Tom Hayes (Tipperary South, Fine Gael) | Oireachtas source

I offer sincere thanks to everybody who contributed to this debate. The contributions have been extremely helpful. I assure Deputy Ó Snodaigh that this report will not be put on a shelf to gather dust, because it is a very constructive report. Once again, I thank Deputy Doyle for his leadership in bringing forward this thought-provoking and worthwhile report.

Deputy Durkan spoke about the use of good quality land for forestry. I will address that point later. The production of food will be very significant as the economy develops, challenging developing nations, and we need to work with our European counterparts to address the economic ills we have endured for the past couple of years. Agriculture is a significant part of job creation, not only in the cities but across rural Ireland. I read in today’s newspapers about the divide between city and country in Ireland. Deputy Ó Snodaigh made the point that they need to understand each other better. He is absolutely right. People living in the cities need to understand the rural way of life, the economic difficulties that weather can bring to farmland and the financial issues that often pertain in rural areas. That understanding has begun to develop in recent years, along with a real understanding that we work together to create jobs. We are world leaders in food production. The dairy industry in Ireland is a world leader. Around the world people regard Ireland as uniquely positioned to increase production. The lifting of milk quotas is giving young people an opportunity. This is the first time in 35 years that people can increase milk production. That will have a significant effect on rural Ireland. The restrictions were lifted only a few weeks ago.

Now there is a new, fresh air about the future. Last Tuesday night, I stood in Tipperary Co-op and spoke to the management team there. They show great enthusiasm for the opportunities they see for increased milk production because of the removal of the quota and for job creation for builders, plasterers, roofers and others to build the required facilities. Significant work and effort will go towards increasing milk production, through better grass production and better usage of land.

We speak about Ireland's exports and we are exporting food to 175 countries worldwide. In 2014, the value of Irish food and drink exports increased by 4%, to reach €10.45 billion, representing an increase in value over the past three years of €3.2 billion or 45%. The dairy and beef sectors were the strongest performing categories in 2014, representing approximately €3 billion, or 29%, with €2.3 billion of food and drink exported respectively. Prepared foods grew by €135 million. Exports to the UK market are the highest, at 40%, which now equates to €4.2 billion of total Irish food and drink exports in 2014. Exports to the Continent come next at 31%. Exports to international markets are at 29% and the growth in exports was led by Asia, which showed an increase of almost €270 million, to reach €850 million for the first time. Within this, China recorded a further jump of almost 40%, to reach approximately €550 million, making China our sixth largest export area. Therein we see the opportunities and the potential.

In the agrifood sector, an environmental analysis of the agrifood strategy to 2025 is running in parallel with the 2025 agrifood report to ensure that environmental sustainability is fully incorporated in the final report. An environmental scoping consultation process has already been initiated. For Ireland, with a population of only 4.5 million, food security is not a critical national problem. We are in the fortunate position of being able to produce enough food to feed 35 million people. This will rise to over 50 million by 2020. This is the real opportunity for this country. With organisations like Bord Bia and the Irish Dairy Board working across the world, I have no doubt we will make a name for ourselves in the years to come.

Deputy Durkan spoke about the important issue of land use. I agree there is no point in planting trees on our best land. However, we need to get people to understand and appreciate that forestry is part of good land use for the future. We have significant marginal land across the country, particularly in the west, and it could be used far more profitably for forestry. There is an issue with the hen harrier in that regard that we must address and I assure Members and the public that we will work to resolve that issue with Europe as soon as possible. We need to take the fear out of the forestry sector. Some €240 per acre is available tax free for the planting of land and for putting marginal land into forestry while allowing farmers to retain their single farm payment. This incentive is backed by the Government and is provided for the next 20 years and beyond. The package has been approved and should be used in the future in the context of land use.

Deputy Ó Cuív referred to GLAS and to issues with it. Much thought went into the scheme and significant discussions were held. I attended those meetings and I know it took hours of frustration to try to find ways and means to deal with the issues. Mention was made of cages for birds and similar issues. I suggest the agriculture sector should look at GLAS as a positive way of protecting the environment and of making rural Ireland a better place. It should be looked at as a means to repair the walls that have been neglected for years, as a means of doing up farm sheds and of raising land nutrition levels. GLAS provides a substantial payment, although it is different from the REP scheme. Perhaps people developed bad habits with the REP scheme in the past. I urge people to consider GLAS as a way forward.

The Deputy mentioned that the issue of biogas has been on his mind for some time. Teagasc is installing an anaerobic digester in its Grange facility to study this issue. I see this as positive. Recently, I came across an instance in the horticultural sector where residue from growing mushrooms was being used to create energy. We want to encourage and develop such experiments where possible. However, such endeavours must be competitive with the cost of electricity. Teagasc is looking at the opportunities in this area.

I thank all Members for their worthwhile contributions to this debate. I thank in particular the Chairman of the committee, Deputy Andrew Doyle. I assure him that this report will not be left on the shelf, but will be used effectively in the future.

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