Simon Coveney (Cork South Central, Fine Gael) | Oireachtas source

I might take the questions in reverse order, if the Chairman wishes.

Everybody asked questions on beef genomics. We anticipate that in a full year we will spend €48 million on beef genomics. We had said at the start that we would look at spending €52 million and therefore there will be almost full spend. This is a fund we want to spend on the beef sector because it was committed it. I have said that we would look at it. First, there will be a mid-term review of the genomics scheme. Deputy Deering raised this point and we are going to review it. If aspects are not working then we will change them, but we will have to get permission from the Commission to do that because this is a co-funded scheme.

Most farmers are quite comfortable with the beef genomics scheme now that they understand what is being asked of them.

Once the payments start flowing I believe this will be a very strongly supported scheme. If anything, the requests I receive now are from people who want to join the scheme. They had previously decided not to join but now would like to do so. There is no easy way for them to join because the scheme involves a six-year commitment which means there are consequences if somebody joins late. We will look at solving issues, if they need to be solved. Potentially, there may be new entrants into beef production who may want to be part of this scheme. If we have money unspent then I would have an open mind to looking at that aspect.

There will not be a massive shortfall of spend on beef genomics. We anticipate that when this scheme is running properly it will spend about €48 million in a year. We have previously budgeted for €52 million, so the scheme is almost fully catered for. We will look at trying to allocate the extra €4 million.

Farming organisations have come in here to raise issues about sheep. In many ways, the sheep sector benefits the most from the new CAP scheme in terms of the redistribution of the single farm payment and so on. We sought to protect the former sheep grassland scheme and to incorporate it into people's individual payments. If we were to do a new sheep scheme and have it a little bit like the beef genomics scheme then we would have to go back to the Commission to amend the rural development programme, which would take some time. We would also have to find money to provide the scheme. Effectively, we would have to take money from some scheme that has already been approved. This is not an easy process but I am not saying that I am totally closed to the idea.

If the scheme becomes a big priority, and if we were to look at it, then there is a whole series of things that need to happen before we could proceed in terms of getting agreement on a formal amendment of the rural development programme and finding the money by taking it from another scheme which, again, is not a straightforward process, to put it mildly. I take the point and the issue has been raised. I am not closed to the idea, I am simply saying that there is a process involved and if we want to prioritise the issue then it will take some time.

Deputy Deering asked about a dairy fund for the future. Price volatility in dairy is going to be-----