Oireachtas Joint and Select Committees

Tuesday, 21 May 2013

Joint Oireachtas Committee on Agriculture, Food and the Marine

Groceries Sector: Discussion (Resumed) with National Milk Agency

4:05 pm

Photo of Pat DeeringPat Deering (Carlow-Kilkenny, Fine Gael) | Oireachtas source

Regarding the code of practice, I would welcome the witnesses' comments on the draft proposal before us. I raise an issue that the previous delegations mentioned. It was mentioned in this session, and it arose when we interviewed representatives of the different multiples, namely, that the cost of the statutory code of practice being talked about will put everybody out of business. What is the witnesses' view on that? Will it be cost-effective? If there is to be a cost for it, who will pay? Is the independent arbitrator a practical solution? It was introduced in England at the start of the year and the feedback appears to be positive, although it has only been in place for five months. Would that be a way of going forward? Many of the multiples suggested in the past that they will have their own structures in place to ensure there is fair trade and so on, but if an independent arbitrator is in place to ensure that is working, there should not be a major cost involved. I would appreciate the witnesses' views on that matter.

There has been a lot of talk about Food Harvest 2020, enthusiasm for it and so on, but having listened to Mr. Murphy's presentation and the presentations made in the past hour, one wonders if it is aspirational, fantasy or realistic. Will we have the levels of production that were spoken about in 2020? Having heard the facts and figures given earlier, there is no way it will be financially viable to produce milk, particularly winter milk, in 2020 at the current cost. It will not happen, therefore, fewer farmers will produce milk and a shortage will arise. The chance of us reaching those targets by 2020 is fanciful. What are the witnesses' views on that issue?

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