Enda Kenny (Mayo, Fine Gael) | Oireachtas source

Europe and the US are the two greatest trading blocs in the world. There are differences of opinion in some countries in certain respects. The French have specific concerns that relate to their culture. There are issues relating to software and to the Common Agricultural Policy. Having said that, it is important to open the gates and see where the discussions go.

There was an expectation that the Common Agricultural Policy cut would be much bigger than the cut that actually occurred. It was very important for Ireland, as a food-producing nation, that the question of flat-rate payments was dealt with. There was a strong lobby in favour of doing this on a per-hectare basis across the board, which would have destroyed the principle of productivity in this country's case.

If a person with a very high level, productive farm of, say, 400 acres of intensive dairy production, were to be paid on the same basis per hectare as a farm of 400 acres of poor ground with relatively little activity, that would destroy the level of productivity. Some of the other countries in eastern Europe are of massive scale and size and they clearly have a great deal of potential up front. That is why what Glanbia did in its decision to invest very substantial moneys in the south east is a recognition of its confidence for the future, when quotas go, and its confidence on where future productivity can actually come from. The projection of 1,500 jobs on farms is exceptionally welcome.

Everybody would like to see a situation where economic stimulus is provided and jobs created. One could say that, five years ago, this country was certainly Europe's problem but it is important it is one of the few with a positive growth projection regime, which is expected to grow further, and where confidence is beginning to return to the private sector in particular. In response to questions in the last fortnight, I pointed to the presentation given recently by Mr. Alan Gray in respect of the international economy in Ireland, the multinationals, the growth in numbers and the growth in exports, which are very important in the context of the continued strong line of investment into Ireland. The challenge is to deal with the indigenous economy, part of which is to get our public finances right. We are borrowing just over €1 billion a month to pay for social protection, public services and public service salaries, which is unsustainable, so that has to be dealt with. It is not an easy challenge, as the Deputy is aware.

I cannot recall tabling specific documentation here but, clearly, there would have been correspondence between the Permanent Representation on behalf of Ireland and the different committees. Whatever is relevant there, I can supply to the Deputy.

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