Brendan Smith (Cavan-Monaghan, Fianna Fail)

In preparing the 2009 Estimates for the Department of Agriculture, Fisheries and Food, my approach has been to focus available resources on measures that allow us to maintain and grow the productive capacity of the agri-food sector. That involved making choices, some of them difficult, but the choices I have made will facilitate the continued strategic development of the agri-food sector.

Notwithstanding the current economic difficulties, the total expenditure by the Department in 2009, in support of the agriculture, fisheries, food and forestry sectors will be more than €3.2 billion. This high level of investment reflects my commitment and that of the Government to the bio-sector and our recognition of it as one of the most important indigenous manufacturing elements in our economy, both from an employment point of view and as a major contributor to regional development.

In addition to the significant amounts of money that are continuing to be invested in agriculture by the Government in 2009, I am particularly pleased that the Minister for Finance has recognised the value of several tax reliefs to the sector and that he has renewed these measures, notwithstanding the pressures on him. The renewal of these measures is further evidence of the Government's commitment to the development of a competitive agri-food sector at a time when it can play a pivotal role in helping to address global food security concerns.

It is perhaps ironic that at this time of global economic downturn, the prospects for agricultural commodities on world markets are good. Currently, prices for a wide range of commodities, particularly dairy and some cereals, are higher than they have been for many years and there is general agreement that in the medium term, at least, prices are unlikely to return to their historically low levels.

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