Dáil debates

Friday, 5 March 2004

An Bord Bia (Amendment) Bill 2003 [Seanad]: Second Stage (Resumed).

 

11:00 am

Photo of Trevor SargentTrevor Sargent (Dublin North, Green Party)

Tááthas orm deis a fháil labhairt ar an mBille seo. Is cúis bhróin dom go bhfuil, taobh thiar den Bhille an plean An Bord Glas a chur ar ceall go h-éifeachtach agus An Bord Bia a bheith mar an t-aonad amháin a bheidh ag plé le chúrsaí glasraí go mórmhór.

As a spokesperson on agriculture and a Deputy representing north County Dublin, I am aware of the untapped potential for field crop production throughout the country. There is a tradition of such production in north County Dublin. There is excellent soil around Rush and the area I represent but it is not unlike many areas of the country. However, there does not appear to be a tradition, or it might be a lost tradition, of field crop production in many other parts of the country. There is huge untapped potential.

That has not been helped by the paucity of farmers' markets in this country compared with other EU states. A survey by Bord Glas received coverage in The Irish Times less than a year ago under the title, "Dublin leads the field in vegetable farming". While the report appears to indicate that Dublin is amazingly unusual in that regard, all it really indicates is that the country is doing so badly in exploiting the potential of horticulture that Dublin is leading the field even though it is smaller than many other counties. The survey found that Dublin growers account for 41% of field vegetable production in the State and 50% of the total farm gate value. It excluded potato production but despite that these are amazing figures. They indicate enormous untapped potential throughout the rest of the country.

The survey indicated that the estimated farm gate value of field crops in 2001 was €43.9 million and that this represented a 6% increase in the total farm gate value since 1999. As the business has become more specialised there has been a 22% decrease in the number of growers to 294, a worrying trend, and 889 people are employed on farms, a 14% decrease since 1999. According to the report: "The decrease in the number of growers producing field vegetables, coupled with the relatively static area under production, is evidence of a greater degree of specialisation and scale within the field vegetable sector." That indicates a number of trends which we must examine closely. Specialisation in itself indicates a loss of connection between the grower and the consumer. When a producer is specialising to fulfil contracts with customers such as large supermarkets, he or she is less able to focus on the needs of the consumer. It leaves growers in a vulnerable position.

We have seen the figures for farm gate value but many farmers have not seen a rise in prices even though the consumer has. It is a most frustrating business for the grower. Growers tell me from time to time, and I do not know if this is a considered view or they are just having a bad day, that they do not see themselves continuing in the business for much longer because it is too difficult and the return is small. They foresee even more difficult times ahead. It is sad to hear them speak like that, particularly when one considers another survey by Bord Glas which indicates that vegetable field crop production is larger than sheep, pigs, poultry and cereal production. The report would be of interest to Deputy Ó Fearghaíl who spoke about pig meat production.

According to the report, only beef and dairying generate a greater value in primary production terms. In 2001, the field crop sector was valued at €369 million at farm gate level, according to Michael Maloney, chief executive of Bord Glas, and at retail level on the fresh produce side alone, sales of fruit, vegetables and potatoes are valued at €738 million annually and, as a category, retail spending on fruit, vegetables and potatoes is second only to dairy produce at €855 million.

The interesting aspect of the survey is that it indicates that the Irish consumer spends more each year on fruit, vegetables and potatoes than on fresh meat, frozen foods or any other category of groceries. From the health point of view, that is an encouraging statistic. However, it also adds to the frustration of many growers. When they read about the consumer spending so much money on their produce, they wonder why they do not get a greater cut of the financial return. CSO figures indicate that over the past seven years the price of groceries has increased by 26% but there has been virtually no increase in the return to the producer. Therein lies the cause of enormous frustration and, effectively, an Armageddon type meltdown for the horticulture sector.

It is vital that the Government deals with this. However, there does not appear to be a willingness to take action other than, in this case, to combine Bord Glas with Bord Bia. Bord Bia is a marketing agency focused on exports and the value of exports. Unless it is radically restructured, and there is no evidence of that yet, it will not deal with re-establishing the connection between the producer and the consumer. That is necessary if farmers are to find out what the consumer needs and how they can best serve those needs, thereby securing the best return for their produce from a business point of view. There is huge potential and we must convey that message.

Down the years local authorities have had an important but often overlooked role regarding the provision of local market areas in towns and villages. A farmers' market will open this weekend in Malahide and one opened a few months ago in Castlebellingham in County Louth. Markets exist also in Cork, around Dublin and in other areas around the country but these are the exception rather than the rule which is in contrast to other countries. Anybody who visits France, Germany or other continental countries will see the local market is a normal part of life in villages.

There have been many references to Napoleon in recent weeks, generally associated with the Minister for Transport, Deputy Brennan. However, I want to show Napoleon in a good light.

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