Michael Creed (Cork North West, Fine Gael)

It has become a predictable process that the Minister for Agriculture, Fisheries and Food issues a press release the week before an Agriculture and Fisheries Council meeting informing us of the current crisis and what he will ask of the Commissioner. After the meeting, he issues another press release stating that because of his intervention, the world and all has been achieved for the dairy sector.

The reality is that for both the producer and the processor there is a real crisis. Farmers being paid per litre of milk 7 cent below the cost of production illustrates their problem. The most recent profit warning by Glanbia is evidence of a crisis on the processing side.

Have the costs of all interventions, such as export refunds and aid to private storage, introduced by the Commission been quantified? Considering we are facing into the CAP post-2013 review, has it been determined whether these interventions are the most appropriate use of public funds to support the dairy sector? For example, has an alternative system been considered that might pay a direct subsidy to farmers to get them through this trough in demand?

Regarding the processors, is there any initiative forthcoming from the Department of Agriculture, Fisheries and Food or the Department of Enterprise, Trade and Employment on the long-promised export credit insurance scheme?

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