Michael Creed (Cork North West, Fine Gael) | Oireachtas source

I am glad to report that there is again this year a higher number of sustainably fished stocks – 28 compared with 26 last year – and a higher percentage – 38% in 2016 compared with 36% in 2015. I should note, however, that while the percentage and number of stocks overfished has declined in 2016, the number and percentage of stocks with unknown status are similar to last year. The specific details for all stocks are available in the document which has been laid before the Dáil and in the stock book, which was prepared by the Marine Institute.

The socio-economic impact assessment of the Commission's proposals does not fully account for Ireland's share of fishing opportunities. The stocks not covered include blue whiting, horse mackerel, mackerel, north-west haddock, ling and Celtic Sea whiting because the Commission has not to date included proposals for these stocks, most of which are the subject of ongoing international negotiations with third countries.

If agreed as they currently stand, the Commission's proposals would see a net reduction in fishing opportunity of 19% by volume in tonnes. In financial terms, this amounts to a direct income reduction of €14.752 million. These figures can be further explained, as follows. Our valuable prawn fleet could see a critical reduction of 9% by volume, with a direct income reduction of €5.849 million. The proposed reduction to Celtic Sea cod would see a reduction of 76% in volume, equivalent to a reduction of €1.89 million.

Let us consider the regional analysis of the impact. For the Irish Sea, Celtic Sea and west coast - area VII - there will be an 18% reduction in fishing opportunity. This will cause a €14 million income reduction for the demersal fleet. This would have a severe negative impact on the ports of Clogherhead, Howth, Dunmore East, Kilmore Quay, Dingle, Castletownbere and Ros an Mhíl, in addition to other smaller ports.

For north-west - area VI - stocks, the impact assessment does not take account of some important stocks, which are not included as they are impacted by the EU-Norway bilateral negotiations. In particular, haddock and saithe are not included in BIM's assessment. BIM's assessment, excluding these two stocks, paints a slightly better picture, with a proposed 8% increase in fishing opportunity, resulting in a €0.75 million increase for the demersal fleets in the north west. This will directly affect the ports of Greencastle and Killybegs. However, the impact assessment does not include large expected cuts to Ireland's horse mackerel and boarfish stocks. The EU-Norway negotiations were concluded on Friday and the TAC set for haddock in area VIa involves a 42% cut and saithe in area VI involves a 61% increase.

Let me refer to the processing and ancillary sectors. In addition to the direct losses to the fleet, income will also be lost from the processing sector as a direct result of reduced catches and in a number of ancillary industries, including net making, chandlery, engineering, refrigeration etc. Based on turnover multipliers from fish landed in distinct Irish ports, BIM estimates that the full cost, including direct, indirect and induced, of the proposed quota reductions are in the order of €30 million.

This will obviously have a knock-on effect on employment. It is estimated that on the basis of the most recent employment surveys of the catching sector, these reductions could affect between 350 and 400 full- and part-time jobs, either through reduced incomes, partial lay-offs or redundancies.

The proposals do not include the Hague preferences, which are a safety net for the Irish fleet on specific stocks where TACs are in decline. Essentially, these are additional amounts of quota that Ireland and the United Kingdom claim for important whitefish stocks. Many member states object strenuously to their application as the additional quota comes off their allocations.

Ensuring that the preferences are applied will be a key political objective for me in the negotiations. The loss of these allocations in 2017 would amount to 1,535 tonnes of fish with a direct value of €3 million, according to BIM. This will have an associated impact on between 60 and 70 full- and part-time jobs, either through reduced incomes, partial lay-offs or redundancies.

I fully concur with the findings of the sea fisheries sustainability impact assessment. It highlights the significant impact the current proposals could have on the Irish fishing industry. This will be my first December Council. I have found that the process has given me an invaluable opportunity to develop a deeper understanding of our fishing industry and all those who care about it. Significant challenges lie ahead next week but I will do my utmost to agree a fair and balanced package for Ireland to ensure the continued vibrancy of our industry and the long-term sustainability of our stocks. I wish to publically thank and acknowledge all those who contributed to the production of the impact assessment and I look forward to the contributions of the committee.