Simon Coveney (Cork South Central, Fine Gael)

The recent E. coli outbreak resulted in significant loses for horticultural producers and traders across the European Union. Thankfully Ireland was not affected to the same extent as the main exporting countries such as Spain and the Netherlands. The sharp fall in consumer demand in light of the crisis resulted in a significant surplus of produce on the EU market.

I attended a specially convened Agriculture Council meeting in Luxembourg on Tuesday, 7 June 2011 to discuss both the public health and the market related issues involved. The Council was briefed by both Commissioners for Health and Agriculture. There was an extensive discussion on the need for a fully funded EU market measure and I am pleased the Commission responded promptly to that demand.

In an effort to remove the surplus product and contribute to the restoration of market balance, the Commission introduced a scheme with an EU wide budget of €210 million. The scheme, which is fully EU funded, runs from 26 May to 30 June 2011 and covers cucumbers, lettuce, tomatoes, courgettes and sweet peppers. The rates of EU aid on offer are specifically targeted to attract unsold product on the market. In addition, an EU-wide co-efficient will apply to reduce the rates of aid payable if the budget is oversubscribed.

To date more than 48 tonnes of unsold Irish cucumbers have been destroyed under supervision by the Department in line with the EU scheme. A significant proportion of this produce was destroyed in the immediate aftermath of the E. coli crisis when Irish demand for cucumbers fell significantly. As the scheme remains open until the end of June, a final figure for product withdrawal is not yet available. With the exception of cucumbers, the Irish market has now strengthened to the extent that most of the reduction in demand for salad products is more due to changeable weather than E. coli. Cucumber sales have been slowly recovering but the recovery will take some time.

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