Thomas Pringle (Donegal, Independent)
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13. To ask the Minister for Agriculture, Food and the Marine his views on the lifting of tariffs on lobster and scallops imported from Canada under the recent EU-Canada trade deal; the impact the lifting of tariffs will have on the prices fishermen in Ireland will get for their catch; and if he will make a statement on the matter. [21136/17]

Thomas Pringle (Donegal, Independent)
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This question relates to the eminent adoption of the CETA trade agreement, the removal of tariffs on the importation of live lobster and live scallops from Canada contained in that agreement and the potential impact that could have on lobster prices in Ireland.

Michael Creed (Cork North West, Fine Gael)
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Free trade agreements are very important to Ireland, given our status as a small, open exporting economy. The negotiation of access to new markets historically has been a big driver of economic development, particularly in the food sector. I believe that this will continue to be the case in the future, and will be crucial to the achievement of the objectives outlined in Food Wise 2025.

Canada is a sizeable market with high purchasing power and is the most developed economy with which the EU has negotiated a free trade agreement so far. The Comprehensive Economic and Trade Agreement, CETA, with Canada will restore the level playing field for European businesses in Canada in comparison to Canada’s North American Free Trade Agreement partners, who have benefitted from preferential treatment in Canada since 1994.

In relation to seafood, I am satisfied that CETA represents an overall balanced agreement.  Both the EU and Canada will fully eliminate all tariffs on seafood products. Some 76.4% of Canada’s imports from the EU already enjoy a most favoured nation tariff of 0%, and Canada agreed to eliminate the remaining tariffs upon entry into force of CETA. The EU agreed to eliminate 95.5% of its tariffs on these products upon entry into force of CETA and 4.5% of the tariffs within three, five or seven years.

In 2016, Ireland exported €4.2 million worth of seafood to Canada, while we imported €2.5 million.  With the elimination of tariffs, there is an opportunity for Ireland’s seafood producers to further develop exports to Canada.

 In relation to lobster, I understand that almost all lobster caught by Ireland’s inshore fishermen are exported to EU markets.  The market price is thus likely to continue to be determined by EU markets.  I understand that buyers recognise lobster of EU origin as a separate and higher-value seafood product than Canadian or US lobster.  CETA is unlikely to affect this price differential.

In relation to scallop, I understand that prices vary from one year to the next depending on world production.  World demand has been growing in recent years, particularly in Asia, and that growth has been forecast to continue.  In those circumstances, market prices for scallop should remain healthy.

Thomas Pringle (Donegal, Independent)
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The EU already imports more than 8,000 tonnes of lobster from the US, which has a tariff regime of somewhere between 8% and 15% at the moment. A zero-tariff regime on the importation of lobster from Canada will directly impact Irish fisherman in terms of the prices they can achieve for lobster. If the amount of lobster being imported into the EU increases significantly because the price is reduced, it will have an effect on the prices fishermen can achieve for their catches. I would love to see how the Minister can justify the assertion that it will not have any impact on prices when the logic is that it will increase supply from that market. Currently, Canada does not import lobster into the EU because of the tariffs. With the removal of the tariffs, a huge market will open up for Canada. In many cases, given that the purchase of food is price-driven, the market share that Canada will achieve will be driven by price. I would love to see what the Minister's justification is for it not having any impact.

Seán Ó Fearghaíl (Kildare South, Ceann Comhairle)
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The Minister to conclude.

Michael Creed (Cork North West, Fine Gael)
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As an exporting nation that needs to get to market more than 90% of everything we produce, whether dairy, beef or seafood, trade agreements are beneficial to us, though not at any cost. Balanced and negotiated trade agreements have benefitted us enormously. The market access we have got as part of EU membership has been enormously beneficial to us. Therefore, I am in favour of trade agreements in principle. The devil is in the detail.

The global demand for seafood is almost insatiable. Markets' demand for the high-quality seafood that our industry is capable of meeting will always deliver a reasonable price. Obviously, trade is a two-way street. There are opportunities in the context of any trade agreement for the trade partner also. There is already trade between Ireland and Canada and there are opportunities for us now in the context of that trade agreement to increase our foothold in Canadian markets. There are also opportunities for Canadians to come in this direction. I have no doubt, given our marketing operations, the commitment of our industry to a high-quality product and the commitment of organisations like Bord Bia, that we can navigate a successful outcome to this.

In the context of trade agreements, as part of the continuing efforts of my Department in terms of market access opportunities, I will be going on a trade mission to the US and Canada next month. I have no doubt that seafood will be an important element of that. We cannot say we are in favour of all of the things we get in other markets but that we do not want anybody coming into our market. That is contrary to the spirit of trade agreements.

Seán Ó Fearghaíl (Kildare South, Ceann Comhairle)
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Tá an t-am istigh anois. Sin deireadh le ceisteanna chun an Aire Talmhaíochta, Bia agus Mara.

Thomas Pringle (Donegal, Independent)
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Do I not get to complete?

Seán Ó Fearghaíl (Kildare South, Ceann Comhairle)
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No. The time is up.

Thomas Pringle (Donegal, Independent)
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I thought I would have an opportunity to complete the question itself.

Seán Ó Fearghaíl (Kildare South, Ceann Comhairle)
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No. It is not "Mastermind". I am afraid that while the Deputy may have started, he may not finish.

Thomas Pringle (Donegal, Independent)
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It is certainly not "Mastermind" anyway. That is for sure.