Mary Coughlan (Donegal South West, Fianna Fail)

The State is playing its part, both through the direct research effort of Teagasc and the universities and through its competitive research funding programmes such as the food institutional research measure, FIRM, the research stimulus fund, RSF, and the forestry measure, COFORD. Funding of food industry applied research is also available through Enterprise Ireland.

These developments must be further strengthened and the expertise gained rapidly disseminated to underpin a competitive and profitable agrifood sector. I will prioritise increased Exchequer funding for research and development in the National Development Plan 2007-13. I have already shown my intent in this area by increasing research and development funding this year. It is vital that we ensure that we are as competitive as we can possibly be at every point in the value chain from the farm to the fork.

At farm level, land mobility and flexible quota management are important aspects of facilitating structural change. A combination of State taxation incentives and schemes such as installation aid and early retirement, as well as market pressures, has resulted in some structural change but at a relatively low level. The pace of structural change will need to accelerate in order to ensure farm viability and to meet the challenges arising from increased market access from third countries. Structural change is necessary to increase productivity levels, improve economies of scale and maximise income earning potential.

It will be possible to maintain a core of commercially viable full-time farmers with good incomes while at the same time giving part-time farmers the opportunity to supplement their farm incomes through off-farm work.