Dáil debates

Wednesday, 18 December 2019

Ceisteanna (Atógáil) - Questions (Resumed)

Cabinet Committee Meetings

1:35 pm

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael) | Oireachtas source

I thank the Deputies for their questions and contributions. I assure the House that the Government is deeply committed to fully supporting and developing Ireland's beef sector and to protecting the incomes of beef farmers. As we all understand, the Government does not have a role to play in determining the price that beef farmers get from factories. However, I would like to see an increase in the price being paid to farmers in order that they will receive a price in line with the EU average. At present, they do not. Certainly, I support greater transparency on price. In this context, I will give indications from Meat Industry Ireland that market conditions are improving. This is being reflected in some price increases for farmers though not enough to date.

The Government provides significant financial assistance to the beef sector to encourage greater efficiencies and productivity. We have done this through a series of measures, including the €300 million beef data and genomics programme, €20 million for the beef environmental efficiency pilot in 2019, €78 million drawn down through the beef exceptional aid measure and the restoration of the areas of natural constraints scheme to €250 million. A total of €85 million in targeted schemes supporting sustainable beef farming is provided in budget 2020. In the event of a no-deal Brexit, €85 million has been set aside for beef farmers, with the possibility of further funding depending on the impact. However, the Government will work hard over the coming months to secure a trade deal with the UK that will continue to give our farmers free access to the British market, which is so important to them.

Particularly at this time of the year, the basic payment scheme is fundamentally important to farmers in order to maintain cashflow. The commencement of the basic payment scheme balancing payment will bring the total paid to more than 120,000 farmers under the 2019 scheme to date to €1.14 billion. The implementation of the agreement reached between beef stakeholders on 15 September is important in terms of providing immediate benefit to producers as well as the introduction of a range of strategic measures that seek to tackle structural imbalances in the sector. The agreement provided for an immediate increase in the range of bonuses. It increased the level of bonuses being paid on certain animals, as well as significantly increasing the number of animals eligible for bonuses.

The cumulative impact is that over 70% of all steer and heifers slaughtered are now eligible for a bonus on top of the basic price paid.

On forestry, Deputies will be aware that roughly 11% of Ireland is now under forest, which is the highest level in 350 years, but it is still very low by European standards. We have set the objective to plant an additional 400 million trees between now and 2030. There are good incentives in place for farmers and landowners to get involved in forestry but uptake is disappointing. I would like to see not only farmers but all major landowners plant an acre or a hectare of trees, ideally native trees. We are willing to provide financial assistance for them to do that. The planting of more trees, including native trees, will have to form part of the new Common Agricultural Policy, CAP, which will arise at European level in the next couple of months or year or so and the climate action measures being taken at European level through the European green deal.

On the issue of hedgerows, which was raised by Deputy Burton, I will have to come back to her with a more detailed reply. I do know that many hedgerows are protected but not all are. Hedgerows are, of course, habitats in their own right. They allow animals to travel and they act as corridors between habitats, as the Deputy mentioned. There are payments to maintain and nurture hedgerows under GLAS, but again perhaps we could enhance them. I think I have covered all of the other questions in my replies.

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