Michael Creed (Cork North West, Fine Gael) | Oireachtas source

I thank the Deputy for her question. I recognise fully the potential difficulties farmers and citizens, including those in the Border counties, are likely to face in the event of a hard Brexit, given the highly integrated nature of agri-trade and commercial, social and cultural interaction on the island of Ireland. However, from the beginning of the Article 50 negotiations Government policy has been to maintain a trading relationship with the United Kingdom as close as possible to the current configuration and, in the case of the island of Ireland, to avoid any kind of border. The position of the Government on this matter could not be clearer. As a response to Ireland's concerns, the special position of Ireland is explicitly recognised in the Article 50 negotiating guidelines which indicate that flexible and imaginative solutions will be required to avoid a hard border. That is also the position articulated in Prime Minister May's letter triggering Article 50 on 29 March 2017 and it is equally reflected in the position adopted by the European Parliament. The need to protect the Good Friday Agreement and the common travel area is a critical part of this dynamic. All of the institutions of the European Union and the UK Government are ad idem on these principles and I believe there is also a broad political consensus in this House to do so. Clearly, the best protection for farmers in Border counties lies in the avoidance of a hard border.

In the meantime, my Department and I have been actively engaged in assessing the potential impacts of Brexit on the Irish agrifood sector, consulting stakeholders and engaging with political counterparts across Europe to sensitise them to the particular issues on the island of Ireland. This work is being done in conjunction with the overall Government response led by the Department of Foreign Affairs and Trade. An issue of particular concern to my Department, for example, is the need for any post-Brexit trade arrangement to deal comprehensively with sanitary and phytosanitary, SPS, standards and controls in order to avoid the need for border controls for animals, plants, and products of animal or plant origin. However, the most immediate challenge for farmers is the impact caused by the significant drop in the value of sterling against the euro. My Department and I, in co-operation with the Government and other Departments and agencies, are attempting to mitigate the consequences through a range of actions under two distinct pillars - competitiveness and diversification. My Department introduced a number of measures in budget 2017 to help to reduce costs and improve competitiveness at farm level, including the introduction of a €150 million low-cost loan scheme, agri-taxation measures and increased funding under the rural development and seafood development programmes.

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In budget 2018 I provided for a €50 million Brexit package to provide priming for a new low-cost loan scheme for farmers and food businesses, to provide additional funding for Bord Bia's marketing and promotional efforts and to fund the kind of investment in competitiveness, innovation and product development that will be critically important for the development of the Irish food sector post-Brexit. I also provided €25 million in additional funding for the areas of natural constraint scheme and €626 million for rural development measures, including a 40% increase in funding for TAMS, all of which will be of assistance to farmers in the Border area. The Government remains very focused on supporting farmers and the agrifood industry through the challenges ahead. I will continue to consult the industry as the negotiations develop and press Ireland's case for continued free access to the UK market, without tariffs or burdensome customs and administrative procedures.

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