Seanad debates

Thursday, 9 May 2013

2:35 pm

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael) | Oireachtas source

Last year the figure was 117,000 for the same period. There has been a significant increase from last year but if we consider 2009 or other years with severe weather conditions, one could also see a higher figure. This is a particularly bad year but there have been other years in a similar category. We must deal with that and ensure there is no repeat next year. We must work on farms in that respect.

This is not about giving €10 million or €12 million to farmers but rather focusing money where it is required. If we need to put €10 million in place for a scheme to ensure animals are fed, we must do it and take the money from other schemes. We will do so if that becomes the priority. I want to be able to stand over every cent I spend to ensure we get full value for money in solving the problem at hand, which is getting fodder into Ireland. That is why we have focused on the transport scheme.

There has been some suggestion that the political response has been tardy. Nobody called for a transport subsidy until I introduced it; there was nobody in the Opposition or farm organisations seeking it. I was there for the second or third load of straw that came to Mitchelstown through Dairygold. My Department has been to the fore in trying to respond to this issue, spending extra money where it was needed to encourage the import of fodder. People spoke about difficulties arising from weather patterns and agricultural issues but nobody came up with a solution until we started introducing them. We should be clear on that, as we have not been following anybody; we have tried to pull people together to find sensible, cost-effective solutions to get feed into farms.

With regard to credit and banking, I do not want to give the impression that I have full faith in all banks to give out credit. Nevertheless, the conversations I have had suggest that credit should be available for farmers who are struggling to find enough money to buy fodder. There is confidence in the banking system that the farming community can repay the loans. If there are anecdotes or examples of farmers not getting a fair deal on credit, I want to hear about it. We will follow up on a case-by-case basis, as we are doing now.

I cannot reduce the cost of fertiliser, the vast majority of which is imported. That is like asking me to reduce the cost of gas. We can ensure that when farmers buy fertiliser, they will get credit interest-free as an encouragement. All the co-operatives have agreed to provide interest-free credit to farmers for May to encourage them to invest in fertiliser, as that is where we need to invest to ensure we do not have a problem.

I will be happy to return to the Seanad later in the summer or in September, when we can reassess the position in terms of the medium term planning for next winter and the auditing that must be done on a farm basis to establish how much fodder will be available for next winter and what will be required. This is an ongoing issue. It is not simply a question of filling the gap. There is an ongoing consequence in terms of indebtedness for farmers and ensuring that animals are fed next winter. We must have an ongoing discussion about it and I will be happy to facilitate that if I can.

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