Dáil debates

Wednesday, 25 May 2011

Agriculture: Motion (Resumed)

 

8:00 pm

Photo of Shane McEnteeShane McEntee (Meath East, Fine Gael)

This debate has not alone been very welcome but also very encouraging, demonstrating a unity of purpose on all sides of the House to ensure agriculture and the agrifood sector will be at the centre of Ireland's economic recovery.

It is now accepted Ireland's economic recovery will be export-led. Bord Bia estimates 11% of all exports last year came from the agrifood sector, an increase of almost 8% over the 2000-2009 average. The agency also estimates that food and beverage exports may increase by 3.3% this year.

The impact on the domestic economy is also particularly important, as illustrated by the fact that economic expenditure on raw materials and services accounts for 72% of total expenditure in the food and beverage sector. Several speakers pointed to the agrifood sector's social as well as economic importance. The Government recognises the value of agriculture and the agrifood sector, including the fishing, forestry and drinks industries and fully appreciates the contribution they make to the national economy, as well as to many local rural and coastal communities.

Food Harvest 2020 charts the way forward for the next decade for this industry. The Government is determined to ensure its ambitious targets are met. As the Minister for Agriculture, Fisheries and Food, Deputy Simon Coveney, said last night, our job is to progress the implementation of the strategy and to build capacity so that we can build production.

Several Deputies identified the dairy sector as one which has enormous potential for growth with calls to change the quota system. This motion calls for an "orderly expansion of the dairy industry in Ireland between now and the ending of milk quotas in 2015." While the Minister, Deputy Simon Coveney, said he is trying to establish a coalition of countries that wishes to see dairy production expansion, the fact is that, as recently as last December, the European Commission came to the conclusion there was no need to revisit the quota elements of the 2008 Common Agricultural Policy health check agreement.

Nonetheless, we would like to see a soft landing for farmers in Ireland and other EU member states. Ongoing challenges experienced by some member states, including Ireland, in trying to achieve a soft landing, should be acknowledged by the Commission. Efforts should be made to help ensure a smooth transition from the milk quota regime in the period prior to 2015.

The dairy sector is of critical importance for this country. Several Members referred to the regulatory burden on the sector. The Department of Agriculture, Fisheries and Food has no desire to impose any unnecessary administrative burden on farmers or the agrifood sector.

Neither does it unnecessarily delay the processing of farm payments, as was suggested last night. For the processing of payments, it is necessary to have regard to the various EU requirements. For example, it is essential the Department's land parcel identification system is accurate. Any failings or shortcomings in the system would leave the Department open to a very real risk of significant fines. We cannot afford to take such a risk and we will not compromise the value of direct payments to farmers. The criticism of the Department for delays in processing applications is misplaced. Last year, Ireland was, once again, one of the first member states to release single payment funding.

Several speakers referred to the possibility of a trade agreement with the Mercosur group of countries. I share the deep concern of Members on all sides and agree that Ireland's interests must be protected. The preliminary results of the EU impact analysis bear out our concerns, which are primarily though not exclusively, about beef. All Members agree the displacement of Irish beef in the EU market by imported products would have significant economic and social consequences for rural Ireland.

Since my appointment as Minister of State at the Department of Agriculture, Fisheries and Food, I have been both impressed and encouraged by the optimism around agriculture and the agrifood, fisheries and forestry sectors. This debate has been constructive and positive and demonstrates a shared vision for the future of the industry. The past week has been a showcase for this country with the pictures from the State visits beamed around the world set to yield enormous benefits. The image of Ireland as a green country is one on which we must capitalise, creating that strong link for consumers between Irish food, high environmental standards and sustainable production.

Consumers must be at the heart of this sector and its development. In that regard, the Brand Ireland concept, with which Bord Bia is progressing, will be a crucial marketing tool in the years ahead. The Government's commitment is to work with all those in the industry to ensure it is greater than the sum of its current parts. My determination and commitment, and that of the Minister for Agriculture, Fisheries and Food, Deputy Simon Coveney, is to ensure agriculture, the agrifood and marine sectors play a central role as part of the Government's plans for economic recovery and that the targets of Food Harvest 2020 are not only met, but where possible, surpassed.

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