposals, which may be restricted to particular classes of beneficiary or to particular activities or costs.

Public projects will be jointed appraised by BIM and Bord Bia and selected by the Board on a qualitative basis, having regard to the objective of the call and the quality of the proposal.

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Projects from collectives and individual enterprises will be subject to an initial joint appraisal by BIM and Bord Bia using the Project Assessment Criteria detailed in the Appendix. Projects must achieve a minimum total score of 15 out of 25 to be considered for support by the Board. Projects will be subject to a final appraisal and evaluation by the Board.

c) A simplified and accelerated selection process may be implemented by BIM in partnership with Bord Bia for projects from individual seafood processing enterprises with eligible costs of less than €40,000. A simplified application form may apply, with projects selected for funding by BIM and Bord Bia having regard to available budgets and, demonstrated alignment of the project with the objectives of the Scheme and compliance with section 3.

6. Procedure for dealing with appeals

BIM may specify a template for appeal of award decisions. Award decisions may be appealed to BIM, who will provide a written explanation for award decisions, in consultation with Bord Bia and the chair of the Projects Approvals Board. Following receipt of that explanation, appellants may request that an appeal be considered by the Projects Approvals Board. The Chair of the Board will, through BIM, provide to the appellant a written decision of the Board.

7. Scheme Output Indicators

Indicator Measurement Unit

Target Value 2023

Source of Information

Frequency of

ReportingN° of projects onmarketing measuresand storage aid

# 7 BIM Annual

8. Document Retention

In accordance with Article 140 of the Common Provisions Regulation (EC) 1303/2013, BIM and final beneficiaries will ensure that all supporting documents regarding expenditure, verification checks, certification and audits on operations for which total eligible expenditure is less than €1,000,000.00 are kept available for the EU Commission and Court of Auditors for a period of three years from 31 December following the submission of the accounts in which the expenditure of the operation is included.

In the case of operations over €1,000,000.00 all supporting documentation shall be kept for a 2 year period from 31 December following the submission of accounts in which the final expenditure of the completed operation is included.

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The Managing Authority will inform BIM of the start date of the period referred to above.

9. Monitoring and Reporting arrangements

BIM will provide periodic updates to the Monitoring Committee on the progress of this Scheme. These updates will form part of the agenda for meetings of the Monitoring Committee.

BIM will provide information on the implementation of this Scheme to the Managing Authority to contribute to:

The compilation of the Annual Implementation Report under article 114 of the EMFF Regulation to be transmitted to the Commission by 31 May each year.

A Common Monitoring and Evaluation System under article 107 of the EMFF Regulation; Data on operations selected for funding required to be submitted to the Commission

under Article 97(1)(a) of the EMFF Regulation by 31 March each year.

The Managing Authority will annually present information on the implementation of this Scheme to the Monitoring Committee through the Annual Implementation Report, which will be presented for the Committee’s approval.

The Managing Authority and/or BIM will maintain a website providing details of this Scheme and its progress.

10. Information and Publicity

The contribution of the Irish exchequer and EMFF 2014-2020, will be acknowledged in all brochures, promotional material, press releases, publicity activity, advertisements, signage, applications forms, annual reports, letters of offer, etc., by use of appropriate logo and text references.

Beneficiaries may be required to undertake information and publicity measures, as may be specified by BIM in the letter of offer, in order to acknowledge EMFF funding and its impacts on their project.

The Managing Authority and BIM will ensure compliance with Annex V of Commission Regulation 508/2014 concerning the provision of information on the Operational Programme and the co-funding provided by the Union.

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Appendix

Project Assessment Criteria

1. Project Planning/ObjectivesDEFINITION Score

Rate the level of project planning as follows:-Well defined project, consistent with the applicant’s business plan. Clear milestones, meets all legal requirements, management and technical resources assigned. Well defined and transparent costing and reasonable timescale. Contingency planning in place. Adequate funding in place to deliver the project.

Outstanding 5

As above but less defined some milestones, management staffing and costing – some room for improvement. Adequate funding in place to deliver the project.

Strong 4

Reasonable project definition. Reasonable attempt at costing. Some level of management responsibility – may require modification. Adequate funding in place to deliver the project.

Reasonable 3

Project not well defined. Costing and value for money unclear. Management and technical resources unclear, timescale unrealistic. Adequate funding is not in place to deliver the project.

Poor 2

Poorly defined in terms of objectives, milestones and cost. Staffing and management very unsatisfactory. Adequate funding is not in place to deliver the project.

Very Weak 1

Comment on the quality of project planning.2. Marketing Capability Assessment

DEFINITION ScoreProject is in line with the company business plan objectives. Advance market research report completed. Company demonstrates very good marketing capability with strong marketing investment, in line with the requirements of the project.

Outstanding 5

Business plan in place. Company demonstrates good marketing capability with evidence of good marketing investment in line with the requirements of the project.

Strong 4

Project is in line with the company business plan objectives. Company is investing in marketing and has researched the project.

Satisfactory 3

Company demonstrates weak marketing capability and inadequate market research investment.

Poor 2

No evidence of marketing capability or investment in marketing required to complete the project

Very Weak 1

3. Business Promoters Track RecordDEFINITION Score

Strong track record in the sector and growing their business. Evidence of commercializing previous projects and increasing sales. Successful track record in terms of Commercial / technical viability.Ability to plan / fund projects

Outstanding 5

As previous but record not as strong. Strong 4Reasonable track record in the sector. Satisfactory 3

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Weak track record. Poor 2No track record. Very Weak 14. Impact of Funding

DEFINITION ScoreHow essential is the Programme funding to enable the company to undertake the project(s)? and How consistent is the project with National objectives / targets for the sector.Project is highly unlikely to proceed without grant aidAndProject directly addresses National development objectives / targets

High 5

Project is unlikely to proceed without grant aidAnd / OrIs generally in line with National development objectives / targets

Medium 3

Grant aid will act as a catalyst in for project implementation andProject is vaguely consistent with National development objectives / targets

Low 1

5. Employment Creation/MaintenanceDEFINITION Score

The impact on Employment Creation/Maintenance should be assessed.Rate as follows:-The project will have a significant impact on the creation of new jobs and maintenance of existing employment at a relatively reasonable cost per job

5

The project will contribute to some new job creation and maintenance at a relatively higher cost

4

The project involves minimal new job creation but will underpin the commercial viability of existing employment

3

The project has minimal impact on new job creation or maintenance 0

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