Charlie McConalogue (Donegal, Fianna Fail) | Oireachtas source

I thank the departmental officials and Meat Industry Ireland for coming before the committee to present to us. The issue has been well discussed, and my apologies for having to leave during the presentations but I read them in advance.

As has been well outlined by other members, this move is not something to which people object as such, it is the fact the cost is to be borne by farmers and primary producers. We see this right across the food chain and various sectors. Too often, the farmer must bear the brunt of costs. When margins get squeezed it filters down to the farmer who takes the full whack. This will be the case again with the costs of tagging. As has been outlined, the cost of this move to hill farmers in particular adds up to 3% or 4% of the cost of a lamb. This is too much to ask in what is an exceptionally marginal and, in many cases, non-profitable enterprise.

Obviously, from an administration point of view, there will be a cost saving, in particular, for marts and meat factories. I have a question for Meat Industry Ireland on the level of the cost saving that will arise as a result of reduced administration. Is it willing to make a financial contribution towards it? Has Meat Industry Ireland had conversations with the Minister for Agriculture, Food and the Marine in this regard?

I emphasise to the Department something that has been mentioned by other speakers, which is the funding left over from the implementation of the sheep welfare scheme. The Minister's €50 contribution is no more than a sop. It is recognition there will be a significant cost but it is no more than a token from him. It will leave the ongoing costs with the farmers after the initial purchase of tags.

My next question for Meat Industry Ireland is on the opening up of markets. Are there specific markets on which it feels this system will make a very definite impact and might be a clincher with regard to actually getting access to them? Perhaps the Department will also comment on this. The bottom line is we are indicating this will mean more markets for farmers and, potentially, better prices. It is a difficult question but will the witnesses indicate what will be the benefit to farmers in terms of the prices in those additional markets? Ultimately, we are asking farmers to take a hit on their margins and to factor the cost of electronic tagging into their cost base.

Will the Department and Meat Factory Ireland outline exactly the difference the system will make for a batch of lambs going directly from flock of origin to a factory? They will all go into the factory with one flock number. How will this make a real difference to them? Is it really necessary to include this category of lamb?

Is an individual identification animal ID and sheep ID database being considered by the Department? Would this add to the traceability system? Will the move to total electronic ID tags make a significant difference in the absence of a departmental ID system?