Seán Connick (Wexford, Fianna Fail)

The national recovery plan published by the Government recognises that future policy must be focused on areas where competitive advantage can be achieved and it acknowledges the contribution that Irish agriculture and the Irish agrifood industry makes and will continue to make to help boost competitiveness and increase employment in the economy. Exports by this sector amounted to approximately €7 billion in 2009, representing half of all exports by indigenously-owned firms. During the first five months of 2010, the value of exports was more than 8% higher than a year earlier, at almost €3 billion and the rate of recovery has accelerated as the year has progressed with exports growing by 14% in the third quarter. The sector is also highly labour intensive and is a vital part of the rural economy.

The plan rightly acknowledges Food Harvest 2020 as a comprehensive and considered roadmap for the development of Ireland's key indigenous sector. Ireland can grow its exports of food and beverages by one third to €12 billion annually. We can increase the value of primary production by our farmers and fishermen by €1.5 billion and value added in processing by €3 billion. The ending of milk quotas in 2015 represents an exceptional opportunity to grow our milk output by an estimated 50%. We can, and must, improve our cost competitiveness by 20%, relative to our competitors. All of these issues have fed into the development of the national recovery plan and are key elements which contribute to our return to economic stability and growth.

Regarding the Department of Agriculture, Fisheries and Food, the plan identifies the level of departmental savings that have to be achieved over the period 2011 to 2014. The Department will be required to achieve savings of €75 million in 2011 and a further €120 million over the following three years. Based on the savings that have been identified for 2011, decisions on expenditure across all subheads will be finalised in the context of the 2011 Vote for the Department which will be announced on budget day, 7 December. While the overall savings to be achieved in the following years has been identified, specific decisions on individual programme expenditures in those years have not been taken. Such decisions will be taken as part of the annual Estimates process in each of the years 2012, 2013 and 2014.

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