Colm Keaveney (Galway East, Labour)

I welcome the opportunity to speak on the motion. The agricultural and agrifood sectors are playing a key role in this country's export-led recovery. The positive growth in the sector in 2010 which has continued into 2011 with output in primary agriculture and agrifood exports is far outpacing other areas of the economy. As the previous speaker indicated, more than any other industry the benefits of agriculture, both economic and social, are widely dispersed throughout the country. Farmers and farm families spend approximately €8 billion per year in the economy both on farm inputs, services and household expenditure. Agriculture and the food industry support 300,000 jobs across the economy.

I welcome the Minister's comments last night on the strategic approach to how we will tackle the upcoming Common Agricultural Policy reform measures. Farm schemes and investment programmes which include REPS, the suckler cow scheme and the disadvantaged area schemes are vital to underpinning agricultural production, improving competitiveness and maintaining the viability of farms. In that regard I had the honour of meeting with the county executive of the IFA in Galway. We had a professional engagement about its concerns. I come from an area that relies heavily on the disadvantaged area scheme. I note that the Commission is currently conducting a review of the disadvantaged area schemes. It is an important issue for this country as the total area designated as disadvantaged is approximately 75% of the total land mass of the country. From an economic perspective the less favoured area scheme is of particular concern to me. I urge the Minister to pay special regard to payments for disadvantaged areas and the effect they have especially on the distributional nature of income and revenue.

Coming from a rural town I see the benefits to the economy generated by agriculture in that when a farm is doing well the community is doing well. A farmer will honour his or her debts and will spend money in the local shop and on back to school requirements. We must underpin farming income in disadvantaged areas in particular. I urge the Minister to pay particular regard to that in the upcoming negotiations.

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