Tim Lombard (Fine Gael) | Oireachtas source

It was with deep shock and alarm that we heard the news last week that Cork Marts proposes to pull out of the export trade of live calves. It is a very important trade because it takes the glut of Friesian bull calves off the market, which helps our beef and dairy industries. This is an alarming decision for the agricultural community. Approximately 60% of the dairy industry is based in Munster and there are 1.4 million dairy cows in Ireland. Of those, the vast bulk will be in calf to a Friesian going forward and to have a glut in the market for Friesian bull calves running into the January-February calving season is a great worry.

Last year, Cork Marts exported up to 20,000 head of calves. Spain received approximately 7,000 head and Holland approximately 12,000 head. That is equivalent to a quarter of the export trade at the moment for live calves in Ireland. In 2015, 85,500 live calves were exported. This year, the number dropped by 13,000 to 72,500. This will have a knock-on effect on the beef industry. The kill in Ireland has increased by 5.1% or 70,000 head of cattle. It is projected next year that the kill will increase by a further 6% on top of that, which would be a further 120,000 head of cattle. There will be a glut on the beef side of the market too, which will have a knock-on effect on the beef and dairy industries. Nobody wants these Friesian bull calves in Ireland. We need to get a market. The most appropriate and fastest way to get these calves off the island is to take them off when they are between three and six weeks old, because seven calves can be moved in the same space as a 500 kg bullock would require in the trailer.

It is a major worry for our market and for the island. In many ways we need to engage with the exporters to ensure we have an outlet. This could become a welfare issue because how will we deal with 1.4 million dairy cows calving with no outlet for these Friesian bull calves? Artificial insemination, AI, is up 6% and most of it is Friesian so there will be more Friesian bull calves on the market. We need to work with the exporters and with Cork Marts to get them back into the business. Bandon Mart will have 1,800 head of Friesian bull calves going through it in peak weeks. That is a phenomenal figure. It is the biggest mart in Ireland. We need Cork Marts to come back into the business because it is in a real dairy heartland. If it does not come back, calves will plummet from €90 to €120 this year to anything between €50 and €60. That would be the maximum. It is a huge problem for us and I hope An Bord Bia might be able to work with the exporters and with the Department to try to encourage exporters.Unless exporters come into the space, it will have a knock-on effect on the dairy industry but will a huge impact on the beef industry in the years to come. We do not want grade P animals coming onto the grid. At the moment they are coming on around 350 cent to 360 cent a kilo. It will be a nightmare situation if these animals come onto the market in two and a half years' time. I hope we can engage and do something because if we do not, we will have a huge problem in two and a half years' time and next spring it will be a disaster for the calf trade.