Dáil debates

Tuesday, 22 March 2022

Pre-European Council Meeting: Statements

 

5:20 pm

Photo of Matt CarthyMatt Carthy (Cavan-Monaghan, Sinn Fein) | Oireachtas source

I want to be associated with all the words of solidarity with the people of Ukraine. I want to use my limited time here today to talk about the challenges that are facing the food supply chains, not only in Ireland but across Europe.

I welcome indications from the EU agriculture Commissioner that the Commission is set to deploy the €500 million crisis reserve. These funds must be delivered rapidly and to those farmers most in need.

Sinn Féin, for several weeks, has sought the deployment of this crisis funding as an important first step to deliver immediate supports to farmers who have been bearing the brunt of spiralling input costs but farmers, as well those in the broader agrifood supply chain who depend on them, urgently need clarity today as to what portion of the fund Ireland is set to receive and how it will be delivered to those who need the support most. In recent weeks, farm organisations have called for €90 million in funding for the Irish pig sector alone. That gives some indication as to the scale of the intervention required across the EU.

The response of the Government has lacked urgency. There are actions that it could take that would go some way towards alleviating the current situation. A substantial reduction on the excise on agri-diesel, including the carbon tax component, is required. The promised review as to the status of farm contractors with regard to the carbon tax should also be completed urgently. The Minister, Deputy McConalogue, should also engage with his EU counterparts to secure reductions in anti-dumping tariffs on products such as fertiliser and to ensure that the discussion on wider supports starts this week.

The Commission has shown flexibility on the planting of fallow land in 2022. This is welcome, as we seek to maximise our own grain yield, but serious questions remain as to the potential impact this may have considering that the planting season has already commenced.

At the outset of the invasion of Ukraine, Sinn Féin called on the European Commission to respond with a package for farmers negatively impacted by the sanctions on Russia and it is disappointing that in the weeks since then, the response from both Dublin and Government has remained unpointed, without direction and lacking entirely in detail. The Commission has made it clear that it believes that any additional response to these ongoing crises rests within state aid and the Government should be equally clear that the Common Agricultural Policy, that is undermined by a poor EU budget which it agreed, has left member states in a difficult position and potentially facing a food security emergency. As such, the response must be now EU led and consist of funding mechanisms that deliver for farmers and consumers.

Ireland is uniquely placed in that we have €1 billion to access through the Brexit adjustment reserve which should be made available to farmers impacted by the withdrawal of Britain from the EU. To date, farmers have not received a single cent of funding from that stream. Instead, €100 million was allocated to meat factories. Urgent funding support is now required for farming families across the pig, beef, seed potato and horticultural sectors, as well as others. Funding and taxation mechanisms exist, both at home and in Brussels, that would significantly alleviate the burden being borne by our farmers and ensure that the peoples across Europe can have one assurance in the times head, that is, that we will have adequate food to feed ourselves.

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