Mr. William Lavelle:

No. It is an issue of supply. There has been a welcome increase in the amount of barley and malted barley that is being sourced locally.

The percentage of barley and malted barley we in the whiskey industry source in Ireland is in the high 90s. This compares favourably with Scotland, where the latest figures from the Scotch Whiskey Association show that the percentage of their barley that is sourced domestically is only in the 80s. It is an issue of supply. As for other grains, we know there is a demand and a need for maize in the development of grain whiskey, which is one of the forms of whiskey which is in turn an important part of blended whiskeys. Some of the major whiskey brands in Ireland are blended. Unfortunately, we cannot guarantee the supply of appropriate grain in Ireland. This is why we are seeing maize being imported but, again, we are no different from Scotland in this regard. In fact, the percentage of wheat used in scotch whisky production that Scotland imports is very high - about 50% - so we are probably doing better than Scotland in domestic sourcing. The example my colleague gave of the Irish distillers developing new rye strains in Wexford, which they are innovating and trying to develop as a sustainable new source, should mean that reliance on imported grains other than barley will decrease over time, particularly in line with the commitments that members have made under Origin Green.

Finally, I know there has been debate earlier and at previous hearings as to whether there should be some sort of regulation or requirement that Irish produce such as Irish whiskey comprise 100% locally sourced raw materials. This would be a very serious constraint on production. The Irish whiskey renaissance would die a death because we would not be able to develop the capacity as we would not be able to import the maize. It would also put us at a severe competitive disadvantage against Scotland, particularly at a time of Brexit. At a time when Irish whiskey is the fastest-growing spirits category in the world, it would set us back substantially. We are committed to using as near as possible to 100% Irish barley. We are increasing the percentage of other grain we are using domestically, and I think over coming years the increased demand, coupled with the commitments for increased sourcing under Origin Green, will mean a significant return for Irish farmers.