Dáil debates

Tuesday, 15 October 2019

Ceisteanna ar Sonraíodh Uain Dóibh - Priority Questions

Beef Industry

4:30 pm

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

There have been a series of formal negotiations with beef sector stakeholders, facilitated by my Department, since early August, culminating in an agreement being reached between stakeholders on Sunday, 15 September. The full text of the agreement is available on my Department's website.

The agreement involves a number of interventions which will provide immediate benefit for beef producers, as well as a range of strategic measures which seek to address structural imbalances in the sector.

Beef producers will benefit from an immediate increase in a range of bonuses. This will increase the level of bonus being paid on certain animals, as well as significantly increasing the number of animals eligible for bonuses. The cumulative effect is that over 70% of all steer and heifers slaughtered will now be eligible for a bonus on top of the base price paid.

A number of actions in the area of market transparency, beef promotion and strengthening the position of the farmer in the supply chain are included in the agreement. These measures set a course towards greater clarity for all stakeholders involved in the beef supply chain primarily.

My Department is also proactively engaging with several potential beef producer organisations, which have to potential to strengthen the bargaining power of beef farmers in the supply chain. Two beef producer organisations have been formally recognised by my Department in recent weeks.

I have established a beef market task force to provide the leadership to develop a sustainable pathway for the future of the beef sector in terms of economic, environmental and social sustainability. The task force will provide a robust implementation structure for commitments entered into in the agreement, with timelines and stakeholder engagement. Furthermore, the beef market task force will offer a suitable platform for strategic engagement with key stakeholders, including retailers and regulatory authorities.

I have appointed Michael Dowling as independent chair of the task force, the membership of which includes representatives from my Department, relevant State agencies, farm organisations and the meat industry.

The beef task force meeting scheduled for yesterday, 14 October, was adjourned as members of the task force were prevented from attending the meeting. It is in the interests of everyone involved in the beef industry that the work of the task force goes ahead. The task force’s remit is to monitor the implementation of the actions arising from the agreement reached on 15 September and offers the most viable platform for strategic engagement with key stakeholders. It was a great pity that farm representatives were not in a position to air the legitimate concerns of farmers at the task force.

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