Seymour Crawford (Cavan-Monaghan, Fine Gael)

Farming for many is at a crossroads. With no leadership or support, its outlook is serious. The beet industry is finished. The mushroom industry is on its knees. Poultry units lie empty while dairying, the lead sector, is now experiencing serious problems. Dairy farmers in trouble are now turning in frustration to co-operative societies. The decisions taken at EU level by the then Minister for Agriculture and Food, Deputy Walsh, who was in charge of Ireland's EU negotiations, with the Taoiseach present, are now coming home to roost.

The export of skimmed milk powder to countries outside the EU has become uncompetitive by up to $300 per tonne, given the weakening dollar, the reduction in export refunds and the increased competitiveness from the US and Oceania. The competitors from some of those countries have a different quality control for their products. The Fischler reforms of Agenda 2000 and the mid-term review in 2003 are taking effect, with more to come on 1 July. This year sales of butter into intervention are higher than last year. It will soon reach the reduced quota limit of 50,000 tonnes. As the outlook is not good, some of the biggest and best dairy farmers are simply getting out of the sector.

Last week, the Agriculture and Rural Development Commissioner, Mariann Fischer Boel, made it clear in the Chamber that she is not aware of the seriousness of the problem. Action must be taken. We cannot allow the bureaucrats from Brussels to end the livelihoods of our farmers. The Government must also take action as it has some leeway. Even removing the disease and the dairy inspection levies would mean €600 to €800 to the average dairy farmer, a small goodwill gesture when the State's coffers are awash with money. There is no reason the levies cannot be abolished as they do not exist in Northern Ireland.

Poultry farmers are at the end of their tether, with many units closed and others partially filled, resulting in no profits. Yesterday I spoke to a poultry breeder whose hens were slaughtered because the hatchery does not want the eggs. This will head up through the system, causing changes at the factory end in the next several weeks. The problem was caused by news reporting of avian flu. It cannot be ignored by the Government as it was outside farmers' hands.

Mushroom growing was once a thriving national industry with two thirds of it based in counties Cavan and Monaghan. It has since been reduced to a small number of growers. Many of those left have made major investments in their operations with Government supports. However, if no real action is taken soon, the industry will be gone. How can a farmer be expected to sell mushrooms at less than 70 cent a pound when production costs stand at 75 cent a pound? Are farmers supposed to give a service, create employment, provide the raw materials for industry and then receive no return for their labour or investment and lose money?

When the BSE crisis broke out, the then Minister for Agriculture, Food and Forestry, Ivan Yates, was brought to his knees in the House. The IFA walked out of meetings. The then Government fought the case at Brussels and got improvements for Irish beef exports. The Minister for Agriculture and Food must highlight the crisis for farming at Cabinet and in Brussels to secure as much support as possible for hard-pressed farmers before it is too late. The nitrates directive has still not been imposed, something else they will have to bear. A Minister of State, a former president of the IFA when some of the negotiations took place, admitted in this House to Commissioner Fischer Boel that he can no longer afford a farm manager to run his farm. Other farm leaders are leaving farming and instead going into industry. The biggest and best are selling out and the industry is in crisis. The beet industry has gone. Do not let the others follow.

See this speech in context