Oireachtas Joint and Select Committees

Tuesday, 13 December 2016

Joint Oireachtas Committee on Agriculture, Food and the Marine

Impact of Brexit on Irish Agriculture and Fisheries Sectors: Discussion

4:00 pm

Photo of Jackie CahillJackie Cahill (Tipperary, Fianna Fail) | Oireachtas source

This discussion has highlighted the various scenarios that could arise as a result of Brexit. Unfortunately, the Government will not be negotiating on behalf of Ireland because, as Deputy Willie Penrose noted, a deal will be struck between the European Union and the United Kingdom.

Clearly, we have serious concerns about Brexit, given that this is the only country with a land border with the United Kingdom and that 50% of our trade is with it. To what extent will the Germans and French care about our position? When I visited Brussels last week, I found little sympathy for the British. Efforts are being made to remove British MEPs from every position they hold in the European Parliament, for example. At this stage, everyone wants to get the United Kingdom out the door.

That is the reality to which we must face up. It took us a long time to reduce our dependence on the UK market for beef to the current level of 50%. How long will it take Bord Bia to find alternative markets for us and at what price?It has a budget of €45 million to €50 million. Realistically, if it is to find alternative markets for dairy and beef and other agricultural products, what level of budget will it require in the future? Food Harvest 2020 and Food Wise 2025 contain aspirations for growth. I would like to hear the views of the delegates on where we are going in these strategies. We will have to revisit the targets, given the changing environment in which we now find ourselves and the current challenges facing the beef sector, with the possibility of losing free access to the UK market, which is frightening to behold, and we do not know what the final scenario will be.

Dairy processors have large capacity and are dependent on milk supplies from Northern Ireland. The shortfall can be made up by suppliers in the Twenty-six Counties, but it will take time. We must face the harsh realities. While we will contribute to the negotiations, we will mainly be spectators. The hardening of attitudes in the European Union to the United Kingdom has to be seen to be believed. The European Parliament is starting to push UK MEPs out of all the positions they hold, including committee chairmanships. The attitude is that the United Kingdom can have no interest in the future of the European Union when it has made a decision to leave. That is the worrying reality and the context in which we must position the agriculture sector for three to five years ahead. While the longer term creates greater uncertainty, we will need a long time to adapt. I urge the four presidents to focus on what they think our targets should be for industry growth, given the changing scenario. What level of budget do they envisage Bord Bia will need to try to meet the challenges that lie ahead?

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