Seymour Crawford (Cavan-Monaghan, Fine Gael)

Farm income fell nationally by 40% between 2008 and 2009. In wetland areas the fall in income was much more, but thank God weather and prices have been much better this year.

I thank the Taoiseach for agreeing to have a debate on agriculture but, to be blunt, it was not the debate I had asked for. The two main issues I raised were the delay in area aid payments to such a large number of hard-pressed farmers and the difficulties in the pig industry resulting from the massive increases in feed prices and, on the other hand, the decrease in the returns by 6% to 8% per kilo.

I admire the Minister's ability to get positive press comments. I note a comment that 75% of applicants received payments within 15 days. That sounds good but, to be blunt, it means very little to 25% who have not been paid. My telephone is hopping off the hook with calls from people who have not yet received their area aid payments and they realise it will be a serious problem for them regarding their single premiums. Many of these people submitted their applications last May. The last telephone call I received before I came into the House was from a farmer in west Cavan with an fairly extensive farm. He had a dual claim on his file, which was sorted out last May but he still has not received his area aid payment and therefore he will not get a single premium. Furthermore, two groups are talking about bringing him to court because of the delay in obtaining payments from him and they have no guarantee as to when they will get them. While the Minister has made some changes, it is essential as many as possible are paid as quickly as possible. It is now over 12 months since I spoke to the Minister regarding the serious banking problems faced by many in the pig industry. He claimed then he was leading a group to deal with the issue but some viable pig farms still depend on long-term credit from their feed suppliers 12 months on. This is, in turn, puts pressure on the feed industry while the farmers end up paying an added premium for the necessary feed meaning they cannot afford to shop around, as the Minister for Health and Children, Deputy Harney, would advise them to do.

The report recommends a 50% increase in dairy production in the next ten years. However, nothing has been done to provide the necessary marketing for any such increase. Only last Tuesday, some of the main dairies pointed out they are holding milk prices for September, yet current quota levels have been met. There is no point in farmers producing 50% more milk while getting 50% less for the finished product as happened in 2009. I support the idea of producing more but it must be organised with a proper marketing structure. Will the Minister accept it is nothing short of a national scandal that liquid milk farmers only receive 23% of what the consumer pays for their high-quality and high-cost product? This cannot continue. A litre of water which costs nothing to take from the ground costs more in the shops than a litre a milk. The Competition Authority has worked only one way, that is, against organised producers trying to get a reasonable income and in favour of Tesco, Dunnes Stores and Asda, which continue to rip off all agricultural producers. Some of these stores, such as Tesco, also repatriate massive profits to their home countries.

The Minister can no longer ignore the urgent need to introduce legislation to create a level playing pitch in these areas. If action is not taken, such as in labelling, we can never hope to create the environment for the important and achievable proposals mapped out earlier by the Minister. If the Minister does not deal with the nitrates directive constructively, the pig, poultry and intensive dairy industries will not only be unable to expand, but will see further decrease in their production capacities. An extension is desperately needed to retain the current nitrates regime for a limited time. Strong constructive steps need to be taken to utilise chicken litter and pig slurry as alternative energy sources. Deputy Doyle has suggested the high number of major pig and poultry farms in Cavan and Monaghan could lead the way in this new energy source.

Over a year ago I brought it to the Minister's attention that farm waste management grants were still not paid to some farmers after they had installed waste disposal structures on their farms. This was due to a change of personnel in the Department and views on particular waste management structures even though many of the farmers' neighbours received full grants for identical structures. This has gone beyond a joke. Many of these farmers have young families and are in a vulnerable position with capital and credit facilities. Will the Minister resolve this unfair station?

According to Teagasc figures, farm incomes dropped by 40% last year but those applying for farm assist grants hit a bureaucratic stone wall with little or no understanding of their plight. Those who had their applications turned down must wait 18 months for an appeals hearing. The Minister must ensure these matters are dealt with quickly and fairly.

Many in my constituency are concerned about the lack of funding for the proposed 10,000 hectare increase in land given over to forestry. In 1995, some 25,000 hectares were planted with forestry. While capital is scarce, it must be found to increase our afforestation programme. It will assist our reductions required by climate change regulations. For the first time in the State's history, Irish firms are exporting timber products to Britain and France. It is one sector that can help drive growth in exports.

I appreciate what the Minister has done for those left in the mushroom industry. There used to be up to 500 farmers in mushroom production but it is now down to between 70 and 80. The massive investment made through the years by hard-pressed sectors in the agriculture industry, such as pig and poultry producers and mushroom growers, must be recognised. It is important the banking system is geared towards helping them out in these current economic difficulties.

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