Michael Collins (Cork South West, Independent)
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I welcome the witnesses. I have been looking at how the IFA has worked so far. The IFA's national sheep committee brought the campaign for stronger support of the sheep sector to the Department on the afternoon of 21 February. The IFA sheep chairman, Kevin Cumiskey, submitted a letter to the Minister, Deputy Charlie McConalogue, highlighting the deepening income crisis for sheep farmers and setting out the urgent need for immediate direct supports. This was requested by the chair of the Food Vision group last Friday. Following a request from the Minister, the chair of the Food Vision beef and sheep group convened a meeting of the group, focused on the sheep sector, last Friday. The purpose of the meeting was to discuss the market situation in the sheep sector, with presentations from the Department, Bord Bia and Teagasc on current supports and activities to inform stakeholders' discussions on what more can be done to support the sector in the current crisis.

As outlined in the meeting, the sector is currently in crisis, with sheep farmers' margins effectively being wiped out. They dropped 81% to just €7 per ewe in 2022. Based on the presentations from both Teagasc and Bord Bia, there are limited opportunities for any significant increase in 2023. This crisis can only be alleviated by immediate direct supports for the sheep farmers from the Government. In fairness, it provided a package for the pig sector last year, which is badly needed for the sheep sector. Direct, targeted supports of €30 a ewe to support economic viability of the sector must be provided. Store lamb finishers are a vital outlet for sheep farmers and play a key role in our production supply systems. Direct supports are critical to maintain this outlet for hill sheep farmers. Farmers must be directly supported to offset the cost of shearing and incentivised to present wool in optimum conditions to facilitate further processing.

We need action now. Without it, the second largest farm sector in Ireland, which operates on 36,000 farms, many of them in my constituency in west Cork, on some of the most difficult land types in the country could be at risk. The committee's decision to visit the Department follows on from last week's protest in Roscommon town where hundreds of sheep farmers rallied to highlight the worsening crisis in the sector. The IFA made a case to the Minister that a support of €30 a ewe was needed for the sector. Instead, the Minister went with €12, which is way too low, given the impact of inflation on the sector. Have the witnesses left it too late? Many are critical of the IFA and have said it has moved too late on this. Why did the IFA wait until there was a crisis in the sheep sector? Why were these measures not brought forward when the Minister announced a support of €12 a ewe? The IFA waited until the trade had hit rock bottom.

I have a couple more questions, which I will pull together because I want to give others a chance. Kevin Cumiskey said the process agreed was so great that they were effectively destroying their own supply. The further price pressure in recent days is not acceptable. As we approach the key religious festivals in March and April, demand for lamb will improve. Factories must immediately reflect the improving market conditions and the price they pay.

Why do the witnesses think the processors are allowed to dictate the price from week to week in the mart trade? What relation does this have to the importing of lamb into Irish markets that is going through the factory gates for processing? What quantity of lamb and sheep are being imported and going through factories in Ireland at present? What stamp of origin is on them as they leave the factories or head for retail in Ireland or are exported back out of the country? In other words, is this meat stamped with Bord Bia approval?