Michael Creed (Cork North West, Fine Gael)

I wish to share the remainder of my time with Deputies McHugh, Burke and O'Mahony.

It is difficult to recall a moment in our economic history when so much stands to be lost from the failure of this Government and its predecessor to defend a vital national interest. The failure of the Minister for Agriculture, Fisheries and Food, the lead Department in this fiasco, even to quantify the consequences of failure is troubling in itself. It is matched only by the "pass the parcel" approach in Government, with the Taoiseach-elect, Deputy Brian Cowen, refusing to engage on the matter until his appointment is confirmed. Deputy Cowen leaves the Department of Finance in a precarious state. Unemployment and inflation are on the rise, competitiveness is slipping and tax revenues have slumped. Any would-be Minister for Finance should bear in mind that if Mr. Mandelson's proposals for agriculture under the World Trade Organisation agenda become a reality, the picture will grow far bleaker. Thousands of jobs at farm gate level and in the agribusiness sector will be lost and farm incomes will fall significantly. We are undoubtedly in the last chance saloon and the signs from the Government benches are not encouraging.

Before dealing with the specifics of the motion, some general observations are required to put the debate in context. In the past 20 years, the EU has slipped significantly as a trading bloc in agricultural commodities. Our share of world imports of virtually all agricultural commodities is increasing far faster than our share of exports. This is nowhere more evident than in the meat sector where the EU share of trade is down in volume terms from 12% to 9%, even though volume trade in meat doubled in the same period. The latter is no surprise when one considers Chinese consumption per capita grew from 20 kg to 50 kg between 1980 and 2008. The same is true for the dairy sector, with the EU share down from 31% to 17%.

This clearly proves that the EU, as represented by its Commissioner for Trade, Mr. Mandelson, is accelerating an existing trend of systematically exposing its citizens to increased dependence on imports of dubious quality. Ireland, as an agricultural trading and exporting nation, is being prevented from capturing emerging markets, such as China and India, which will be left instead to those who outmanoeuvre and outsmart the EU in negotiations, whether the United States, Brazil, Argentina, New Zealand or Australia.

This decline in the EU position has occurred at the same time as the cost base for farmers within the Union has increased significantly. Reforms of the CAP and other initiatives in this period have seen consumer concerns move centre stage with issues of food quality, animal welfare and environmental policy at the core of every farmer's daily life. The 2003 CAP reforms were widely believed to be the EU's contribution to the world trade deal emanating from the Doha round. The understanding was that the radical changes farmers had to make to meet the reform requirements were the quid pro quo for a WTO deal.

The reality of our predicament, however, is that we have been negotiated into a situation far beyond what was asked of the agricultural sector under CAP reform. Concession after concession has left our beef and dairy industries in peril, led to continuing hikes in the cost of food and exposed consumers to unacceptable levels of risk. The future viability of the family farm structure as we know it is in jeopardy. I have asked the Minister for Agriculture, Fisheries and Food to lay the facts before the House. She must admit openly to agriculture producers and consumers the type of impact the current WTO proposals will have on the Irish economy. However, she is either unable or, more likely, deliberately unwilling to divulge to the House any substantial evidence of economic analysis undertaken by her Department to assess the situation.

I am glad the Minister of State at the Department of Enterprise, Trade and Employment, Deputy McGuinness, has come to the Chamber for this debate. As Deputy Kenny observed, the figures from those working in the industry, at both farm gate and food processing level, are stark. These figures are undisputed by the Minister and her Department. Some €4 billion is being lost to the economy on an annual basis. There have been 50,000 job losses at farm gate level and a further 50,000 in food processing. This is not merely a problem for the agricultural sector. The beef and dairy industries together contribute an estimated €6 billion to the economy in terms of goods and services. How will this revenue be replaced if the current WTO proposals are implemented?

Apart from the obvious economic carnage in the countryside and the job losses in the food processing and agribusiness sector, several other non-trade issues have not been taken into account in the current negotiations. In a nutshell, we are legalising large volumes of imported food from outside the EU that it would be illegal for Irish farmers to produce. We are also, in one fell swoop, undermining the biosecurity of the agricultural sector and exposing consumers to salmonella, antibiotic resistance, hormone fed meat, avian flu, foot and mouth disease and a whole host of dangers as yet unknown and unquantified. I say to the Minister: "Thanks but no thanks". I say the same to the Commissioner for Trade, Mr. Mandelson. This is a time when the interests of farmers and consumers are at one. That alliance requires political expression but such expression is sadly lacking from the Minister and the Government.

Non-trade issues, including climate change and food security, should be centre stage at the WTO negotiations. We have received warnings from the International Monetary Fund, the World Bank and the Food and Agriculture Organisation of the United Nations in recent days relating to food security. At the beginning of this month, the Haitian Prime Minister was forced to resign because of food riots in that country. Export bans and national inquiries have been introduced throughout the world in an effort to maintain local supplies of food. Yet, this week was the first time I read a statement from the Minister on this issue when she spoke about food security in the context of WTO negotiations in a press release arising from the recent Council of Agricultural Ministers.

We are in our current situation because of the failure of the Minister and the Government. No amount of bonhomie with farmers can mask that fact. This has happened on the Minister's watch. While she may be preparing for pastures new, many farmers and others are facing the annihilation of their livelihoods. Has the Minister ever bothered to meet the Commissioner for Trade, Mr. Mandelson?

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