Seanad debates

Tuesday, 28 June 2016

2:30 pm

Photo of Michelle MulherinMichelle Mulherin (Fine Gael) | Oireachtas source

The high cost of fertiliser is a serious concern for farmers. It is not a new issue as the cost has been high for a number of years. It is notable that the cost has not decreased as one might have expected with the reduction in the cost of a barrel of oil, as that is one of the feed-in costs to the production of fertiliser. Why is that? The Irish Farmers' Association, IFA, commissioned a report from the International Food Policy Research Institute which points to a particular problem. It shows that it is due to the failure of competition within the Single Market and the European Union. There are a few players and these players, it appears, are ensuring that the price is kept high, notwithstanding the cost to them of producing the fertiliser. It is estimated that this is costing farmers in Europe approximately €1 billion per year.

This issue must be taken up by the Minister for Agriculture, Food and the Marine. In particular, it has been estimated that the cost of fertiliser can be tackled by the market being opened to imports into the European Union. At present, there are very high tariffs and taxes but if that can be tackled, it would deal with the competition issue that is leading to the high prices, which could see a saving of up to €70 million per annum for Irish farmers.That is a very important issue which has gone on far too long. I would like the Minister to come to the House to address it and also issues concerning Brexit, particularly in terms of farmers' concerns about exports. There is a big market in the United Kingdom for our agricultural produce and notwithstanding the British vote to exit the European Union and the Single Market, milk farmers, lamb producers and so on are experiencing difficulties already with commodity prices. It is a very serious and I would like to see the Minister in the House to discuss those matters.

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