Oireachtas Joint and Select Committees

Thursday, 26 April 2018

Joint Oireachtas Committee on Rural and Community Development

Engagement with EU Commissioner Mr. Phil Hogan

2:00 pm

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

I thank the Co-Chairman and I welcome the Commissioner and his officials.

As said by many speakers already, the preservation of the CAP budget is very important to the Irish economy and rural Ireland. We should not be apologetic about the CAP or about seeking the maintenance of the CAP budget. The European taxpayer has got value for money from the CAP. European farmers have produced high-quality, safe products for European consumers over a long period. That is what the CAP was designed for. It has delivered on its objectives. We should not be apologising for trying to protect the CAP. I hope there will be agreement in all the member states to increase the contribution to the budget in order that we can maintain the CAP budget. If we get agreement, we want to make sure the CAP percentage is ring-fenced and that we do not find ourselves with an increased contribution from member states spent on issues that might not be as important as CAP is to the Irish economy. The ring-fencing of the CAP budget in any increased donations is essential.

The Commissioner talked about Mercosur and said the development in this regard is some way down the road. It has come to a crossroads on a few occasions and has never reached a conclusion. We are in CAP negotiations now and there has to be recognition of the concession made by the Commission regarding imports to the European Union and the damage this can do to the European beef sector. If we are to get more concessions, now is the time to get them in the context of the Mercosur deal. The fact that such concessions are being made by the Commission gives us a bargaining tool in trying to get a better deal for our beef sector in the future.

The final point I would like to make is on volatility. The Commissioner talked about skimmed milk powder and the amount in storage. The fixed price ceiling for the purchase of skimmed milk powder for intervention is suspended for 2018. I would like the Commissioner's view on the market supports that will exist in the CAP for the period 2020 to 2027. Volatility is a significant issue and has been for farmers.

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