Mr. Derek Iceton:

The final thing I have on the shopping list for Deputy Éamon Ó Cuív is the maintenance of our health status. This ties into what Deputy Naughten said. I cannot state how important our disease-free status is. Our competitors are anxious for us to have even the smallest issue, which can arise in any sector of the business. A number of years ago, and only because the Irish Equine Centre was so on the ball, we managed to keep the yearling sales in Goffs open. Just two weeks before that, it looked very difficult. Goffs' yearling sale is the Rolls-Royce sale in Ireland. Luckily, on foot of a disease outbreak that started in Northern Ireland but which was basically regarded as an outbreak on the island of Ireland, the Irish Equine Centre managed to do what was required and we stayed open for business. That just goes to show how vulnerable our industry is. We need to keep our disease-free status.

Deputy Martin Ferris asked about prize money. Mr. O'Dwyer has covered this. Deputy Ferris also asked about harness racing. He was alluding in particular to harness racing in the stadium in Dundalk. I have no issue with harness racing taking place there but with one major proviso, namely, that the animals that take part in the sport be of the same health status as the other horses that perform, be they showjumping horses, ponies, or otherwise. The biggest issue we have in the racing industry is respiratory virus. It is a devil to get rid of. If the harness-racing horses are of the same calibre and health status as the others, I am more than happy. We do not want circumstances in which we bring in horses in respect of which we do not know what is going on.

Deputy Penrose asked about racing in the United Kingdom. Circumstances are dreadful there. I thank the Government and those responsible for the cross-party support we received last year in respect of the increased prize money for the racing industry. There was a very worthwhile venture between all the constituent groups and I am delighted to see it worked.

Deputy Penrose might agree with me in saying that if further money becomes available, perhaps not all of it should go into prize money. I would like to see some of it going towards a reduction in the cost of having a horse in training. In other words, I am referring to the cost of entering a horse in a race and other such factors. That hits everybody. Although winning a race is great because it allows everyone to pay his dues, it would be nice to reduce somewhat the expenses pertaining to the average horse that does not win a race.

The committee asked what percentage of horses are registered. For the non-thoroughbred industry, it is in the low thousands, and in the thoroughbred industry, it is about 7,000 horses. Every one of them is registered and micro-chipped. As a cattle farmer, I live in fear of losing a tag or the Department coming in and finding that my herd register is not as it should be. I would really encourage the Department of Agriculture, Food and the Marine to get on top of that aspect.

Reference was made to issues with veterinary products. This is quite interesting because currently the most simple antibiotic of all, crystalline penicillin, is an illegal product to use on horses in Ireland. It is also the product that has the lowest threshold of issue in relation to human health, but because this product is not available, due to very simple administration, vets cannot use it. Two years ago we had a problem with an abortion vaccine which was available over the Border, but no vet could legally give it here. Last year, we had a problem with supplies of a reproductive hormone running out, yet it was available throughout the rest of Europe. Perhaps the Department would investigate putting the horse into a minor species status. I am not looking to use any product we should not use, or any product that is not safe to use, but if it is safe to use in Britain and Germany and France then it is a pity not to use it here.

The other problem is that the market for veterinary products has become so small that most of the pharmaceutical companies now do not want to research new products or vaccines for us. Deputy Heydon asked how we compare with the UK. Its national hunt industry now has less than 600 mares in England and it worries me to see our national hunt band also falling. At our premier national hunt sale, which is in the Derby sale, 15% of the horses are French bred. I would hate to get to the situation where horses are being bred in France for us to buy in order to sell them in our premier sale. It is something we need to keep an eye on but we are up against a breeding and racing industry that is heavily subsidised. I thought we were supposed to be in a Single Market but these are the people who strongly advocate against us and for racing and breeding in France. It is a real pain.

Deputy Heydon asked about the foal levy. There is a levy payable on every thoroughbred foal. Only the Thoroughbred Breeders' Association can attend to the international issues in relation to horses and the national issues, etc. We are the representative body. Irish thoroughbred marketing has to be co-funded by the breeders' association. We must do this by statute so we have to raise the money and a big chunk comes from fund-raising. The figure of €800,000, which is by far the biggest amount of money, comes from breeders and goes into the Irish Equine Centre. That is what the money is used for. It is also used for the alliances for racing and for veterinary procedures. I am pleased to say that our European lobbyist is here today in the Visitors Gallery. We are working on behalf of breeders everywhere.

The levy is based on the amount of fee and is more than progressive. For example, the most expensive foals - the top 11% - will pay 40% of the levy. An average levy of €65 will be paid for 53% of the foals. That is to pay the Irish Equine Centre, Irish Thoroughbred Marketing and all the myriad schemes that we have put in place. I suggest this is incredible value for breeders. When, in the cattle business, I look at my returns from the meat factories and I see the stoppages coming out, then the foal levy is small beer. The Irish Thoroughbred Breeders' Association does the best it can with that money and there is a 98.3% compliance rate with the levy. This House would be delighted if every tax had the same level of compliance.

It has been suggested that we might bring in a mandatory sales levy. A levy proposed by others was to be 1% and only apply to sales of horses in Ireland.

Unfortunately the only cohort that would get hit with that levy is the commercial Irish breeder who sells in Ireland. The breeders who sell in Britain would not be caught with it and neither would the big owner breeders and the bigger farms in the country, so I cannot see the merit in that. It is something towards which we are pretty reactive, to try to change. We are trying to make it fairer on everybody.

Senator Mary Ann O'Brien was concerned about quality, and it certainly is a concern. We have had too many mares and we have gone through a dreadful period of reorganisation in the business. Unlike any other form of animal, the supply does not just cut off. We have to keep running with it. Mr. O'Dwyer has suggested 9,000 as the figure we can probably produce, but it must be quality. The world market shouts quality. I am pleased to say that no matter where one looks at racing throughout the world, most of the top horses in Hong Kong, Singapore and Australia at the moment are Irish and Irish bred. That is where our future market is. The drive is for quality and for that market. I hope the British market improves but it needs to get a few quid off the bookmakers to improve it.