Dáil debates

Wednesday, 25 June 2014

Beef Industry: Motion (Resumed) [Private Members]

 

7:55 pm

Photo of Martin HeydonMartin Heydon (Kildare South, Fine Gael) | Oireachtas source

The point on competition is key. Lack of confidence in the system is a problem in itself. The Government continues to work towards addressing such issues. It is crucial that we can tell our primary producers that the system is beyond reproach. I talk to many farmers in the marts who tell me that the factories are accessing the animal identification and movement, AIM, system and that there are competition issues. We need proof, and when we get it we will go after anybody involved vigorously. The beef crisis is causing real hurt and harm to farming families. There are 140,000 farms in Ireland, 78,000 of which are involved in beef production. Given that Ireland produces six times more beef than is required for the domestic market, 90% of our output is exported. When our supply increases, the on-the-table price decreases, and that is the case across the UK, Europe and the world. This lower price for beef compared to last year's prices is hurting us. In this situation, one of our main goals is to open new markets.

I have difficulty with the processors and factories in this country when we discuss a very ambitious kill target of 40,000 per week. Whenever we go above 30,000 per week, factories struggle to find markets. That is why the Government is pushing. We have given more money to Bord Bia, which is working with the Irish embassies to open up vital trade to additional markets in Japan, Singapore, Egypt, Iran, Lebanon and Libya. The Minister, Deputy Simon Coveney, is in America. Last Thursday, like Deputy Ó Cuív, I attended a function in the US Embassy with the US agriculture secretary, Tom Vilsack. When one realises Mr. Vilsack controls a budget of €150 billion, one understands the potential of accessing a market such as America. The Minister is in America increasing those markets. FDA approval would also be a phenomenal help in accessing China and Korea. That is why the Minister's time is much better spent there doing the work and representing farmers.

The quality payment scheme, into which the IFA entered with Meat Industry Ireland in 2009, must be revisited. Is it supplying the best return for proper beef producers? As we go into a time of major growth for our dairy sector, we must be careful our beef industry does not become a mere subset of our dairy sector. It is an important industry in itself and we should reward farmers who produce U-grade cattle.

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