Fidelma Healy Eames (Fine Gael) | Oireachtas source

I am sorry I missed the first part of the Minister's speech. I was taken by this motion and given that I have strong links to this industry, I spoke to a few farmers and buyers. On checking the recommendation of the motion that a new beef regulator would be set up, it was felt that this was completely unworkable from the point of view of both farmers and buyers. The fundamental point is in the following question. How can one tell a supermarket or a factory how much they should pay for meat? That constitutes interference in the market. Ultimately it is up to farmers to say what they will sell for. That is dependent on farmers to hold a line unless they get X amount per kilo. We know from experience that this never happens and someone always breaks. The only thing that has ever worked is scarcity, and the Minister has largely said this. For example, at the moment hoggets are very scarce and now their prices are at an all time high. The other thing that will create a need is when the Minister is out there creating new markets, which I understand he constantly working on. The bottom line, unfortunately, is that there is no such thing as a social conscience between factories, supermarkets and farmers. It is business.

I agree with the Minister that this relationship is important. It is an inter-dependent relationship. We do not wish to see farmers boycotting a certain factory because that factory is always offering prices that are too low. The point ultimately came across that the farmer is always the fall guy. This is probably the bit that is tough. How do we ensure that the farmer is getting an adequate price? The farmer puts in all the effort. The farmer takes care of the animal over the years, including the birthing process, the rearing process and so on. Therefore, it is not fundamentally right that the farmer is always the fall guy.

Even the co-operatives, which were set up in the 1970s with the farmer or producer in mind, have failed the farmer as well. They are now more interested in their shareholders. Many of these co-operatives have gone on to be big and great, like Glanbia, Dairygold and Kerry Group, whereas they were originally about suppliers. The point was made to me that we could look at a model of new co-operatives that would have the ethos of the producer in mind, and I would like to hear the Minister's views on that.

As the Minister said, where there are concerns about price fixing, that has to be resisted. I do not think we have proof of that even though I have heard it discussed in the Chamber recently. There is no doubt that the factories and the supermarkets have the upper hand. Many people have spoken about the crisis in the bull beef sector. Information has come to me to the effect that many farmers got caught up in this because there was a promise in regard to need by factories but then the supermarkets changed their specifications and as a result farmers have been let down.

I ask the Minister to think about the following proposal, although it is probably one that would suit him. I was asked why farmers do not make better use of the single farm payment by keeping the minimum stocking density to qualify for payments and thus create scarcity. If they were to do that, the flip side is that it would affect production which is ultimately what farmers are there for and it would affect our targets for Food Harvest 2020. We must find ways to strengthen the farmers' hand and obviously new markets would do that.

I support the general thrust of what the Minister has said about positive engagement, ongoing relationships and the farmer being aware of where there is a niche but it is not always easy to predict that. As I have said, there is a great demand at present for hoggets but not everyone could know that in advance. If the Minister is responding I would be keen to hear his replies.

Another suggestion for improvement that was made to me by a farmer was that if there were more controls and checks on the weighing system, it would lead to greater fairness in prices.