Noel Coonan (Fine Gael)

I thank the Minister for coming to the House to address us today. I am delighted he has returned safely from his successful visit to Fairyhill. Not many Members will know where that is, but the Minister can tell them afterwards.

The Minister mentioned farm incomes in respect of which farmers are getting very angry. He failed to mention that incomes are set to fall by 17% by which amount he said they rose last year. Taking inflation into account, Teagasc advises that they will drop by 20% this year. This is a staggering drop that would be hard for any sector of society to take. This means average family farm income this year will be around €14,000 or about half the average industrial wage.

Political responsibility for the disastrous fall in incomes rests fairly and squarely with the Minister and the Government. Prices in all the main sectors of beef, lamb, milk and grain are down. Producers are subject to massive political regulation and excessive bureaucracy that is driving many farmers, particularly younger ones, away from the business. They have to put up with cost increases which are beyond the control of most.

For producing food of the highest quality, farmers are entitled to a decent price that will give them a modest income. That is all they are looking for. A farmer carried out research and found the yield from the average dairy cow will generate €1,800 for a farmer. A similar amount of milk will generate €18,800 for some of the super outlets like McDonalds. There is a huge discrepancy.